Chinese telecom equipment maker Huawei says its sales revenue topped $36.67 billion in the first half of the year, a 40 percent increase over the same period last year.

However, the company’s operating margin was just 12 percent, down from 18 percent during the same period in 2015.

Interestingly, Huawei’s growth appears to be accelerating. Huawei reported last year that in the first half of 2015 its revenue was up 30 percent.

Huawei, which is privately held, doesn’t break out specifics of its earnings, so it’s difficult to know where the company’s growth is occurring. Huawei, which is the third-largest handset maker in the world, has been investing in its handset business by growing its portfolio of devices.

It’s no secret that Huawei has big aspirations to be a global heavyweight in telecom and cloud computing. At its analyst conference earlier this year, Huawei said it had plans to become a $100 billion company by 2020 by expanding its cloud, mobile, and telco capabilities.

Huawei’s positive results are in stark contrast to competitor Ericsson, which last week reported a 24 percent drop in second-quarter net profits. The company also said that second-quarter sales fell 11 percent. The numbers contributed to CEO Hans Vestberg being dismissed earlier today.