Xiaomi records “solid” Q2 revenue and profit growth

Xiaomi, a consumer electronics company and smartphone manufacturer, has recorded an increase in profit and revenue during Q2 of 2021. During the second quarter, the company’s total revenue topped RMB87.8bn (US$135.4bn), a rise of 64% year-over-year. The company’s adjusted net profit for the period reached RMB6.3bn (US$9.7bn), representing a rise of 87.4% year-over-year. Total revenue and adjusted net profit both reached record highs in the quarter. 

Commenting on their performance, Xiaomi said: “During the second quarter of 2021, our core ’Smartphone × AIoT’ strategy continued to underpin our outstanding performance. Looking forward, we will continue to execute our dual-brand strategy, boost investments in advanced technology, recruit and foster talents and upgrade channel capabilities, enhance our premium smartphone offerings and improve user experience. 

“We will also remain committed to our core ‘Smartphone × AIoT’ strategy, working fervently to advance innovations in sophisticated and cutting-edge technologies across product categories. We will also continue enhancing connectivity between our smartphones and IoT products to deliver a seamless user experience across our range of products, bringing a better life to everyone in the world,” Xiaomi added. 

Q2 2021 financial highlights:

• Total revenue at RMB87,789.0 million, up 64.0% year-on-year.
• Gross profit at approximately RMB15,148.1 million, up 96.7% year-on-year
• Non-IFRS adjusted net profit was RMB6,321.5 million, up 87.4% year-on-year

H1 2021 financial highlights:

• Total revenue at RMB164,671.2 million, up 59.5% year-on-year
• Gross profit at approximately RMB29,309.4 million, up 92.1% year-on-year
• Non-IFRS adjusted net profit was RMB12,390.8 million, up 118.4% year-on-year

Xiaomi’s global smartphone shipments ranking rises 

Xiaomi’s smartphone business continued to exhibit significant growth in the second quarter of 2021, highlighted by record-breaking smartphone revenue and shipments. Smartphone revenue amounted to RMB59.1 billion in the reporting period representing an increase of 86.8% year-over-year. The Group’s global smartphone shipments reached 52.9 million units, also 86.8% up year-over-year. According to Canalys, Xiaomi’s global smartphone shipments ranked No. 2 for the first time in the second quarter with a market share of 16.7%.

Meanwhile, the Group’s smartphone shipments in the China market also grew rapidly. According to Canalys, in the second quarter of 2021, our smartphone market share in mainland China rose to 16.8% from 10.3% in the second quarter of 2020, ranking third with a 35.1% year-over-year increase in smartphone shipments, the highest growth rate among major players in the market.

According to third-party data, in the second quarter of 2021, the market share of Xiaomi’s smartphones in mainland China with prices between RMB3,000 and RMB4,000, RMB4,000 and RMB5,000, and above RMB5,000, witnessed a year-over-year increase. 

In the first half of 2021, the global shipments of our smartphones with retail prices at or above RMB3,000 in mainland China and EUR300 or equivalent in overseas markets exceeded 12mn units, surpassing the total of around 10mn units shipped in 2020.