Xiaomi marking third straight quarter of double-digit growth

Xiaomi Corporation has achieved yet another milestone in Q2 2024, posting a record revenue of RMB88.9 billion. This marks a 32% year-over-year (YoY) increase, showcasing Xiaomi’s strong financial performance and successful execution of its growth strategies. This article dives into the key highlights of Xiaomi’s Q2 2024 performance and what it means for the company’s future.

Record Revenue and Profits

For the third consecutive quarter, Xiaomi has reported double-digit revenue growth, reaching RMB88.9 billion in Q2 2024. The company also achieved an adjusted net profit of RMB6.2 billion, representing a 20.1% YoY increase. These impressive figures underscore Xiaomi’s ability to outperform market expectations and solidify its position as a leading player in the global technology market.

Smartphone Segment Drives Growth

Xiaomi’s smartphone business continues to be a major revenue driver. In Q2 2024, global smartphone shipments reached 42.2 million units, marking a 28.1% YoY increase. This strong performance has allowed Xiaomi to maintain its position among the top three smartphone brands globally for 16 consecutive quarters, with a market share of 14.6%.

Xiaomi’s smartphone revenue for Q2 2024 was RMB46.5 billion, a 27.1% YoY increase. The company has seen significant growth in international markets, particularly in Latin America, Southeast Asia, the Middle East, and Africa. In Latin America, Xiaomi’s smartphone shipments ranked among the top two for the first time, highlighting the brand’s expanding global influence.

IoT and Lifestyle Products See Strong Demand

Xiaomi’s IoT and lifestyle products segment also performed exceptionally well in Q2 2024. The segment posted record-high revenue of RMB26.8 billion, a 20.3% YoY increase. This growth was driven by strong demand for Xiaomi’s smart home appliances, including air conditioners, refrigerators, and washing machines.

Xiaomi’s global tablet shipments doubled YoY, making it the fastest-growing tablet brand among the top five in terms of shipments. Additionally, Xiaomi’s wearables and TWS earbuds maintained strong market positions, ranking No. 3 globally and No. 1 in China, respectively.

Internet Services and Smart EV Business

Xiaomi’s internet services business continued to grow in Q2 2024, with revenue reaching RMB8.3 billion, an 11% YoY increase. The company’s global monthly active users (MAU) hit a record high of 675.8 million, up 11.5% YoY, while its mainland China MAU reached 164.4 million, a 10.1% YoY increase.

The smart EV business, a newer venture for Xiaomi, has also exceeded expectations. In Q2 2024, Xiaomi delivered over 27,000 vehicles, generating RMB6.4 billion in revenue. The company’s smart EV factory has ramped up production to meet growing demand, with plans to deliver 120,000 vehicles by the end of 2024.

AI and the Future of Xiaomi’s Growth

Xiaomi’s investment in AI technology continues to drive innovation across its product portfolio. In Q2 2024, Xiaomi’s R&D expenses reached RMB5.5 billion, a 20.7% YoY increase. AI has played a crucial role in enhancing Xiaomi’s “Human x Car x Home” smart ecosystem, particularly in the smart EV sector.

Xiaomi’s commitment to AI-driven innovation is also evident in its premium smartphone segment. In Q2 2024, premium smartphones priced at or above RMB3,000 accounted for 22.1% of Xiaomi’s total smartphone shipments in mainland China, a 2.0 percentage point increase YoY. The recently launched Xiaomi MIX Fold 4 and MIX Flip have further strengthened Xiaomi’s position in the premium market.

Xiaomi’s record Q2 2024 performance underscores the company’s ability to navigate a competitive market while driving innovation and growth across multiple segments. With strong revenue growth, expanding global influence, and a commitment to AI-driven innovation, Xiaomi is well-positioned to continue its upward trajectory in the coming quarters.

As Xiaomi embarks on a new growth cycle, the company’s focus on technology, product development, and global expansion will be key to sustaining its momentum and achieving even greater success in the future.

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