Xiaomi is successfully entering the electric car market. As a reminder, the first models of the Chinese brand, from the Xiaomi SU7 series, were released on March 28, 2024. But production quickly accelerated, while demand is greater than expected. And on November 13, Xiaomi crossed the threshold of 100,000 cars produced (in 230 days). During the presentation of its third quarter results, the manufacturer also indicated that its objective is now to end the year having delivered more than 130,000 vehicles. Xiaomi SU7. The initial goal was to sell 76,000 units in 2024.
This new objective is in any case within the reach of Xiaomi which, in October, exceeded 20,000 units delivered in one month. In addition, as recalled in a Reuters article, Xiaomi doubled its production teams in June. Financially, Xiaomi indicates that its automotive branch generated the equivalent of 1.2 billion euros in the third quarter. “In the third quarter of 2024, the gross profit margin of our smart electric vehicles and other new initiatives segment reached 17.1%”also indicates the manufacturer.
Otherwise, the manufacturer also continues to expand the availability of its driver assistance features. But for the moment, the brand is still focusing on the Chinese market, and is not talking about possible international expansion.
Everything is going well for Xiaomi
While successfully entering the electric car market, Xiaomi is also showing good results for its other activities. In the third quarter, the manufacturer generated the equivalent of 12.1 billion euros (92.5 billion yuan), a record income which corresponds to an increase of 30.5% year-on-year. Adjusted net profit increased by 4.4%, reaching the equivalent of 824 million euros.
Xiaomi’s smartphone business is also doing very well. In the third quarter, it generated the equivalent of 6.2 billion euros (47.5 billion yuan), an increase of 13.9% year-on-year. The brand shipped 43.1 million units during the quarter, an increase of 3.1% year-over-year. Xiaomi is also successfully pivoting to the premium category. Indeed, 20.1% of smartphones shipped in mainland China during the third quarter were premium models, an increase of 7.9 percentage points year-on-year.
- Xiaomi also mentions significant growth in other activities, such as connected devices or services offered on the internet.
- Xiaomi launched its electric cars in China in March 2024
- Today, it has already exceeded 100,000 units produced and is targeting 130,000 units delivered before the end of the year.
- Xiaomi also announces good results for its smartphone activities, connected objects and services
