This was reported by the Chinese company Xiaomi financial results Based on third quarter results ended September 30 for the electronics maker. The provider’s revenue was 70.9 billion yuan (about 9.9 billion U.S. dollars) in the reporting period, slightly above analysts’ expectations, who had forecast sales of 70.5 billion yuan. Additionally, the company reported growth in smartphone sales for the first time in a long time.
Xiaomi’s quarterly revenue increased 0.6% year-on-year and 5.3% quarter-on-quarter. The company’s net profit was 4.9 billion yuan, also higher than expected 4.3 billion yuan. Compared to the previous three-month period, profits rose 32.8%. The share of smartphone sales fell from 60.3% to 58.7% during the year, indicating the company’s less dependence on this segment. At the same time, the share of sales in the consumer electronics and Internet of Things devices segment increased from 27% to 29.2% over the same period.
The volume of smartphones shipped in the quarter was 41.8 million devices, up 4% from the 40.2 million devices shipped in the third quarter of last year. Xiaomi is gradually recovering from a long crisis that began several years ago with a sharp decline in demand for smartphones and other electronics in the global market. The situation was exacerbated by pressure from competitors such as Huawei, Apple and OPPO, which shook the company’s once dominant position. The recent launch of Xiaomi 14 smartphones has helped revive sales growth in the domestic market despite the unstable economic situation.
There are increasing signs that the global smartphone market is gradually recovering. Xiaomi and Huawei recorded significant growth in smartphone sales in China at the end of October, although Huawei’s success is mainly associated with the launch of the acclaimed Mate 60 Pro smartphone, while Xiaomi’s flagship Xiaomi 14 is enjoying success. Investors betting that Xiaomi will be successful are among the main beneficiaries of the market recovery.
The company’s market value has risen by more than $19 billion since its June low, thanks to the rush that came with the release of new smartphones as well as the impending start of sales of electric vehicles. More than 1 million Xiaomi 14 series smartphones were sold in the first week of October. Earlier this month, the public got a first look at Xiaomi’s five-seat electric sedan, which is expected to launch in China in the first half of next year.