Xiaomi (1810) Q4 2024 earnings summary

Executive summary

• Achieved record annual revenue of RMB 365.9 billion in 2024, up 35% year-on-year, with adjusted net profit of RMB 27.2 billion, up 41.3% year-on-year, and all business segments showing significant growth.

• Global smartphone shipments ranked No.3 for 18 consecutive quarters, with 168.5 million units shipped in 2024, up 15.7% year-on-year and a 13.8% global market share.

• Smart EV business delivered 136,854 vehicles in 2024, with a target of 350,000 deliveries in 2025 and strong ramp-up plans.

• IoT and lifestyle products revenue hit RMB 104.1 billion, up 30% year-on-year, with significant advances in premiumization and global market share.

• Management reforms and strategic focus on "human, car, and home" drove operational visibility and controllability.

Financial highlights

• Q4 2024 revenue reached RMB 109 billion, up 48.8% year-on-year, the fastest growth since Q3 2024.

• Comprehensive gross profit margin for 2024 was 20.9%; smartphone margin at 12.6%, IoT and lifestyle at 20.3%, internet services at 76.6%.

• Mobile phone and AIoT segment revenue was RMB 333.2 billion, up 22.9% year-on-year, with a gross margin of 21.2%.

• Internet services revenue hit RMB 34.1 billion, up 13.3% year-on-year, with a gross margin of 76.6%.

• Smart EV and innovative businesses incurred a loss of RMB 6.2 billion, narrowing by 7.1% year-on-year.

Outlook and guidance

• R&D investment in 2025 expected to reach RMB 30 billion, with AI accounting for about a quarter.

• Targeting delivery of 350,000 new Smart EVs in 2025, with the launch of YU7 planned mid-year.

• Plans to expand to 20,000 Xiaomi home stores in China and 10,000 overseas, with 500 overseas stores in the near term.

• Continued focus on high-end development, AI integration, and management system optimization.

• R&D expenses from 2021 to 2025 expected to exceed RMB 100 billion.