Xiaomi Group held a conference call after releasing its second-quarter financial report. Group Co-founder and President Lu Weibing revealed that Xiaomi Auto plans to officially enter the European electric vehicle market in 2027, further expanding its global presence.
Lu Weibing stated at the conference that the company is confident in the development of Xiaomi's automotive business and expects to successfully achieve its annual delivery target of 350,000 vehicles. The financial report shows that in the second quarter of 2025, Xiaomi's innovative businesses, including smart electric vehicles and artificial intelligence, achieved revenue of 21.3 billion yuan, a significant year-on-year increase of 234%, entering a fast lane of scaled growth. Although this business segment has not yet achieved overall profitability, its operating loss has narrowed significantly to 300 million yuan, a significant improvement compared to the previous quarter. Management expects the automotive and related innovative businesses to achieve quarterly profitability in the second half of 2025.
The official financial report shows that Xiaomi Group's overall performance has reached a new record high. Total revenue in the second quarter reached 116 billion yuan, a year-on-year increase of 30.5%, exceeding the 100 billion yuan mark for three consecutive quarters. Adjusted net profit was 10.8 billion yuan, a year-on-year increase of 75.4%, exceeding 10 billion yuan for two consecutive quarters.
Analysts indicate that Xiaomi Auto has rapidly established a foothold in the domestic market thanks to its brand influence, intelligent features, and cost-effectiveness. With production capacity ramping up and channel development improving, sales are expected to continue to rise in the second half of the year. The planned entry into Europe in 2027 will help Xiaomi establish its brand presence in the global high-end electric vehicle market.
