Xiaomi reported a strong third quarter on Tuesday, with adjusted net profit of USD 1.59 billion. Total revenue for the period reached USD 15.90 billion. On an IFRS basis, net profit more than doubled to about USD 1.73 billion, compared with USD 0.75 billion a year earlier. Gross profit rose sharply to around USD 3.65 billion, lifting the company’s gross margin to a record 22.9 per cent.
The standout performance came from Xiaomi’s electric vehicle division, which reported positive operating income of roughly USD 98 million for the first time. EV revenue climbed to about USD 3.98 billion, up from USD 2.90 billion in the second quarter and USD 2.55 billion in the first.
Vehicle deliveries hit 108,796 units in the September quarter, rising 173.43 per cent year-on-year and 32.59 per cent quarter-on-quarter. The average selling price for Xiaomi vehicles increased to around USD 36,580, driven by strong sales of the higher-end YU7 SUV series.
The company continued expanding its EV footprint, operating 402 sales centres in 119 cities and 209 service facilities across 125 cities as of September 30.
Its smartphone business remained stable, with average selling prices increasing to about USD 149. Despite the solid quarterly results, Xiaomi’s Hong Kong-listed shares closed 2.81 per cent lower at 41 Hong Kong dollars on Tuesday, though the stock has gained 18.2 per cent so far this year.
Xiaomi entered India in 2014 with an online-focused sales model. The company quickly expanded its presence and became the country’s leading smartphone brand by 2017, overtaking Samsung. It maintained the top position for five consecutive years through 2022, supported largely by strong demand in the sub-USD 200 segment.
In recent years, however, Xiaomi’s market standing has weakened. By the first quarter of 2025, its share had declined to 7.8 per cent, down from 12.8 per cent in the same period of 2024, corresponding to a 42 per cent year-on-year drop in shipments. The company ranked sixth in the market during Q1 2025 and fell out of the top five smartphone brands in India.
(With Input from Reuters Reports) |
