Latest news with #LuWeibing
Yahoo
4 days ago
- Business
- Yahoo
Xiaomi Corp (XIACF) Q1 2025 Earnings Call Highlights: Record Revenue and Strategic Growth ...
Total Revenue: RMB111.3 billion, up 47% year-on-year. Adjusted Net Profit: RMB10.7 billion, up 64% year-on-year. Gross Margin: 22.8%, up 0.5 percentage points year-on-year. Smartphone Revenue: RMB50.6 billion, with global shipments of 41.8 million units. Smartphone ASP: RMB1,211, up 5.8% year-on-year. AIoT Revenue: RMB32.3 billion, up 59% year-on-year. Internet Service Revenue: RMB9.1 billion, up 12.8% year-on-year. Smart EV and AI Innovative Business Revenue: RMB18.6 billion. R&D Expenses: RMB6.7 billion, up 30% year-on-year. Operating Expenses: RMB15.4 billion, with core business operating expenses at RMB10.6 billion. Smartphone Market Share in Mainland China: 18.8%, with a 40% year-on-year growth in shipments. Global MAU: 719 million, up 9.2% year-on-year. Smart EV Deliveries: 76,000 units in Q1. Warning! GuruFocus has detected 6 Warning Signs with XIACF. Release Date: May 27, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Xiaomi Corp (XIACF) achieved record high total revenue of RMB111.3 billion in Q1 2025, marking a 47% year-on-year increase. The company returned to the number one position in smartphone shipments in Mainland China, with a market share increase to 18.8%. Xiaomi's AIoT revenue reached RMB32.3 billion, with a strong year-on-year growth of 59%, driven by advancements in technology and favorable national policies. The company's R&D investment is set to reach RMB30 billion in 2025, with a focus on core technologies like AI and chips. Xiaomi's gross margin reached a historical high of 22.8%, with a significant improvement in AIoT business gross margin to 25.2%. Despite strong performance, Xiaomi faces intense competition in the AIoT sector, with peers formulating strategies to target the company. Concerns were raised about potential price reductions in the EV segment to maintain sales momentum, which could impact profitability. The smartphone market in some regions, such as India, experienced a decline, affecting Xiaomi's market share. The company faces challenges in scaling its large home appliance business, with ongoing discussions about building new factories. Xiaomi's new business segment, including Smart EV and AI, reported an operating loss of RMB500 million, indicating ongoing financial challenges. Q: What strategies will Xiaomi implement to address the competitive landscape in the AIoT sector, and how will these differ between China and overseas markets? A: Lu Weibing, Partner and President, stated that Xiaomi is in a high growth stage with many products out of stock, indicating minimal impact from competitors. The company aims to be a value creator and promoter of industry improvement. For overseas markets, strategies will not differ significantly from those in China, although the competitive landscape may vary. Q: How will Xiaomi's smart factories and AIoT plans enhance efficiency and profitability, and what impact will standard configurations like LiDAR have on pricing and profitability? A: Lu Weibing explained that Xiaomi's smart manufacturing platform supports various factories, enhancing supply chain efficiency. The company focuses on strong product capabilities, which should ensure profitability despite standard configurations. Profit is seen as a result of strong products rather than a direct target. Q: What is Xiaomi's outlook for smartphone shipments and pricing in 2025, and how will the EV and AI new business segments impact gross margins and losses? A: Lu Weibing noted that while global smartphone growth may be slower than expected, Xiaomi will focus on improving product structure rather than volume. The EV segment's gross margin has steadily improved, driven by strong product capabilities and efficient management. The new business segment's operating loss is narrowing, with a current loss of around RMB500 million. Q: What are Xiaomi's plans for smartphone premiumization and AI integration, and how will these strategies evolve over the next five years? A: Lu Weibing highlighted Xiaomi's commitment to premiumization, focusing on high-end products and expanding from China to overseas markets. The company plans to integrate AI deeply into its products, leveraging its large user base and data to enhance user experience. Q: How will Xiaomi's self-developed XRING chips impact its smartphone business and overall gross margins, and what is the competitive landscape in overseas markets like India and Africa? A: Lu Weibing stated that the XRING chips are part of a long-term strategy for high-end growth, with initial focus on flagship products. In overseas markets, Xiaomi is adjusting strategies based on local conditions, with a focus on improving product structure in India and expanding market share in Africa. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Time of India
4 days ago
- Automotive
- Time of India
Xiaomi reports record first-quarter revenue as it launches new electric SUV
China's Xiaomi on Tuesday reported record first-quarter revenue and profit, as the company said its ongoing shift towards higher-end products from smartphones to home appliances was already paying off. Revenue for the quarter ended March 31 was 111.3 billion yuan ($15.48 billion), up 47% year-on-year and beating the 107.6 billion yuan average of 17 analyst estimates compiled by LSEG. Adjusted net profit rose above 10 billion yuan for the first time, jumping 65% year-on-year to 10.7 billion yuan, ahead of the average estimate of 8.96 billion yuan, according to LSEG data. Xiaomi President Lu Weibing told a conference call with reporters that Xiaomi's strategy to focus on high-end products had yielded positive results. The world's third-largest smartphone maker, whose product lines also extend to cars, announced its latest electric SUV, the YU7, last week, which it will start selling in July. Lu said feedback on the YU7 indicated it could have a broader target market than its previous model, the SU7. The company did not disclose the price of the YU7 but suggested its better configurations should make the car 60,000-70,000 yuan more expensive than Tesla's best-selling Model Y, which is expected to be its strongest competitor and is priced from 263,500 yuan ($36,574). Xiaomi's EV business generated 18.1 billion yuan in revenue during the first quarter, delivering 75,869 SU7 sedans. It posted an adjusted net loss related to its EV and other new initiatives of 0.5 billion yuan. Its new EV orders have fallen since a fatal highway crash at the end of March involving an SU7 in driving-assistance mode, analysts have said. Its problems have been compounded by customer complaints of false advertising. Xiaomi apologised earlier this month for "not clear enough" marketing. Still, the company's shares have rebounded since April, giving it a market value of about $170 billion, higher than the roughly $161 billion commanded by BYD , China's biggest EV maker, LSEG data show. Xiaomi's first-quarter global smartphone shipments rose 3% from a year earlier to 41.8 million handsets, ranking it third globally, with a market share of 14.1%, according to its latest financial report citing data from researcher Canalys.
Indian Express
4 days ago
- Automotive
- Indian Express
Xiaomi reports record first-quarter revenue as it launches new electric SUV
China's Xiaomi on Tuesday reported record first-quarter revenue and profit, as the company said its ongoing shift towards higher-end products from smartphones to home appliances was already paying off. Revenue for the quarter ended March 31 was 111.3 billion yuan ($15.48 billion), up 47% year-on-year and beating the 107.6 billion yuan average of 17 analyst estimates compiled by LSEG. Adjusted net profit rose above 10 billion yuan for the first time, jumping 65% year-on-year to 10.7 billion yuan, ahead of the average estimate of 8.96 billion yuan, according to LSEG data. Xiaomi President Lu Weibing told a conference call with reporters that Xiaomi's strategy to focus on high-end products had yielded positive results. The world's third-largest smartphone maker, whose product lines also extend to cars, announced its latest electric SUV, the YU7, last week, which it will start selling in July. Lu said feedback on the YU7 indicated it could have a broader target market than its previous model, the SU7. The company did not disclose the price of the YU7 but suggested its better configurations should make the car 60,000-70,000 yuan more expensive than Tesla's best-selling Model Y, which is expected to be its strongest competitor and is priced from 263,500 yuan ($36,574). Xiaomi's EV business generated 18.1 billion yuan in revenue during the first quarter, delivering 75,869 SU7 sedans. It posted an adjusted net loss related to its EV and other new initiatives of 0.5 billion yuan. Its new EV orders have fallen since a fatal highway crash at the end of March involving an SU7 in driving-assistance mode, analysts have said. Its problems have been compounded by customer complaints of false advertising. Xiaomi apologised earlier this month for 'not clear enough' marketing. Still, the company's shares have rebounded since April, giving it a market value of about $170 billion, higher than the roughly $161 billion commanded by BYD, China's biggest EV maker, LSEG data show. Xiaomi's first-quarter global smartphone shipments rose 3% from a year earlier to 41.8 million handsets, ranking it third globally, with a market share of 14.1%, according to its latest financial report citing data from researcher Canalys. ($1 = 7.1920 Chinese yuan renminbi)
TimesLIVE
5 days ago
- Automotive
- TimesLIVE
Xiaomi rides high with record Q1 and new electric SUV to rival Tesla
China's Xiaomi on Tuesday reported record first-quarter revenue and profit, as the company said its ongoing shift towards higher-end products from smartphones to home appliances was already paying off. Revenue for the quarter ended March 31 was 111.3-billion yuan (R276.60bn), up 47% year-on-year and beating the 107.6-billion yuan (R266.87bn) average of 17 analyst estimates compiled by LSEG. Adjusted net profit rose above 10-billion yuan (R24.80bn) for the first time, jumping 65% year-on-year to 10.7-billion yuan (R26.54bn), ahead of the average estimate of 8.96-billion yuan (R22.22bn), according to LSEG data. Xiaomi president Lu Weibing told a conference call with reporters that Xiaomi's strategy to focus on high-end products had yielded positive results. The world's third-largest smartphone maker, whose product lines also extend to cars, announced its latest electric SUV, the YU7, last week, which it will start selling in July. Lu said feedback on the YU7 indicated it could have a broader target market than its previous model, the SU7.
Yahoo
5 days ago
- Automotive
- Yahoo
Xiaomi Sales Beat Estimates on EV, Smartphone Growth
(Bloomberg) -- Xiaomi Corp. reported better-than-expected revenue in the March quarter as it moves to aggressively expand its presence in China's EV market and grow its core smartphone business. NY Private School Pleads for Donors to Stay Open After Declaring Bankruptcy UAE's AI University Aims to Become Stanford of the Gulf NYC's War on Trash Gets a Glam Squad Pacific Coast Highway to Reopen Near Malibu After January Fires Revenue rose to 111.3 billion yuan ($15.5 billion), Xiaomi said in a statement Tuesday, beating the average analyst estimate of 109 billion yuan. The company recorded 75,869 deliveries of its SU7 sedan during the period. Its Internet of Things division, which sells products ranging from home appliances to wearable tech, was a strong performer with revenue growth of nearly 60% from a year earlier. Beijing-based Xiaomi is moving ahead with billionaire co-founder Lei Jun's $10 billion strategy to join the ranks of the world's top automakers. After taking on the likes of Tesla Inc. and BYD Co. in the crowded market last summer, the company posted a loss of 700 million yuan from its EV division in the fourth quarter. That loss narrowed to 500 million yuan last quarter, the company said, as it pins its hopes on its first electric sport utility vehicle — the YU7 — which it unveiled last week and will hit the market as early as July. Read: Xiaomi Billionaire Touts SUV, Chinese Chip in Tech Showcase China's EV leader BYD is keeping the pressure on Xiaomi, starting a price war earlier this year by adding advanced driver-assistance features across most of its lineup at no extra cost. Last week, BYD slashed prices on a range of electric and plug-in hybrid models by as much as 34%. Xiaomi has come under further pressure following a fatal crash in late March that involved its SU7 model. The cause of the accident, which killed three, hasn't yet been announced. The SU7 had its autopilot function turned on at the time of the crash and EV makers' self-driving advertising claims have come under growing scrutiny. Just days before the accident, Xiaomi had raised its 2025 delivery target for electric vehicles to 350,000 units. But the company's EV sales took a hit in April, according to Deutsche Bank AG. Xiaomi's President Lu Weibing said on a call with media Tuesday that the company was still looking to meet its delivery target for the year. Strong first quarter EV deliveries have put Xiaomi 'a step closer' to reaching that target, Bloomberg Intelligence analysts Steven Tseng and Sean Chen said. Revenue from Xiaomi's core smartphone business grew 8.9% during the period, it said. Shipments have grown 40% year-on-year at home, driven by Chinese government subsidies, according to a recent research note from consultancy Counterpoint. Its share price has also recovered from its March low, surging nearly 90% in the past six months. Xiaomi is moving to shore up support for its mainstay gadget business by designing its own chips, with a plan to spend $7 billion this decade to bulk up its semiconductor muscle. Together with the new SUV, Lei also publicized the self-designed Xring chip and new mobile devices powered by the processor at the same event last week. 'The new processor could diversify its high-end lineups, expand its potential customer base and strengthen bargaining power with chip suppliers, especially Qualcomm,' analysts Tseng and Chen said in a note last week. --With assistance from Linda Lew, Debby Wu and Vlad Savov. (Updates with additional details, analyst reaction from the second paragraph.) Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Why Apple Still Hasn't Cracked AI Inside the First Stargate AI Data Center How Coach Handbags Became a Gen Z Status Symbol AI Is Helping Executives Tackle the Dreaded Post-Vacation Inbox ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
