Xiaomi reports 25.4% YoY increase in profit in Q3 2021


Xiaomi has announced its earning for the third quarter (Q3 2021) that ended September 30, 2021, in which it reported a revenue of 78.1 billion yuan (US$ 12.2 billion), an increase of 8.2% compared to Q3 2020. Net profit for the quarter was approximately 5.2 billion yuan, up 25.4% YoY.

The company said that the impact due to global macro-environment as well as market sentiment towards technology sector in China in the third quarter, its long-term investments measured at fair value through profit or loss in the current period have generated unrealized financial losses, which have had a substantial impact on Xiaomi’s net profit.

  • Revenue from overseas markets reached 40.9 billion yuan during the third quarter of 2021, up 2.76% YoY, accounting for 52.4% of total revenue.
  • Xiaomi’s smartphone revenue amounted to 47.8 billion yuan for the year, up 0.42% year-over-year, but due to cost controls, smartphone gross margin reached 12.8% in the quarter and increased by 4.4% year-over-year and 1% quarter-over-quarter
  • In the quarter, it shipped 43.9 million units, down 5.79% year-over-year.
  • In the first three quarters of 2021, global shipments of Xiaomi’s premium smartphones (priced at or above RMB3,000 in mainland China and EUR300, or equivalent) in overseas markets, totaled approximately 18 million, accounting for more than 12% of total shipments. This is compared to 10 million units in all of 2020
  • Coming to overseas markets, the total shipments of smartphones priced at or above EUR300, or equivalent, grew by more than 180% year-over-year during the third quarter, mainly in Latin America, Western Europe and the Middle East.
  • MIUI 30-day active users has exceeded 500 million as of 22 November 2021
  • Revenue from IoT and lifestyle products segment reached 20.9 billion yuan, up 15.5% year-over-year. Overseas IoT and lifestyle products revenue reached a new record high, despite the challenges in maritime shipping logistics overseas this quarter.
  • In Q3 2021, global shipments of Xiaomi’s smart TVs reached 3 million units, up 19.5% year-over-year.
  • As of September 30, 2021, the number of connected IoT devices (excluding smartphones, tablets and laptops) on Xiaomi’s AIoT platform reached 400 million units for the first time, up 38.1% YoY
  • The number of users with five or more devices connected to its AIoT platform (excluding smartphones, tablets and laptops) exceeded 8 million, representing a year-over-year increase of 42.8%.
  • MAU of smart TVs and Mi Box increased over 33% year-over-year in the quarter.
  • In the first three quarters of 2021, Xiaomi’s cumulative research and development expenditures reached 9.3 billion yuan, up 51.4% year-over-year.
  • As of September 30, 2021, Xiaomi’s research and development team totaled 13,919 employees, accounting for more than 44% of total employees

Author: Srivatsan Sridhar

Srivatsan Sridhar is a Mobile Technology Enthusiast who is passionate about Mobile phones and Mobile apps. He uses the phones he reviews as his main phone. You can follow him on Twitter and Instagram