Xiaomi Revenue Fell 20 Percent in 2Q22

During the second quarter of 2022, Xiaomi registered revenue of RMB70.2 billion ($10.31 billion), 20% lower compared with the same period last year. Adjusted net profit fell 67% to RMB2.1 billion, which included RMB611 million of expenses related to smart EVs and other new initiatives.

"In the Chinese market, there was the resurgence of the pandemic, so as a result, demand was difficult and weak," said Xiaomi president Wang Xiang. He added that rising fuel prices, input costs, and inflation affected overseas sales as well. Net profit fell as a result of pressure to clear inventory via sales and promotions.

Xiaomi’s smartphone revenue reached RMB42.3 billion with global smartphone shipments reaching 39.1 million units, an increase of 1.5% quarter-over-quarter. According to Canalys, Xiaomi’s global smartphone shipments ranked No. 3 in the second quarter with a market share of 13.8%, and its market share has increased for two consecutive quarters. The company's international brand strength continues to solidify as it progressively expands its foothold in global markets. In the second quarter of 2022, Xiaomi’s revenue from overseas markets reached RMB34 billion, accounting for 48.4% of total revenue.