Xiaomi (1810) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue was RMB 108.9 billion, with adjusted net profit of RMB 6.2 billion and gross margin at 19.8%.

• Smartphone ASP reached a record RMB 1,351, with premium smartphones in China accounting for 32.1% of sales; global smartphone shipments ranked top 3 for 24 consecutive quarters despite a 26.5% YoY decline in shipments.

• IoT and lifestyle revenue was RMB 31.3 billion, with significant overseas growth and global MAU for the AIoT platform reaching 766.5 million.

• Smart EV deliveries reached 104,199 units in Q2, up 28.2% YoY, with cumulative SU7 series deliveries surpassing 500,000 and the launch of the SkyNomad SUV series.

• Major advancements in AI, robotics, and integration of AI into OS and smart home ecosystem, including the launch of Xiaomi Kunlun technical architecture and HyperOS 4.

Financial highlights

• Smartphone × AIoT segment revenue was RMB 84.0 billion, with a 20% gross margin; Smart EV, AI, and new initiatives revenue was RMB 24.9 billion, up 17.1% YoY, with a 19.2% gross margin.

• Smartphone revenue was RMB 42.1 billion, accounting for 38.7% of total revenue; shipments were 31.2 million units.

• IoT segment gross margin reached 20.1%; internet services revenue was RMB 9.0 billion with a 76.8% gross margin.

• R&D expenses in Q2 were RMB 9.2 billion, up 18.9% YoY; R&D employees made up 47.2% of total staff.

• CapEx in Q2 was RMB 3.6 billion, with 65.8% allocated to innovative businesses.

Outlook and guidance

• Short-term pressures include high storage costs, slow consumer demand recovery, geopolitical uncertainties, and intense competition.

• Continued investment in AI chips, OS, and embodied intelligence to drive next-stage growth.

• Overseas IoT and EV expansion on track, with accelerated development and new market entries planned.

• No interim dividend declared for the six months ended June 30, 2026.