On August 22, Xiaomi Group announced the second quarterly report of 2018, which is the first financial report since the listing of Xiaomi Group.
The financial report shows that Xiaomi’s revenue in the second quarter of 2018 was 45.236 billion yuan ($6.61 billion), up 68.3% year-on-year and 31.5% quarter-on-quarter. The adjusted profit was 2.17 billion yuan ($0.32 billion), up 25.1% year-on-year and 24.6% quarter-on-quarter. Throughout the first half of the year, Xiaomi’s revenue was 79.648 billion yuan ($11.64 billion), up 75.4% year-on-year; the adjusted profit was 3.816 billion yuan ($0.56 billion), up 62.2% year-on-year.
The sales volume and average selling price of Xiaomi smartphones have been greatly improved. In the second quarter of 2018, Xiaomi’s smartphone sales reached 32 million units, a year-on-year increase of 43.9%. Due to the high performance of the high-end flagships, the average selling price of smartphones in China increased by more than 25%. Driven by sales volume and average selling price, Xiaomi’s smartphone business revenue reached 30.501 billion yuan ($4.46 billion), a year-on-year increase of 58.7%.
In addition, Xiaomi IoT and consumer products segment grew the fastest, with revenues of 10.378 billion yuan ($1.52 billion), an increase of 104.3%. Among them, the main IoT products such as the Xiaomi TVs and Xiaomi notebooks contributed the most, with sales revenue reaching 4.178 billion yuan ($0.61), a year-on-year increase of 147.2%.
The financial report also showed that Xiaomi Smart TV became the first brand in China in the second quarter of 2018. In February 2018, Xiaomi launched smart TVs in India and quickly achieved significant market share. As of the second quarter of 2018, the global sales of Xiaomi Smart TV increased by more than 350%.
In the second quarter of 2018, Xiaomi’s Internet service revenue increased by 63.6% year-on-year to 3.958 billion yuan ($0.58 billion), and MIUI monthly active users increased by 41.7% year-on-year to 207 million people. It is worth noting that as of the second quarter of 2018, Xiaomi AI voice assistant has 26 million active users per month. ‘IoT + AI’ help Xiaomi further optimize the user experience and enhance product competitiveness.
In terms of international business, Xiaomi Mobile continued to maintain its number one position in India, and shipments in Western Europe increased by more than 2700% year-on-year. As of the second quarter of 2018, Xiaomi Mobile ranked among the top five in the world, being available in 25 countries and regions.