• Xiaomi reports strong financial results for Q1 2024.
  • Revenue grew by 27% YoY, with adjusted net profit doubling YoY.
  • Smartphone sales surged, driven by globalization and premiumization.
  • The launch of the Xiaomi SU7 EV generated strong demand.
  • Xiaomi is investing heavily in R&D for future growth.

Xiaomi Corporation (“Xiaomi”) has announced impressive financial results for the first quarter of 2024 (Q1). The company achieved double-digit year-over-year (YoY) growth in revenue for the second consecutive quarter, solidifying its position as a tech industry leader.

Key Highlights:

  • Adjusted net profit doubled YoY to RMB6.5 billion (approx. RM 4.3 billion).
  • Total revenue reached RMB75.5 billion (approx. RM 49.8 billion), a 27% YoY increase.
  • Smartphone shipments rose 33.7% YoY, driven by globalization and premiumization strategies.
  • Smart EV business demonstrates strong momentum with the successful launch of the Xiaomi SU7 Series.

Profitability on the Rise:

Xiaomi’s core businesses, including smartphones, IoT and lifestyle products, and internet services, all delivered double-digit revenue growth in Q1. This robust performance, coupled with efficient cost management, resulted in a significant increase in adjusted net profit. Notably, Xiaomi continues to invest heavily in research and development (R&D), particularly in smart EV technologies, laying the groundwork for future growth.

Soaring Smartphone Sales and Premiumization Success:

Xiaomi’s smartphone business continues to thrive. Global smartphone shipments surged by 33.7% YoY, marking the third consecutive quarter of YoY growth. This success is attributed to the company’s strategic focus on globalization and premiumization. Xiaomi’s market share in the RMB5,000 to RMB6,000 price segment in mainland China has more than doubled YoY, showcasing its growing presence in the premium smartphone market.

Strong IoT and Internet Services Growth:

Xiaomi’s IoT and lifestyle products segment achieved record revenue growth of 21.0% YoY in Q1. The gross profit margin also reached a record high, demonstrating the profitability of this segment. Smart home appliances, like air conditioners and refrigerators, experienced significant sales growth, highlighting consumer demand for Xiaomi’s connected home ecosystem. The internet services segment also delivered solid performance, with revenue reaching a record high of RMB8.0 billion (approx. RM 5.3 billion).

Xiaomi Electric Vehicles Rev Up for Success:

The launch of Xiaomi’s first smart EV, the Xiaomi SU7 Series, has generated significant excitement and strong order demand. As of April 30, 2024, cumulative locked-in orders surpassed 88,000 vehicles. Xiaomi has set an ambitious target of delivering over 100,000 new vehicles in 2024, reflecting its confidence in the SU7 Series’ competitiveness and production capacity.

Focus on R&D and Technological Innovation:

Xiaomi is committed to continuous innovation across all its business segments. The company invested RMB5.2 billion (approx. RM 3.4 billion) in R&D during Q1, with a particular focus on smart EV technologies. This dedication to R&D will be instrumental in propelling Xiaomi’s future growth and solidifying its position as a leader in cutting-edge technology.

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