On the evening of August 19, Xiaomi Group released its Q2 2025 financial report. The report shows that Xiaomi Group’s total revenue for Q2 2025 was 115.96 billion RMB, a 30.5% year-on-year increase, marking three consecutive quarters of over 100 billion RMB and setting a new historical record. The adjusted net profit reached 10.8 billion RMB, a significant 75.4% increase compared to the same period last year, with two consecutive quarters of over 10 billion RMB in profit. In simple terms, Xiaomi Group achieved record-breaking revenue and profit in the second quarter of this year.
Xiaomi Group’s business is mainly divided into two segments, with the mobile phone and AIoT division generating 94.7 billion RMB in revenue, a 14.8% year-on-year growth, accounting for 81.7% of the total revenue. The revenue from Xiaomi’s smartphone business was 45.5 billion RMB, with global smartphone shipments reaching 42.4 million units, a 0.6% increase year-on-year.
In addition, Xiaomi’s strong performance report is also supported by its innovative businesses, such as smart electric vehicles. The report shows that the revenue from Xiaomi’s smart electric vehicles and AI-related businesses in Q2 2025 reached 21.3 billion RMB, a 233.9% year-on-year increase. Of this, the revenue from smart electric vehicles was 20.6 billion RMB, accounting for 17.8% of Xiaomi Group’s total revenue, while other related businesses contributed 600 million RMB. Additionally, the gross margin of the smart electric vehicles and AI innovation business segment for Q2 was 26.4%, and operating losses were 300 million RMB, significantly narrowing compared to before.
The growth of Xiaomi Group’s automotive-related business is primarily driven by the models currently available for sale. Official data shows that Xiaomi delivered 81,302 new cars in Q2. Currently, Xiaomi’s automotive lineup includes the Xiaomi SU7 and Xiaomi YU7 models. The Xiaomi SU7, Xiaomi’s first model, was launched in March 2024 and is priced between 215,900 and 299,900 RMB. The Xiaomi YU7, the second model from Xiaomi Auto and the first SUV, was launched on June 26 and delivered on July 6. Three versions of the model were introduced, priced between 253,500 and 329,900 RMB. According to Xiaomi Auto, the Xiaomi YU7 received significant market attention, with 200,000 units pre-ordered within 3 minutes of its release, and 248,000 units locked within 18 hours, surpassing the heat generated by the first model, the Xiaomi SU7. This indicates strong consumer recognition of the Xiaomi YU7.
In a previous earnings call for the first quarter, Lei Jun, Xiaomi Group’s partner and president, stated, “Since the release of the SU7, there hasn’t been a competitor for it. There’s no opponent because the product strength is strong, and with no competitors, we can ensure a high profit margin.” This indirectly highlights the absolute product strength and market position of the Xiaomi SU7. With the launch of the Xiaomi YU7 in July, Lei Jun expressed even greater confidence.
During the Q2 earnings call, Lei Jun expressed confidence in meeting the goal of delivering 350,000 Xiaomi cars in total for the year and indicated that Xiaomi Auto may achieve quarterly profitability in the second half of the year. Lei Jun had set a target of delivering 300,000 new cars by the end of 2024 during a New Year’s Eve live stream from the Xiaomi Auto factory. Later, at the annual financial meeting, he raised this target to 350,000 units.
Retail sales data shows that by the end of July, Xiaomi Auto had sold a total of 188,378 vehicles in the first seven months of the year, with 180,102 units of the Xiaomi SU7. Based on the target of 350,000 units for the year, Xiaomi Auto achieved 53.82% of its annual goal by the end of July. With the launch and delivery of the YU7, Xiaomi Auto’s market performance in 2025 is highly anticipated.
