Chinese tech giant Xiaomi reported robust fourth-quarter earnings on Tuesday, surpassing analyst expectations with a 48.8% revenue surge to 109 billion yuan ($15.1 billion). The company also raised its 2024 electric vehicle (EV) delivery target by 16% to 350,000 units, signaling growing confidence in its automotive ambitions.
Expanding Global Footprint
Beyond EVs, Xiaomi unveiled aggressive retail expansion plans:
- Domestic store network to widen across China this year
- 10,000 new Mi Home stores slated for international markets within five years
The company’s adjusted net profit soared 69.4% year-on-year to 8.32 billion yuan, outperforming estimates. Xiaomi President Lu Weibing highlighted significant overseas potential for its product ecosystem—spanning smartphones, tablets, and EVs—while acknowledging the complexities of global expansion. The automaking division aims to begin international car shipments by 2027.
EV Business Gains Traction
Since entering automotive manufacturing in 2023 with its SU7 sedan, Xiaomi has delivered over 135,000 units, generating 32.1 billion yuan in 2024 EV revenue. However, the segment remains loss-making, with 6.2 billion yuan in adjusted net losses for new initiatives.
Smartphone Market Strength
Xiaomi retained its position as the world’s third-largest smartphone vendor in Q4, shipping 42.7 million units (up 5% year-on-year). In its home market, shipments jumped 29% to 12.2 million, capturing 16% market share. The company targets 180 million smartphone shipments in 2024 and plans to allocate 8 billion yuan—a quarter of its R&D budget—to AI development.
Investors have rewarded Xiaomi’s strategic pivot, with shares surging 284% over the past year. As the company navigates its transformation from consumer electronics to automotive and AI, its ability to balance growth across these sectors will be critical to sustaining momentum.
