Chinese tech giant and Hong Kong-listed company Xiaomi Corp. has released its financial statement for the third quarter of 2018. According to the report, the company's revenue for the third quarter was 50.8 billion yuan, an increase of 49.1% compared to last year. The company posted an increase of 2.9 billion Yuan in profit, an increase of 17.3%, which significantly exceeded market expectations.
The financial report shows that Xiaomi's growth was strong in the last quarter, including rapid growth in its overseas business, its Internet of Things (IoT)/consumer goods and internet services businesses. This holistic growth lends credibility to the company's position as a full internet company, not just a smartphone manufacturer.
Broken down, it shows that Xiaomi's mobile phone business revenue for this period is 35 billion Yuan, an increase of 36.1%. Most of the sales of the mobile phone business came from smartphones with revenue of 33.3 billion Yuan, up 20.4% year-on-year. As of October 26, Xiaomi's smartphone shipments for the whole year exceeded 100 million units. Xiaomi also reported that Xiaomi Mi 8 series shipped by the end of the third quarter of 2018 was nearly 6 million units. In addition, the company's high-end mobile phones accounted for 31% of total mobile phone revenue.
During the period under review, the average selling price (ASP) of Xiaomi phones showed a slight year-on-year and quarter-on-quarter increase, with mobile phone ASPs in China and overseas increasing by 16% and 18% respectively in Q3 2018. In addition, in the third quarter, Xiaomi continued to support its multi-brand strategy in the mobile phone business to serve more market segments and gain a larger and more diverse user base.
In addition to the mobile phone business, Xiaomi's internet service segment revenue also continued to grow, reaching 4.8 billion yuan in the third quarter of 2018, representing an annual growth of 85.5%. Among them, advertising revenue increased by 109.81T$3.3T year-on-year. Monthly active users of MIUI increased to 224 million in Q3, up 43.4% year-on-year. At the same time, the quarterly average user revenue (ARPU) was 21.1 Yuan, an increase of 29.4%. The current and consumer goods business reported revenue of 10.8 billion Yuan in the third quarter, an increase of 89.8%. The total revenue of the business reached 28.9 billion Yuan in the first three quarters of 2018, exceeding the total revenue of tangible and consumer goods, which was 23.45 billion Yuan. According to the financial report, the number of monthly users of Xiaomi AI assistant Xiaoai surpassed 34 million in the quarter.
