Strong Performance Across All Business Segments, Record Profit, and Rapid Growth in AI, EVs, and IoT
Xiaomi Corporation (HKEX: 1810), a global leader in consumer electronics and smart manufacturing, has posted its unaudited financial results for Q1 2025, showing record-breaking revenue of RMB111.3 billion (~RM65.69 billion), a year-over-year (YoY) increase of 47.4%. This marks the second consecutive quarter that Xiaomi has surpassed the RMB100 billion mark, with adjusted net profit reaching RMB10.7 billion (~RM6.31 billion), up 64.5% YoY, beating market expectations.
Strong Momentum Across Core Businesses
Xiaomi’s growth in Q1 2025 was powered by significant progress across its major business segments:
- Smartphones: Revenue rose 8.9% YoY to RMB50.6 billion (~RM29.85 billion). Global shipments hit 41.8 million units, marking seven consecutive quarters of YoY growth. According to Canalys, Xiaomi maintained its Top 3 global smartphone shipment ranking for the 19th quarter in a row with a 14.1% market share. Notably, Xiaomi reclaimed the No. 1 spot in mainland China for the first time in a decade, with an 18.8% market share.
- Premium Devices: Xiaomi’s premiumization strategy saw strong traction. The average selling price (ASP) of smartphones rose to RMB1,211 (~RM714.38), a record high. Sales of the Xiaomi 15 Ultra, launched in February, were up 90% compared to its predecessor. In China, devices priced above RMB3,000 (~RM1,770) made up 25% of sales, while models priced above RMB4,000 (~RM2,360) captured 9.6% market share.
- IoT & Lifestyle Products: Segment revenue surged 58.7% YoY to RMB32.3 billion (~RM19.05 billion), setting new records in both revenue and gross margin (25.2%). Xiaomi’s smart large home appliances achieved standout growth:
- Air conditioners: Shipments exceeded 1.1 million units, up 65%
- Refrigerators: Over 880,000 units shipped, up 65%
- Washing machines: Shipments more than doubled to 740,000 units
Xiaomi’s smart home appliance factory is expected to begin operations later this year.
- Tablets and Wearables: Xiaomi’s tablet business saw 56.1% YoY growth, achieving Top 3 status globally for the first time. Xiaomi also led globally in wearable bands and ranked No. 1 in China for TWS earbuds.
- AIoT Ecosystem Growth: As of March 31, 2025:
- Connected IoT devices (excluding phones, tablets, laptops) hit 943.7 million, up 20.1% YoY
- Users with five or more connected devices reached 19.3 million, up 26.5%
- Mi Home App monthly active users (MAU) reached 106.4 million, up 19.5%
- AI Assistant MAU grew to 146.7 million, up 17.5%
Internet Services Revenue Climbs, Gross Margin Nears 77%
Xiaomi’s internet services business maintained steady expansion, generating RMB9.1 billion (~RM5.37 billion) in revenue, up 12.8% YoY. Gross margin rose to 76.9%, while the global MAU hit 718.8 million and China MAU reached 181.1 million, increasing 9.2% and 12.9% YoY, respectively.
EV Business Accelerates with Strong SU7 Series Demand
Xiaomi’s smart EV and new initiatives generated RMB18.6 billion (~RM10.97 billion) in revenue during Q1 2025. The Xiaomi SU7 Series recorded 75,869 deliveries, contributing to cumulative deliveries of over 258,000 units. SU7 has led monthly EV sales above the RMB200,000 (~RM118,027) price point for six straight months.
- Xiaomi now operates 235 smart EV sales centers across 65 Chinese cities
- The upcoming Xiaomi YU7 high-performance luxury SUV aims to further Xiaomi’s premium EV presence
- Production ramp-up continues to meet the 2025 full-year target of 350,000 deliveries
Massive R&D Investment Planned to Drive Long-Term Innovation
Xiaomi remains committed to building a robust innovation ecosystem, with a focus on core technologies like chips, AI, and operating systems:
- Q1 2025 R&D spending rose 30.1% YoY to RMB6.7 billion (~RM3.95 billion)
- R&D personnel hit a record 21,731 employees
- Xiaomi holds over 43,000 global patents
The Group has pledged RMB200 billion (~RM118.03 billion) in R&D investment over the next five years. A key highlight in Q1 was the launch of Xiaomi XRING O1, the company’s first self-developed 3nm SoC, applied to smartphones and tablets—marking full deployment of its core technologies.
With strong momentum across all divisions, record profitability, and ambitious innovation targets, Xiaomi continues to solidify its position as a global technology powerhouse.
For more information, visit https://www.mi.com/global