Xiaomi’s sales drop in 2020 despite a promising 2019
In 2019, Xiaomi reported a revenue growth by 17.7%, reaching $28.2 billion in earnings, while its net profit increased by 35% and reached $1.62 billion.
As we can see on the following graph from market research firm Canalys, Xiaomi’s sales of smartphones experienced the biggest annual growth in the last quarter of 2019, reaching an increase of 23%, compared to 2018.
According to the company, it was able to ship over 100 million smartphones and additionally over 230 million IoT devices. However, the company’s net profit was six times lower than what its rival Huawei made for the same year.
Unfortunately for Xiaomi, despite the recent launch of Mi 10 and Mi 10 Pro 5G smartphones, the company sees a decrease in revenue, most likely connected to the ongoing public health situation. Additionally, there’s the increasing competitiveness in its home market, where Xiaomi is competing against Huawei, Oppo and Vivo.
On the international market, Xiaomi’s smartphone shipments are seriously affected by the pandemic, despite last year’s 60% increase of shipments for the European market.