Today, Xiaomi Group released its first-quarter earnings report for 2019. This is the first financial report disclosed by Xiaomi after launching the “mobile +AIoT” dual-engine strategy. According to the financial report, in the first quarter of this year, Xiaomi Group’s total revenue was 43.8 billion yuan (∼$6.3 billion), up 27.2% year-on-year; the adjusted profit was 2.1 billion yuan (∼$303 million), up 22.4% year-on-year. Its revenue profit exceeded market expectations.
During the reporting period, the number of IoT devices connected to the Xiaomi IoT platform reached 171 million units (excluding smartphones and laptops), an increase of 70% year-on-year. The artificial intelligence assistant Xiaoai had more than 45.5 million monthly users in March 2019, a year-on-year increase. 247.2%. Its foreign market continued to expand, the Indian market took the lead, and the Western European market continued to maintain a high growth rate.
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During the reporting period, Xiaomi’s smartphone revenue was 27 billion yuan (∼$3.9 billion), a year-on-year increase of 16.2%, and global sales reached 27.9 million units. According to the research firm Canalys, the shipment of Xiaomi smartphones ranked fourth in the world in the first quarter of 2019. In addition, the average selling price (ASP) of Xiaomi’s smartphones in mainland China and foreign markets increased by 30% and 12%, respectively, and it continued to stabilize the mid- to high-end market.
The Redmi Note 7 series sold more than 4 million units during the reporting period. The Xiaomi Mi 9 series was released on February 20, 2019. By March 31, 2019, the supply was over 1.5 million, and in early April 2019, the sales exceeded 1.5 million.
According to third-party data, in the first quarter of 2019, Xiaomi’s smartphone market share in mainland China increased for three consecutive months, from 9.5% in January 2019 to 11.8% in March 2019. In March 2019, Xiao Ai had more than 45.5 million active users, a surge of 247.2% year-on-year. As of March 31, 2019, Xiaomi AI speakers shipped more than 10 million units. According to Canalys data, 2018 Xiaomi AI speaker shipments ranked second in the Chinese market and fourth in the world.
Lei Jun, founder, chairman, and CEO of Xiaomi Group said that Xiaomi immediately started the second phase of Xiaomi’s entrepreneurship after the IPO, and carried out a series of major upgrades in the company’s core strategy, organizational management structure, technology research, and development system. These adjustments will lay the foundation for the next five to ten years of development of Xiaomi. The positive results of these adjustments and upgrades have gradually begun to show. Xiaomi officially launched the new strategy of “Mobile +AIoT” dual engine in the first quarter of this year. Xiaomi and Redmi now operate independently, and a series of popular products have since been launched.