Xiaomi: Takes 384th place on Forbes Global 2000 list

In 2019, Xiaomi managed to achieve significant growth in all business areas.

ΤForbes magazine compiles and announces the list "Forbes Global 2000" each year. This list is considered one of the most complete and reliable company ranking lists and is based on a comprehensive assessment of the turnover, profits, assets and market value of companies. According to the 2020 list, Xiaomi's turnover amounted to US $ 29,8 billion, profits to US $ 1,5 billion, assets to US $ 26,4 billion and market capitalization to US $ 31,5 billion billion

In 2019, Xiaomi managed to achieve significant growth in all business areas. The Group's total revenue exceeded RMB 200 billion for the first time, reaching RMB 205,8 billion, an increase of 17,7% over the same period last year, showing a 9-year cumulative annual growth rate ("CAGR") 112%. Net profit (adjusted) amounted to RMB11,5 billion, showing an increase of 34,8% compared to the same period last year, exceeding market expectations.

The founder, President and CEO of Xiaomi Mr. Lei Jun He said: "It is a great honor for us that Xiaomi managed to enter the Global 2000 list for the first time last year. Market recognition is an incentive for us to move to the next level. Last year we made some significant changes to our brands, our product portfolio, organizational structure and management systems. During the transition from 4G to the 5G era, we managed to find ourselves in an advantageous position. We have accelerated our international expansion, with almost half of our revenue now coming from overseas markets, making Xiaomi a truly global company. Although the industry is facing serious challenges, the Group continues to show growth, despite the market recession. We will continue to focus on our '5G + Alot' strategy and boost our investments, in order to enable everyone around the world to enjoy a better life through innovative technology. ”

According to the latest research by international research organizations, Xiaomi's distribution of smartphones increased in the first quarter of 2020 despite the fall of the market. According to Canalys, the distribution of smartphones worldwide decreased by 13%, compared to last year, to 272 million units, however, Xiaomi recorded an increase of 9% during this period, surpassing other major smartphone manufacturers. The market share amounted to 11,1%, placing Xiaomi in the top four brands in the world.

According to IDC, global smartphone sales fell 11,7% year on year to 276 million units, but Xiaomi 's distribution rose 6,1% again, with a market share of 10,7%. In addition, the COVID-19 pandemic led to Lockdowns in many cities around the world, but Xiaomi maintained its leading position in Western Europe during the first quarter of 2020.

According to Canalys, Xiaomi's smartphone distribution in Western Europe grew significantly by 79% in the first quarter, beating its competitors, with its market share growing to 10%. In Spain, the distribution of smartphones increased to 46%, leading to a market share of 28%, making Xiaomi the No. 1 smartphone brand in the country. In 2019, revenues from abroad reached RMB 91,2 billion, corresponding to 44,3% of the Group's revenues. As of December 31, 2019, Xiaomi products were sold in more than 90 countries and regions.

Also, Xiaomi initially issued a 10-year main, unsecured, fixed USD 600m bond with an interest rate of 3,375%. The transaction achieved the lowest yield for a new 10-year bond from a Chinese TMT (Technology, Media & Telecom) company, resulting in the reduction of the Company's long-term financing interest rate. The final offering amount exceeded by 8,5 times what the Company initially announced, showing that the bond was accepted with enthusiasm by the investment market. The success of the bond indicates the confidence of investors in the long-term development of the Group.

Xiaomi is expected to launch at least ten new 5G smartphones this year and increase its R&D spending to RMB10 billion. Over the next 5 years, its investments in 5G + Alot will increase from RMB 10 billion to RMB 50 billion, in order to ensure its dominance in the smart living sector. Despite entering the premium market, however, it remains true to its original goal, offering impressive products at the most affordable prices.

Press Release