Chinese device maker Xiaomi’s revenue soared in Q1 2019, rising more than 27 per cent year-on-year as the company benefitted from growth outside its home market.
In an earnings statement, Xiaomi reported revenue of CNY43.8 billion ($6.3 billion) up from CNY34.4 billion in Q1 2018, with its smartphone unit driving sales, rising 16 per cent to CNY27 billion.
Net profit of CNY.3.2 billion compared with a loss of CNY7 billion.
Xiaomi said smartphone shipments reached 27.9 million in Q1, with Canalys ranking the company fourth globally in the overall market. The shipment figures caused controversy after the company branded recent analyst estimates as “inaccurate and unfair”.
It was responding to figures from IDC, which pegged the figure at 25 million shipments for Q1, while Strategy Analytics said it had hit 27.5 million.
Xiaomi said “a series of strategic adjustments in our smartphone segment have started to bear fruit”, including the launch of its Redmi Note 7 Series overseas in February, which generated high demand.
It also said it benefitted from an expansion into the mid-tier market, the separation of Redmi as a separate brand and growth in its home market.
“The successful releases of our new smartphone models and the excellent market feedback that we received helped us to further increase our market share of smartphone shipments in mainland China in the first quarter of 2019,” explained the company.
Revenue from international markets grew 34.7 per cent to CNY16.8 billion, with India proving a key market.
Aside from its smartphone business, revenue from the company’s IoT and lifestyle product segment was up 56 per cent to CNY120 billion, with smart TVs leading growth.Subscribe to our daily newsletter Back