Slide 1: Xiaomi Corporation 2023 Fourth Quarter and Annual Results
Xiaomi Corporation 2023 Fourth Quarter and Annual Results
Slide 2: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by representatives of Xiaomi Corporation (the “Company”, and together with its sub
Slide 3: 2023 Financial Highlights
2023 Financial Highlights Revenue Gross Profit Margin Adjusted Net Profit1 RMB 271.0 billion 21.2% RMB 19.3 billion -3.2% YoY +4.2ppt YoY +126.3% YoY Internet Services RMB 30.1 Smartphones billion RMB 157.5 Including Expenses billion Related to Smart EV and Smartphones 14.6% Other New Initiatives2 A
Slide 4: 2023 Business Highlights
2023 Business Highlights #3 739.7 million AIoT Connected Devices2 Global Market Share Ranking1 +25.5% YoY AIoT 14.5 million 12.8% Users with 5 or More Connected Global Market Share1 Devices2 +25.3% YoY Smartphones 51 markets Ranked Top 31 641.2 million Global MAU3 Internet +59.1 million (10.2%) YoY
Slide 5: Business Highlights
Business Highlights
Slide 6: Corporate Strategy Upgrade: Human x Car x Home
Corporate Strategy Upgrade Human x Car x Home October 2023 • Corporate Strategy Upgraded to Human x Car x Home • Unveiled Our New Operating System Xiaomi HyperOS February 2024 • Human x Car x Home and Xiaomi HyperOS Launched Overseas 6
Slide 7: Global Smartphone Shipments Ranked No.3 for 14 Consecutive Quarters
Global Smartphone Shipments Ranked No.3 for 14 Consecutive Quarters 2023 Shipments YoY Shipments 2023 by Quarter Global Smartphone Vendor 2023 Market Share (Million Units) Change Shipments and Market Share Apple 229.1 20.1% -1.3% 14.1% 60.0 12.9% 12.8% 14.0% Samsung 225.5 19.7% -12.6% 50.0 11.3% 41.
Slide 8: Leading Position in All Major Markets Globally
Leading Position in All Major Markets Globally 2023 Smartphone Shipments Ranking and Market Share No.3 No.3 20.7% +1.3% Europe No.5 12.8% No.2 13.1% Global 17.1% Mainland China Middle East +1.2% +2.4% No.3 +0.1% No.3 14.1% 16.0% No.3 Southeast Latin America 8.9% No.3 Asia Africa 16.9% India YoY Mark
Slide 9: Mainland China Smartphone Units Sold Ranked No.1 in December 2023
Mainland China Smartphone Units Sold Ranked No.1 in December 2023 Market 16.5% 15.9% 15.9% 15.5% 15.3% Share Xiaomi Peer A Peer H Peer v Peer O Source: By units sold in mainland China, according to third-party data 9
Slide 10: Smartphone Premiumization Strategy Reaping Rewards
Smartphone Premiumization Strategy Reaping Rewards Continuous Superior Ratings from Our Users1 Xiaomi 14 Ultra Xiaomi 14 Series Xiaomi MIX Fold 3 Xiaomi 13 Ultra Xiaomi 13 Series Xiaomi MIX Fold 2 Xiaomi 12S Ultra 99%+ 99%+ 99%+ 99%+ 99%+ 99%+ 98%+ Premium Smartphone Mainland China RMB4,000-6,000 as
Slide 11: Offline Market Share Steadily Increased in Mainland China
Offline Market Share Steadily Increased in Mainland China Average Single-store Average Single-store Smartphone Offline Market Share3 GMV by Year1 GMV by Quarter2 8.4% 6.7% 6.7% 5.2% 4.9% 2019 2020 2021 2022 2023 2022 2023 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 1 Average single-store GMV by year is
Slide 12: Key AIoT Categories Delivered Solid Performance in 2023
Key AIoT Categories Delivered Solid Performance in 2023 Wearables Tablets Smart Large Home Appliances Wearable bands ranked No.2 globally1 Tablets ranked No.3 in mainland Smart large home appliances revenue China1 grew around 40% YoY Wearable bands ranked No.2 in Tablets ranked Top 5 globally2 in Q3
Slide 13: Our First EV: Xiaomi SU7 Series
Our First EV: Xiaomi SU7 Series Full-size High-performance Eco-technology Sedan 0-100 km/h Recharge Top Acceleration Range Speed 2.78s 800km 265km/h Max Max 100-0 km/h Horsepower Torque Braking Distance 673ps 838N·m 33.3m Pricing to be Announced on March 28, 2024 Covering 59 Stores in 29 Cities Nati
Slide 14: Five Core Self-developed EV Technologies
Five Core Self-developed EV Technologies E-Motor Battery Die-Casting Autonomous Smart Cabin Driving Xiaomi HyperEngine V6/V6s Xiaomi 800V Silicon Carbide High - 9,100t Locking Force Phase 1 Total Investment RMB4.7 Billion Seamless Cross-device Connection - In Mass Production Voltage Platform - 72-in
Slide 15: The Goal of Xiaomi EVs
The Goal of Xiaomi EVs Aesthetically Pleasing / Enjoyable to Drive / Comfortable / Smart / Safe A Dream Car for the New Automobile Era Strive to Become Top 5 Automobile Manufacturer in 15 to 20 Years 15
Slide 16: R&D Expenses Grew 19% YoY to RMB19 billion
R&D Expenses Grew 19% YoY to RMB19 billion R&D Expenses RMB Billions 2023 R&D Accomplishments 19.1 16.0 13.2 Xiaomi HyperOS Xiaomi Die-casting Xiaomi HyperEngine 9.3 7.5 5.8 3.2 Proprietary Hinge Proprietary Shield Xiaomi Changping Technology Glass Smartphone Factory 2017 2018 2019 2020 2021 2022 20
Slide 17: Embrace AI in All Aspects of Our Business
Embrace AI in All Aspects of Our Business Enhance User Experience AI Embedded in Our Latest Improve Operational Efficiency Multiple AI Features for the Beta Test Smartphones Began Beta Test of Sales Forecasts the Multimodal LLM AI Real-time AI Input AI Assistant Based on MiLM-6B Translation Method T
Slide 18: Financial Highlights
Financial Highlights
Slide 19: Quarterly Revenue Increased throughout 2023
Quarterly Revenue Increased throughout 2023 Revenue RMB Billions 280.0 271.0 28.3 30.1 73.2 70.9 79.8 80.1 67.4 59.5 167.2 157.5 2022 2023 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Smartphones IoT and lifestyle products Internet services Others YoY% -18.9% -4.0% +0.6% +10.9% 19
Slide 20: Record Gross Profit Margins
Record Gross Profit Margins Overall Smartphone AIoT Internet Service % % % % 21.2% 16.3% 74.1% 74.2% 14.6% 14.4% 71.8% 17.7% 13.1% 11.9% 17.0% 9.0% 2021 2022 2023 2021 2022 2023 2021 2022 2023 2021 2022 2023 20
Slide 21: Core Business Operating Expenses Decreased Over 2.8 billion in 2023
Core Business Operating Expenses Decreased Over 2.8 billion in 2023 Operating Expenses RMB Billions 3.7 7.5 1.4 2.7 0.5 0.8 1.0 1.9 1.6 1.3 38.8 35.9 9.5 9.7 10.4 10.2 8.6 9.2 9.1 8.0 2022 2023 Q1 Q2 Q3 Q4 Operating expenses (excluding expenses related to smart EV and other new initiatives) in 2022
Slide 22: Full Year Adjusted Net Profit Increased 126.3% YoY
Full Year Adjusted Net Profit Increased 126.3% YoY Adjusted Net Profit1 RMB Billions 25.0 120.0% 19.3 100.0% 7.0 20.0 6.0 6.0 80.0% 5.1 4.9 15.0 5.0 60.0% 4.0 3.2 10.0 8.5 2.9 3.0 2.1 40.0% 2.1 5.0 2.0 1.5 20.0% 1.0 0.0 0.0% 0.0 2022 2023 Q1 Q2 Q3 Q4 2022 2023 1 Defined as profit for the period, as
Slide 23: Inventory Returned to Normalized Levels
Inventory Returned to Normalized Levels Inventory Inventory Turnover Days2 RMB Billions Days 120 110 52.4 50.4 100 8.1 44.4 87 10.5 90 8.0 80 69 70 62 63 23.9 28.7 60 27.1 50 40 19.3 17.1 30 11.5 20 (1.3) (3.5) (2.2) Q1 2023 Q2 2023 Q3 2023 Q4 2023 2021 2022 2023 Raw materials Finished goods Others1
Slide 24: Strong Operating Cash Flow
Strong Operating Cash Flow Adjusted Operating Cash Flow1 RMB Billions 42.3 Returned cash to shareholders through repurchasing 1.23 billion shares (over HKD18.0 billion2) since IPO • 126.6 million shares (HKD1.52 billion3) in 2023 6.7 • 138.1 million shares (HKD1.86 billion3) in 20244 (6.9) 2021 2022
Slide 25: Record High Cash Position
Record High Cash Position Cash Resources1 RMB Billions 136.3 Our cash resources were 108.2 RMB136.3 billion 94.3 +44.6% YoY 2021 2022 2023 1 Including but not limited to (i) cash and cash equivalents, (ii) restricted cash, (iii) short-term bank deposits, (iv) short-term investments measured at fair
Slide 26: ESG
ESG
Slide 27: Fully Integrated ESG Management into Our Business Operations
Fully Integrated ESG Management into Our Business Operations ESG Reports Enhanced Corporate Gold Medal Governance from EcoVadis White Paper on Climate Action Appointed Female Independent Rating Score Improved from 53 in Published on December 5, 2023 Non-Executive Director 2022 to 73 in 2024 CAI Jinq
Slide 28: Giving Back to Our Society
Giving Back to Our Society Poverty and Talent Technology Disaster Relief Development Innovation Cumulative Donations of Xiaomi Scholarships Program Donated RMB100 million2 to RMB162 million1 Covered 60 Colleges and National Natural Science Universities1 Foundation of China Xiaomi Young Talents Progr
Slide 29: Smartphones
Smartphones
Slide 30: Smartphone Shipments Reached 145.6 million Units in 2023
Smartphone Shipments Reached 145.6 million Units in 2023 Smartphones Revenue RMB Billions In 2023, smartphones revenue was RMB157.5 billion. 167.2 Smartphone shipments 157.5 50.0 reached 145.6 million units, 45.8 42.3 44.2 45.0 42.5 41.6 while gross profit margin 40.0 36.6 36.7 35.0 reached 14.6%, a
Slide 31: Continued Expansion in Emerging Markets
Continued Expansion in Emerging Markets Africa Middle East Latin America Smartphone Shipments Smartphone Shipments Smartphone Shipments +11% +45% +20% 2022 2023 2022 2023 2022 2023 Overall Market Shipments +6% YoY Overall Market Shipments +11% YoY Overall Market Shipments +2% YoY Source: Canalys, by
Slide 32: Xiaomi 14 Ultra: Lens to Legend
Xiaomi 14 Ultra: Lens to Legend Launched in Mainland China and Overseas in February 2024 Ultra Camera Ultra Performance Launch Event ƒ/1.63-ƒ/4.0 Snapdragon® Quad-camera Stepless Variable 8 Gen 3 Mobile with Leica Aperture Platform Leica Summilux Bidirectional Optical Lenses Satellite Communication
Slide 33: Redmi K70 Series: Enhanced AI Performance
Redmi K70 Series: Enhanced AI Performance Launched in Mainland China in November 2023 Snapdragon® 8 Gen 3 Xiaomi HyperOS Second-generation 2K Wildboost 3.0 Screen Light Hunter 800 Sensor K70 Pro Champion Lamborghini Limited Edition Sales Volume Exceeded 600,000 Units in the First Five Minutes of Sal
Slide 34: AIoT
AIoT
Slide 35: Global Leading Consumer AIoT Platform
Global Leading Consumer AIoT Platform Number of Connected Devices1 Users with 5 or More Devices Mi Home App MAU Millions Connected to Xiaomi’s AIoT Millions Platform1 Millions 14.5 85.8 739.7 13.7 82.9 84.0 13.0 698.9 12.3 11.6 78.1 75.8 654.5 618.0 589.4 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q4 2
Slide 36: IoT and Lifestyle Products Revenue Achieved YoY Growth in 2023
IoT and Lifestyle Products Revenue Achieved YoY Growth in 2023 IoT and Lifestyle Products Revenue RMB Billions In 2023, IoT and lifestyle products revenue reached 79.8 80.1 25.0 RMB80.1 billion, grew 0.4% YoY 22.3 21.4 20.7 20.3 20.0 19.5 19.8 19.1 In 2023, gross profit margin 16.8 reached 16.3%, re
Slide 37: Smart TV: Top 5 TV Shipments Globally in 2023
Smart TV: Top 5 TV Shipments Globally in 2023 Global Smart TV Shipments Reached 10.7 million in 2023 Ranked Top 5 Globally1 1 According to AVC, by shipments in 2023 37
Slide 38: Smart Large Home Appliances: Another Year of Robust Growth
Smart Large Home Appliances: Another Year of Robust Growth Air Washing Refrigerators Conditioners Machines Air conditioner shipments exceeded Refrigerator shipments exceeded Washing machine shipments 4.4 million units in 2023, up 49% 2.0 million units in 2023, up 105% exceeded 1.3 million units in 2
Slide 39: Tablets: Top 3 Shipments in Mainland China in 2023
Tablets: Top 3 Shipments in Mainland China in 2023 Xiaomi Pad 6S Pro 12.4 Global Shipments in 2023 Launched in Mainland China and Overseas in February 2024 up 50%+ YoY Overseas Shipments in 2023 up 100%+ YoY Ranked Top 3 in Mainland China1 in 2023 Ranked Top 5 Globally1 in Q3 2023 1 According to Can
Slide 40: Wearables: Maintained Leading Position
Wearables: Maintained Leading Position Wearable Bands TWS Global Shipments Mainland China Mainland China Ranking1 in 2023 Shipments Ranking1 Shipments Ranking1 in 2023 in 2023 No.2 No.2 No.2 1 According to Canalys, by shipments. Wearable bands include basic bands, basic watches, and smart watches 40
Slide 41: Internet Services
Internet Services
Slide 42: Global MAU Reached 641 million and Mainland China MAU Reached 156 million
Global MAU Reached 641 million and Mainland China MAU Reached 156 million in Q4 2023 YoY % Global MAU 10.2% Millions 641.2 606.0 623.1 594.8 17.1 18.2 582.1 11.2 12.7 Global MAU1 reached 641.2 million, YoY growth of 59.1 million Mainland China MAU1 reached 155.6 million, YoY growth of 11.9 million Q
Slide 43: Internet Services Revenue Achieved Record High in 2023
Internet Services Revenue Achieved Record High in 2023 Internet Services Revenue RMB Billions In 2023, internet services revenue reached RMB30.1 billion, a record high. 30.1 28.3 Advertising and gaming 7.9 5.2 7.8 revenue grew 11.2% and 7.0% 5.7 YoY, respectively 4.4 4.1 7.4 In Q4 2023, internet ser
Slide 44: Overseas Internet Services Revenue Continued to Grow
Overseas Internet Services Revenue Continued to Grow Overseas Internet Services Revenue In 2023, overseas internet services as % of Total Internet Services Revenue revenue reached RMB8.4 billion, up 24.1% YoY, accounting for 28.0% of 28.0% total internet services revenue 24.0% In Q4 2023, overseas i
Slide 45: IR@xiaomi.com
IR@xiaomi.com https://ir.mi.com/