Xiaomi’s revenue in Q2 2026 was 108.9 billion yuan, down 6.1% year over year; adjusted net profit was 6.2 billion yuan, down sharply by 42.6% year over year.
Revenue fell by 6%, while profit dropped by more than 40%—profit declined much faster than revenue, indicating significant pressure on the cost side.
On the other hand, new businesses are still growing:
In Q2, revenue from smart electric vehicles and AI and other innovative businesses was 24.9 billion yuan, up 17.1% year over year. Of this, vehicle revenue was 23.9 billion yuan, with deliveries of 104,199 units.
However, the Q2 operating loss for the auto and AI business was 2.6 billion yuan—still in the money-burning stage.
With traditional business under pressure and new business growing, profits have not caught up yet. The key to Xiaomi’s valuation going forward is not how many cars it can sell, but when the auto and AI businesses can shift from “burning cash” to “making money”.
#xiaomi
Revenue fell by 6%, while profit dropped by more than 40%—profit declined much faster than revenue, indicating significant pressure on the cost side.
On the other hand, new businesses are still growing:
In Q2, revenue from smart electric vehicles and AI and other innovative businesses was 24.9 billion yuan, up 17.1% year over year. Of this, vehicle revenue was 23.9 billion yuan, with deliveries of 104,199 units.
However, the Q2 operating loss for the auto and AI business was 2.6 billion yuan—still in the money-burning stage.
With traditional business under pressure and new business growing, profits have not caught up yet. The key to Xiaomi’s valuation going forward is not how many cars it can sell, but when the auto and AI businesses can shift from “burning cash” to “making money”.
#xiaomi