Xiaomi is making news again as a leading company in the consumer tech field by presenting a record-high ₹1.31 lakh crore revenue in a single quarter. The company has re-crossed the milestone of ₹1.2 lakh crore for the second time, comfortably claiming the seat of the top technology company powered by innovation and market flexibility.
This accomplishment is all about the company that was successful in focusing on the market with premium products while at the same time the company was expanding its product line. Xiaomi’s earnings data highlight the brand’s firm position in the profitability realm and its main products, such as smartphones, IoT devices, and the brand’s fast-growing EV business. The most remarkable thing, however, is the 47.4% year-on-year growth in revenue that demonstrates the brand’s success transformation in turning products into higher value.
Smartphones Field Growth, Due to the Improved Average and Selling Price, Affects the Market Positively.
The very strong performance of Xiaomi’s smartphone sector has been one of the major growth drivers of the company in the current quarter. The sales figure of the smartphone business was ₹59,961 crore which represents a growth of 8.9% YoY. The significant impact of Xiaomi 15 Ultra has been the reason that the model recorded a 90% increase in sales volume compared to its predecessor.
The achievement of selling each device for a record-breaking average price of ₹14,372 is a clear proof of the fact that the market has indeed shifted towards premium models. This was realized by Xiaomi global smartphone sales which remained at 4.18 crore, the brand’s continued dominance among the top three smartphone sellers in the market for 19 quarters straight, and a 14.1% market share.
Exceptional Growth for IoT and Smart Home Products
Xiaomi’s smart home and IoT sector experienced its highest growth in the history of the brand, the highest area of growth being washing machines and refrigerators with revenues of ₹38,276 crore, an astounding 58.7% YoY increase. The top two products, washing machines, and refrigerators, have been the key leverage in arriving at such a tremendously high figure are that each of them had shipment numbers of 8.8 lakh and 7.4 lakh units, respectively.
The over 11 lakh air conditioner units shipped seemed impressive as there was a 65% YoY increase. The number itself speaks a lot about the fact that Indian consumers are becoming more and more interested in technology-based, smart home setups, and that Xiaomi has sharply responded to this demand with competitive and innovative gadgets.
Electric Vehicles and AI are Key Revenue Drivers
The strategy that aims to make the firm more versatile has proven to be effective. The introduction of new products by the company such as electric vehicles and AI-driven ones have together generated a sum of ₹22,041 crore. The SU7 Series alone converted as many as 75,869 units to sales, which became the most moving start of an EV up till now in Xiaomi’s history.
As the company is aiming at the artificial intelligence sector as a new source of growth, we see more and more of it in the AIoT ecosystem. Monthly active users of Xiaomi’s Mi Home App equaled 10.64 crore, and those using the company’s AI Assistant reached 14.67 crore. Increase was also noticed in another category, that of users with five or more AIoT devices (excluding smartphones, tablets, and laptops) which became 1.93 crore, a 26.5% YoY growth.
Long-term Strategy Driven by Research and Development
The growth was largely contributed by the vast increase in expenditure of the company in the research and development sector. Xiaomi spent ₹7,940 crore in this sector, during the quarter, which is in line with the company long-term vision that seeks to be innovative in every segment – from mobiles and electric vehicles to smart living.
Despite steady progress in smartphones, IoT, and EVs, Xiaomi does not only grow but undergoes the process of development. The company’s capacity to upgrade the value chain is not a departure from original, populist appeal, thus making it an unconventional tech player in both India and the world markets.