Xiaomi Corporation, a consumer electronics and smart manufacturing company with smartphones and smart hardware connected through an IoT (Internet of Things) platform at its core, announced its unaudited consolidated results for the three months ended March 31, 2025 (“2025 Q1 Results”). Xiaomi recorded revenue exceeding RMB 100 billion for the second consecutive quarter, and its adjusted net profit exceeded RMB 10 billion for the first time. The results surpassed market expectations, with quarterly revenue of RMB 111.3 billion, a 47.4% year-over-year increase. Adjusted net profit reached RMB 10.7 billion, a 64.5% year-over-year growth, marking a strong start to 2025.
Solid growth was observed across all business segments during the quarter. Smartphone revenue increased by 8.9% year-over-year to RMB 50.6 billion; IoT and lifestyle products revenue rose 58.7% year-over-year to RMB 32.3 billion, with record shipments of washing machines and refrigerators, while air conditioner shipments defied trends, rising over 65.0% year-over-year. Smart electric vehicle (“EV”), artificial intelligence, and other new initiatives revenue reached RMB 18.6 billion, with Xiaomi SU7 series deliveries totaling 75,869 units.
Xiaomi’s premiumization strategy gained traction across all categories. The average selling price (“ASP”) of smartphones reached a record high of RMB 1,211 in Q1 2025. Sales of the Xiaomi 15 Ultra, launched in February, grew 90% compared to its predecessor in the same period.
Xiaomi smartphones reclaim top position in mainland China after a decade, with an 18.8% market share
In Q1 2025, Xiaomi’s smartphone revenue increased 8.9% year-over-year to RMB 50.6 billion. Global smartphone shipments reached 41.8 million units, achieving year-over-year growth for seven consecutive quarters. According to Canalys (now part of Omdia), Xiaomi maintained its position among the top three global manufacturers for the 19th consecutive quarter, with a 14.1% global market share. In mainland China, market share rose by 4.7 percentage points year-over-year to 18.8%, marking the fifth consecutive quarter of growth and reclaiming the top spot in shipments after ten years.
Xiaomi continued to strengthen its presence in the premiumsegment. According to third-party data, in mainland China, smartphones priced above RMB 3,000 accounted for 25.0% of Xiaomi’s total sales, a 3.3 percentage-point increase year-over-year. For smartphones priced at RMB 4,000 and above, Xiaomi achieved a market share of 9.6%, up 2.9 percentage points year-over-year.
IoT business revenue and gross margin hit record highs; smart large appliances double growth
The IoT and lifestyle products segment maintained accelerated growth, with revenue increasing 58.7% year-over-year to RMB 32.3 billion in Q1 2025. Gross margin improved by 5.4 percentage points year-over-year to 25.2%, both setting new records. Despite the low season for appliance sales, Xiaomi’s smart large home appliances saw explosive growth: air conditioner shipments exceeded 1.1 million units (+65.0% YoY); refrigerators surpassed 880,000 units (+65.0% YoY); and washing machines grew over 100% YoY to 740,000 units. Refrigerator and washing machine shipments reached record highs. Xiaomi’s smart home appliance factory will commence operations this year.
The tablet business also maintained strong growth. According to Canalys, global shipments increased 56.1% year-over-year, ranking third globally for the first time while maintaining third position in mainland China. Xiaomi’s smart band shipments were number one globally and number two in mainland China, while its TWS earphones ranked second globally and first in China.
As of March 31, 2025, the number of devices connected to Xiaomi’s AIoT platform (excluding smartphones, tablets, and laptops) grew to 943.7 million, a 20.1% year-over-year increase. Users with five or more connected devices (also excluding smartphones, tablets, and laptops) reached 19.3 million, up 26.5% year-over-year. In March 2025, the monthly active users (“MAUs”) of the Mi Home app increased to 106.4 million (+19.5%), and those of AI Assistant reached 146.7 million (+17.5%).
Internet services gross margin reaches 76.9% as user base continues to expand
Xiaomi’s internet services segment maintained steady growth, with revenue increasing 12.8% year-over-year to RMB 9.1 billion in Q1 2025. Gross margin rose 2.7 percentage points year-over-year to 76.9%.
Internet services user base hit global and mainland China records. In March 2025, global MAUs reached 718.8 million (+9.2%), while mainland China MAUs reached 181.1 million (+12.9%).
Xiaomi’s smart EV business grows steadily and expands capacity to hit 350,000 delivery target by 2025
Smart electric vehicles, artificial intelligence, and other new initiatives revenue totaled RMB 18.6 billion in Q1 2025. SU7 series deliveries reached 75,869 units in the quarter. The group will continue to ramp up production to achieve its annual target of 350,000 vehicle deliveries.
Xiaomi expanded its EV sales and service network: as of March 31, 2025, it had 235 EV sales centers across 65 Chinese cities.
Over the past year, the SU7 series strengthened the brand’s premium positioning. The SU7 Ultra, launched in February, redefined the premium segment with prices starting at RMB 500,000. Soon, the launch of the Xiaomi YU7 luxury performance SUV will further solidify its presence in this segment. EV delivery capacity has steadily improved, with cumulative deliveries exceeding 258,000 units since launch. Xiaomi delivered over 20,000 vehicles per month for six consecutive months. In April, the SU7 led sales among models priced above RMB 200,000.
Xiaomi to invest RMB 200 billion in R&D over next five years to strengthen its ecosystem in chips, AI, and operating system
Xiaomi remains firmly committed to investing in core technologies and aims to position itself as a global leader in innovation. R&D expenditure reached RMB 6.7 billion in Q1 2025 (+30.1%). As of March 31, the company had 21,731 employees in R&D, its highest number to date. Xiaomi also strengthened its intellectual property portfolio, accumulating over 43,000 patents worldwide. The group plans to invest RMB 200 billion in R&D over the next five years, reaffirming its commitment to fundamental technological innovation.
On May 22, Xiaomi unveiled its proprietary 3 nm Xiaomi XRING O1 chip, already integrated into smartphones and tablets. This milestone marks the full implementation of its core technologies: chip, artificial intelligence, and operating system. Xiaomi continues to build a solid long-term technological advantage and position itself as a global leader in innovation and technology ecosystems.
