China's Xiaomi Profits $1.6 Billion in 3 Months with 81% Increase

The profits of the Chinese company Xiaomi jumped by 80.9% during the third quarter, thanks to the world's third-largest smartphone maker intensifying its efforts to transition toward the electric vehicle (EV) sector, the company announced in a statement.

Financial Performance and Strategic Shift

• Adjusted Net Profit: The adjusted net profit reached 11.3 billion yuan (approximately $1.6 billion), surpassing the average analyst estimates of 10.3 billion yuan, according to London Stock Exchange Group data.

• Growth Driver: The company stated in a stock exchange disclosure that the growth was driven by electric vehicles, Artificial Intelligence (AI), and other new initiatives, marking the first time the company has achieved operating profit in a single quarter.

• Revenue: Revenue for the quarter ended September 30 rose by 22.3% to 113.1 billion yuan ($15.90 billion), which was slightly less than the 116.5 billion yuan average analyst forecast compiled by the London Stock Exchange Group.