Chinese device maker Xiaomi revealed a net loss of CNY7 billion ($1.09 billion) for the quarter ending 31 March, as smartphone shipments jumped 88 per cent year-on-year, Reuters reported.

Figures released in a draft prospectus as part of a plan to file for an initial public offering (IPO) in Hong Kong, show revenue hit CNY34.4 billion in Q1 2018 compared with CNY114.6 billion in the full year 2017. The company booked a loss of CNY43.9 billion in 2017, reversing a profit in 2016.

Excluding one-off items, the vendor said it made a profit of CNY1.04 billion in the opening quarter. By the same measure, Xiaomi generated a profit of CNY3.9 billion during 2017, Reuters reported.

Its listing is expected to raise at least $10 billion, which would make it the largest listing by a Chinese technology company in almost four years. Up to 30 per cent of the offering is expected to be sold as Chinese Depository Receipts (CDRs) in China, sources told Reuters.

Last week Xiaomi submitted its CDR prospectus to the China Securities Regulatory Commission, making it the first company to enroll in a trial programme available to overseas-listed Chinese companies with a market cap of least CNY200 billion, China Daily reported.

The newspaper said mainland media reported the vendor is scheduled to issue CDRs in Shanghai on 16 July after pricing CDRs and its share offering in Hong Kong on 9 July.