Xiaomi: Half of the company's revenue now comes from countries outside China

H Xiaomi overcame the crisis caused by Koronaios in the best way, managing to increase its revenues by 13,6% in first quarter of 2020.

ΕChina's Lock-Down pandemic control measures affected both demand and supply during the first quarter, easing these constraints helped the recovery, and production levels have now returned to pre-pandemic levels .

The company's revenue increased to 49,7 billion yuan during this period, even with higher average selling prices (ASP) of devices, with the new Mi 10 and the company's new 5G Smartphones being the key factor in this success.

Xiaomi revenue in the first quarter

This time, however, there is a significant difference compared to previous years. Xiaomi's revenue from overseas markets increased by 47,8% (to 24,8 billion yuan), surpassing the company's revenue from the Chinese market for the first time in its history.

Like many other Chinese Smartphone makers, Xiaomi has taken advantage of the growth it has had in its home market by offering devices with very good features and incredibly low prices, gaining the trust of domestic consumers in a short period of time. Xiaomi is now the fourth largest manufacturer in the smartphone market in the world.

However, as China's domestic market has already reached saturation, Chinese companies have been looking for new sources of growth beyond their borders. The largest of the Chinese companies, Huawei, had a huge success before the impact of US sanctions against it began to be felt, while Xiaomi took advantage of demand in emerging markets such as India and Latin America.

Xiaomi has also seen great growth in the Western European market, and the company is now in the top four in Europe and in Italy, Germany and France. In fact, in Spain it is now the market leader according to Canalys.

These results have naturally been cause for optimism for the company, but this is mitigated by the continuing uncertainty that exists internationally around the Covid-19 pandemic. Although China is gradually returning to normal, the situation varies from country to country.

In markets where Lock-Down restrictions have eased, Xiaomi says demand has recovered in a similar way to China. In fact, in the third week of May, now that some European countries have eased restrictions on Lock-Down, according to Xiaomi, demand returned to 90% of the usual average we had in previous years, before the pandemic.

In fact, many believe that Xiaomi will become the new Huawei very soon if it continues to grow at this pace.

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