Xiaomi has published its financial results for the last quarter, and the figures show a significant decline in revenue and profit. Revenues for the July-September 2022 period were 70.5 billion yuan, around 9.5 billion euros, representing a 10% drop. Of these, about half came from foreign markets. Net profit fell even more: 59% year on year, to 2.1 billion yuan (282 million euros). However, this is partly due to the investment of 829 million yuan (111 million euros) in the new electric vehicle business and other projects that should bear fruit in the future. MIUI users reached 564 million, 78.1 million more than in the same period of the previous year, representing an annual increase of 16%. Only 141 million of them (about 25%) are in China.
The company also revealed that R&D investments are up 25% compared to a year ago, with 48% of its staff working in R&D departments. The company shipped 40.5 million smartphones in the third quarter of 2022, and while it maintained its third position in the world, shipments were down 7.8% year-on-year, with revenue down 11.1%. Xiaomi cited “global macroeconomic headwinds” as one of the reasons Xiaomi reached second place in the European market, first in Spain and second in Italy and France. If we look at broader regions, Xiaomi sits comfortably in third place in Latin America and Africa.
