Xiaomi Reports Impressive Growth Across Smartphone, IoT, and Internet Services in Q3 2023

Xiaomi Corporation has showcased robust performance in its third-quarter results for 2023, revealing substantial growth across various sectors. The company reported a revenue of RMB70.9 billion, accompanied by an adjusted net profit of RMB6.0 billion.
Xiaomi store in rural India
The year-on-year growth in revenue was 0.6 percent, while the rise in quarter-on-quarter revenue was 5.3 percent.

Smartphone Sector:

Xiaomi’s smartphone revenue surged to RMB41.6 billion, with shipments reaching 41.8 million units, marking a 4.0 percent year-over-year increase and a staggering 27.0 percent quarter-over-quarter growth. Notably, Xiaomi secured the third position globally in smartphone shipments, capturing a 14.1 percent market share, displaying a 0.5 percentage point year-over-year rise. Remarkably, among the top three brands, Xiaomi was the sole one to achieve year-over-year growth in shipments, maintaining its consistent presence in the top ranks for thirteen consecutive quarters.

Global Reach:

Canalys data highlighted Xiaomi’s prominent position across markets, ranking within the top three smartphone brands in 55 countries and regions globally and among the top five in 65 countries and regions. Xiaomi displayed quarter-over-quarter growth in market share across major regions, attaining significant market shares of 23.3 percent in Europe, 18.3 percent in Latin America, 10.7 percent in Africa (a 4.7 percentage point year-over-year increase), and 17.7 percent in the Middle East.

IoT and Lifestyle Products:

The company’s revenue from IoT and lifestyle products reached RMB20.7 billion, marking an 8.5 percent increase, while the gross profit margin rose to 17.8 percent, up by 4.3 percentage points year-over-year. Xiaomi’s AIoT platform witnessed a surge, with connected IoT devices reaching 698.9 million, showcasing a 25.2 percent increase. Moreover, users with five or more devices connected to the AIoT platform surged to 13.7 million, indicating a 26.0 percent rise. The Mi Home App’s monthly active users (MAU) grew to 84.0 million, witnessing a 16.0 percent increase.

Internet Services:

Xiaomi’s internet services segment demonstrated remarkable growth, with revenue reaching RMB7.8 billion, marking a 9.7 percent increase and achieving a record high. The gross profit margin for internet services climbed to 74.4 percent, marking a 2.3 percentage point increase. The global MAU of MIUI exceeded 623.1 million, showcasing a 10.5 percent rise, with the MAU in mainland China reaching 151.9 million, a 7.4 percent increase. Additionally, the global MAU of Xiaomi’s smart TV20 surpassed 64 million in September 2023.

Advertising Revenue:

Xiaomi’s advertising revenue soared to RMB5.4 billion, depicting a substantial 15.7 percent increase and setting another quarterly record.

With an optimistic outlook, Xiaomi aims to continue its substantial R&D investments, expecting to surpass RMB100 billion between 2022 and 2026. These strategic initiatives align with the company’s trajectory towards innovation and expansion, solidifying its position in the global market.