Xiaomi Sales Plunge Amid Global Smartphone Slowdown

• Xiaomi’s overall revenue decreased by 4% in Q2 2023.
• The company’s smartphone sales fell by 15.8% in Q2 2023.
• Xiaomi shipped 32.9 million smartphones in Q2 2023.

Xiaomi has unveiled its financial results for the second quarter of 2023, which presented some challenges.

The company experienced a notable 4% decrease in overall revenue during this period.

This decline was particularly influenced by the performance of their smartphone business. Notably, between April and June 2023, Xiaomi saw a significant 15.8% drop in device sales compared to the same period in the previous year.

The primary reason cited for this disappointing outcome was a sustained global decrease in market demand.

Over the three-month timeframe, Xiaomi shipped 32.9 million smartphones, a considerable decrease from the 39.1 million units shipped during the same period the prior year.

This resulted in a cumulative revenue of CNY 36.5 billion, slightly over $5 billion.

Calculations revealed that the average selling price of Xiaomi smartphones experienced a slight increase, moving from CNY 1,081.70 ($148.80) to CNY 1,112.20 ($154.37).

This rise was primarily attributed to higher average prices in China.

Positive Highlights Amid these difficulties, Xiaomi has reasons for optimism. The company maintained its global position as the third-largest manufacturer, consistent with its previous standing.

Furthermore, it held onto its second-place rank in two key regions—Europe and the Middle East.

During the April to June period, Xiaomi’s smartphone shipments secured spots in the top three in 51 different countries and maintained positions within the top five in 10 more markets.

Notably, the company’s count of monthly active users saw a remarkable 10.8% year-on-year growth, reaching an impressive 606 million users.

This substantial increase also marked a new record for Xiaomi.