In the third quarter of 2024, Xiaomi Group unveiled an impressive performance report, achieving historic milestones in revenue and profits. As per the latest financial report data, Xiaomi's total revenue for the third quarter surged to RMB 92.5 billion, marking a notable 30.5% year-on-year increase. This accomplishment not only surpassed market expectations but also exemplified Xiaomi's robust growth trajectory across various business sectors.

Xiaomi's "Smartphone-Vehicle-Home Ecosystem" Strategy is Gaining Full Momentum.

In the realm of smartphone business, Xiaomi maintained its prominent stance in the global market. During the third quarter, Xiaomi's global smartphone shipments reached 43.1 million units, reflecting a 3.1% year-on-year increase; revenue totaled RMB 47.5 billion, representing a 13.9% year-on-year growth; and its market share remained firmly within the top three globally at 13.8%. This advancement can be attributed to Xiaomi's persistent endeavors in the high-end market, notably with the Xiaomi 15 series smartphones achieving a rapid milestone of shipping 1 million units.

A noteworthy highlight is Xiaomi's automotive business, which recorded a revenue of RMB 9.7 billion in the third quarter, with a gross profit margin rising to 17.1%, showcasing rapid growth and strong profitability in this business segment. Significant progress has been made in production capacity and deliveries within Xiaomi's automotive division. The delivery volume of Xiaomi's SU7 series new cars in Q3 reached 39,790 units, depicting a robust growth trajectory. As of November 13, the Xiaomi SU7 series has met its goal of delivering 100,000 new cars and aims to strive towards a total annual delivery volume of 130,000 cars.

In the IoT and consumer products business segment, Xiaomi attained a revenue of RMB 26.1 billion in the third quarter, reflecting a 26.3% year-on-year growth, with a gross profit margin of 20.8%, a 2.9 percentage point increase year-on-year, thereby establishing a new historical peak.

Moreover, Xiaomi Group has heightened its focus on research and development. The company's R&D expenditure for the third quarter surged to RMB 6 billion, a 19.9% year-on-year increase, projected to exceed RMB 24 billion for the entire year of 2024. As of September 30, the count of R&D personnel has reached 20,436 individuals, constituting 48.6% of the total employee base. Xiaomi Group has secured over 41,000 patents globally and has ascended to the 8th position in the global patent family ranking for mandatory 5G standard patent declarations, highlighting a comprehensive global patent portfolio enhancement.

Regarding distribution, Xiaomi has accelerated its expansion of automotive sales and service network. By September 30, 2024, 127 automotive sales outlets have commenced operations across 38 cities in mainland China, poised to hasten automobile deliveries.

During a teleconference, Xiaomi Group President Lu Weibing unveiled a pivotal objective for China's new retail sector in 2024, aiming to launch over 100 new retail stores with an area exceeding 500 square meters. These establishments will embody the "Mobile-Home-Ecosystem" ethos, integrating personal devices, smart home solutions, and intelligent commuting services to establish a holistic intelligent living experience. Strategically positioned within prime shopping hubs in major cities, these retail stores are poised to offer consumers a more convenient and intelligent lifestyle.

In Conclusion

Xiaomi Group's robust performance in the third quarter not only sustains steady growth in the smartphone domain but also demonstrates substantial potential and growth momentum in the automotive sector. With Xiaomi's persistent investments in innovative ventures and strategic alignments, the market holds an optimistic view on its future developmental path.

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