Strong Financial Results Back Xiaomi’s Premium Push
Xiaomi has officially reported consolidated revenue of ₹1.31 lakh crore for the first quarter of 2025, showing a strong 47.4% year-on-year (YoY) growth. It marks the second straight quarter that the Chinese tech giant has exceeded the ₹1.2 lakh crore milestone. With an adjusted net profit of ₹12,680 crore, Xiaomi also achieved a record-breaking 64.5% YoY profit growth, reflecting the success of its premiumisation strategy.
Premium Smartphones Drive Growth
Xiaomi attributed its record revenue in part to a strategic shift toward premium devices. Its smartphone division posted revenues of ₹59,961 crore, growing 8.9% YoY. Flagship models like the Xiaomi 15 Ultra played a major role, with sales increasing by 90% over its predecessor. The average selling price (ASP) of Xiaomi smartphones hit a record high of ₹14,372, indicating strong demand for high-end devices.
Massive Surge in IoT and Smart Home Devices
Another big contributor was Xiaomi’s IoT and smart home segment, which brought in ₹38,276 crore, marking a massive 58.7% YoY increase. Standout products included air conditioners, refrigerators, and washing machines. Shipments for these categories reached impressive numbers:
- Air Conditioners: 11 lakh units (+65% YoY)
- Refrigerators: 8.8 lakh units
- Washing Machines: 7.4 lakh units
Xiaomi SU7 EV and AI Business Also Perform Well
Xiaomi’s diversification into electric vehicles (EVs) and AI appears to be paying off. Revenue from new initiatives totaled ₹22,041 crore, led by the Xiaomi SU7 Series, which shipped 75,869 units in Q1. This positions Xiaomi as an emerging competitor in the global EV market.
Consistent Global Market Performance
Xiaomi maintained its top-3 global smartphone brand status for the 19th consecutive quarter, with 4.18 crore smartphone units shipped. The company now holds a 14.1% global market share, according to Canalys (now part of Omdia).
Conclusion
With a robust product portfolio across smartphones, smart home devices, wearables, and EVs, Xiaomi has proven its ability to grow revenue through diversification and premiumisation. Its performance in Q1 2025 reflects strategic maturity, and all signs point to an even stronger fiscal year ahead.
As the competition heats up with rivals like Samsung and Apple eyeing slim and premium devices, Xiaomi’s aggressive push into high-margin categories could be the key to solidifying its global dominance.
