Friday, 4 April 2025
26.2 C
Singapore
27.2 C
Thailand
20.1 C
Indonesia
26.9 C
Philippines

Xiaomi records significant growth in Q1 2024

Xiaomi's Q1 2024 results show significant growth with record revenue and profits, driven by its smartphone, IoT, and smart EV sectors, as it continues to expand globally.

Xiaomi Corporation, a major consumer electronics and smart manufacturing player, has reported a significant year-on-year (YoY) growth in its financial results for the first quarter of 2024. With its roots in smartphones and smart hardware integrated via an Internet of Things (IoT) platform, the company’s unaudited consolidated results showcased a robust growth trajectory, with revenue and net profits substantially increasing.

Record profits and revenue growth driven by diverse sectors

Xiaomi’s total revenue for the March 31, 2024 quarter reached RMB 75.5 billion (US$10.4 billion), marking a 27% increase YoY. The adjusted net profit for the company surged by an impressive 100.8% to RMB 6.5 billion (US$897 million), despite RMB 2.3 billion (US$317 million) in expenses related to its new smart Electric Vehicle (EV) business and other initiatives. This growth was attributed to Xiaomi’s strategy focusing on both scale and profitability, which saw the gross profit margin climb to 22.3%, up by 2.8 percentage points from the previous year.

The company’s core business areas, including smartphones, IoT and lifestyle products, and internet services, experienced double-digit revenue growth. Xiaomi’s strategic advancements in the smart EV sector were particularly noteworthy, contributing significantly to the company’s overall performance.

Strategic advancements in smartphone and IoT sectors

Xiaomi’s smartphone segment continued to excel, with global shipments increasing by 33.7% to 40.6 million units. This growth was supported by Xiaomi’s push into premium markets, with the average selling price of its smartphones rising. According to market analysis firm Canalys, the company has consistently held a top-three position globally in smartphone shipments for over three years.

In the IoT and lifestyle products sector, Xiaomi reported a historic revenue increase to RMB 20.4 billion (US$2.81 billion), up 21% YoY. This segment’s gross profit margin reached a record high of 19.9%, demonstrating strong momentum in Xiaomi’s smart large home appliances, which saw significant sales increases across air conditioners, refrigerators, and washing machines.

Expansion in internet services and smart EV initiatives

Internet services also saw a remarkable uptick, with revenues hitting a record RMB 8.0 billion (US$1.12 billion), a 14.5% increase YoY. The gross profit margin in this sector reached 74.2%, with user engagement at an all-time high โ€” global monthly active users (MAU) surged to 658.1 million.

The launch of Xiaomi’s first smart EV, the Xiaomi SU7 Series, marked a milestone in the company’s expansion into the automobile industry. This vehicle introduction set a new industry record for rapid delivery, with over 10,000 vehicles delivered shortly after its release. Xiaomi has set an ambitious target of delivering over 100,000 new vehicles by the end of 2024.

Xiaomi continues to invest heavily in research and development, particularly in smart EV technology and autonomous driving capabilities. The company’s commitment to innovation remains strong, and it plans to significantly extend its sales and service network by the end of the year.

Hot this week

New AI features coming to Final Cut Pro

Apple updates Final Cut Pro with AI-powered tools, Image Playground, and new features for Mac, iPad, and iPhone, enhancing video editing workflows.

Google’s Gemini 2.5 Pro AI model is now available for all users

Google's Gemini 2.5 Pro AI model is now available for all users, offering advanced coding and reasoning abilities with a free trial for Gemini Advanced.

Chinese investor questions commercial future of humanoid robots

Chinese venture capitalist Allen Zhu questions the commercial potential of humanoid robots, sparking debate amid rising AI investment in China.

NUS partners with Microsoft Research Asia to advance AI research and nurture future tech talent

NUS and Microsoft Research Asia partner to boost AI research and develop future computing talent through a joint PhD and industry collaboration.

Oracle Cloud launches new Compute E6 shapes powered by AMDโ€™s 5th Gen EPYC processors

Oracle Cloud boosts performance with new Compute E6 shapes powered by 5th Gen AMD EPYC processors, now available in key global regions.

Spotify introduces AI-powered ads and programmatic ad buying

Spotify unveils AI-powered ads and the Spotify Ad Exchange, making it easier for advertisers to reach Gen Z listeners with real-time bidding.

YouTube expands shopping affiliate programme in Singapore through Shopee partnership

YouTube teams up with Shopee to launch its Shopping affiliate programme in Singapore, giving creators new ways to monetise their content.

Misconceptions about STEM careers continue to deter young women in Singapore

New research shows stereotypes and lack of support are deterring young women from STEM careers, posing a risk to Singaporeโ€™s innovation goals.

Synagie and HKT launch ShopHK to help Hong Kong brands expand into Southeast Asia

Synagie and HKT launch ShopHK, helping Hong Kong SMEs tap into Southeast Asia's booming US$600 billion e-commerce market.

Related Articles