Xiaomi Corporation, a consumer electronics and smart hardware manufacturing company with smartphones and smart hardware connected by an Internet of Things (“IoT”) platform at its core, announced its audited consolidated results for the year ended December 31, 2022.
Xiaomi managed to slightly outperform market expectations in 2022, generating total revenues of RMB280 billion ($40.77 billion) and an adjusted net profit of RMB8.5 billion. Xiaomi's overall sales in the fourth quarter of 2022 were RMB66.0 billion, and its adjusted net profit was RMB1.5 billion.
Xiaomi's new operating plan through 2023 places a "dual emphasis on scale and profitability." Xiaomi will coordinate and optimize its strategic structure, operational management, and resource allocation with the help of the recently established Group Business Operation Committee and Group Human Resources Committee. The emphasis will be on raising efficiency, enhancing quality, and creating a workable long-term governance framework. After the progressive easing of macroeconomic stresses, the goal is to further unlock the potential of consumer demand and technical innovation.
The year's sales for Xiaomi's smartphone division came to RMB 167.2 billion. The average selling price of its cellphones increased as well, rising four years in a row to RMB 1,111. IoT and lifestyle product sales brought in RMB79.8 billion in 2022. Revenue in this category rose 12.5% from quarter to quarter in Q4 to RMB21.4 billion. Internet service revenue totaled RMB28.3 billion, of which RMB6.8 billion, or 35.2% more than the previous year, came from overseas internet services. Another record-high amount of RMB1.9 billion was generated by foreign internet services in the fourth quarter of 2022.
During the entire year, advertising revenue totaled RMB18.5 billion, and RMB4.7 billion in the final quarter of 2022. Moreover, gaming income for the Group increased by 4.4% annually in 2022 to RMB 4.1 billion. Gaming revenue reached RMB1.0 billion in the fourth quarter of 2022, an increase of 8.7% over the previous quarter and the sixth straight quarter of year over year gains.
Source: Xiaomi
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