Xiaomi has started its life a public company in style, posting a net profit of $2.1 billion during its first ever fiscal quarter after its IPO in Hong Kong.
Things are not perfect, however. Since its IPO in July, where it raised $4.7 billion, Xiaomi’s share price has steadily fallen, with the company incurring some heavy operational costs surrounding the IPO, which resulted in a net loss of $1.1 billion.
However, business remained strong with the revenue growing to $6.6 billion, an increase of 68% in Q2 2018.
The company produces a large line of products now, from pretty respectable laptops to water heaters. The smartphones still remain the centerpiece of the portfolio, shipping 32 million this quarter, 44% higher than the same quarter last year. The division accounted for $4.5 billion in revenue, or two-thirds of the overall revenue for Xiaomi, though gross profits on hardware sales lowered from 8.7% to 6.7%.
Sales of Xiaomi’s other smart products, including fitness bands and TVs, also reported a massive 100% increase year on year, to nearly $1.5 billion.
Revenue from internet services division also increased by 64%, to $584 million, or 9% of the total revenue. This segment lowers Xiaomi’s reliance on hardware sales, and hence would be of great importance in the future.
Internationally the company performed much better, generating over a third of its sales outside China, increasing over 150% in a year.
Share prices of the company increased slightly to HK$17.68, however, they’re still a ways off from their current all time high of HK$21.55.
Via TechCrunch
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