21 Mar 2024

Xiaomi reported 4Q23 results, with its revenue up 10.9% YoY to Rmb73.2bn, in which its YoY growth accelerated from 0.6% in 3Q23. After seven consecutive quarters’ of shipment decline, smartphone revenue strongly rebounded by 20.6% YoY to Rmb44.2bn in 4Q23. Smartphone shipment increased 23.9% YoY to 40.5m units while smartphone ASP dropped 2.6% to Rmb1,092 in 4Q23. The decrease in ASP was primarily due to the strong growth of shipments in emerging markets including Africa and Latin America which carried lower ASP. The decrease in smartphone ASP was mitigated by the company’s premiumization strategy with the launch of high-end model, Xiaomi 14 series. According to third-party data, Xiaomi’s market share of smartphone sales in the Rmb4,000 -6,000 price range in China has reached 16.9%/28.2 in FY23/4Q23, up from 7.6% in FY22. According to Canalys, Xiaomi’s global smartphone market share increased from 11.2% in 4Q22 to 12.8% in 4Q23 while maintained global ranking No. 3 in terms of smartphone shipment. Xiaomi’s smartphone shipment surged 45% YoY and market share increased 2.4ppt YoY to 8.9% in Africa market in 2023.

CROSBY Research – Xiaomi Corporation (1810 HK): Solid 4Q23 core business recovery; launching of new EV will be near-term catalyst