Xiaomi Corporation(https://www.mi.com/global/), a global consumer electronics and smart manufacturing company, announced its unaudited consolidated financial results for the first quarter ended March 31, 2026. The company reported total revenue of INR 139,532.8 crore, with an adjusted net profit of INR 8,588.8 crore, surpassing market forecasts. Operating profit for its core smartphone and AIoT businesses increased by nearly 200% quarter-over-quarter.
The results underscore the progress of Xiaomi’s “Human × Car × Home” strategy, with all primary business segments contributing to the company’s financial performance. For more insights into such market shifts, readers can explore our coverage on industry developments (https://technosports.co.in/).
Table of Contents
Segment Performance Highlights
Smartphone Business Maintains Momentum
Revenue from Xiaomi’s smartphone business reached INR 62,374.4 crore in Q1 2026, with global shipments totaling 33.8 million units. The company’s premiumization strategy led to an 8.2% year-over-year increase in global smartphone average selling price (ASP), reaching a record high of INR 18,444.8. Premium smartphones, defined as retail prices at or above INR 42,240, accounted for 23.5% of total smartphone units sold in the Chinese Mainland during the quarter. According to Omdia, Xiaomi maintained its position among the top three global smartphone shippers for the 23rd consecutive quarter.
Smart EV and AI Initiatives Expand
The smart electric vehicle (EV), artificial intelligence (AI), and other new initiatives segment reported revenue of INR 28,019.2 crore, marking a 6.9% year-over-year growth. EV deliveries reached 80,856 units, an increase of 6.6% year-over-year.
The Xiaomi SU7 and YU7 series gained traction, with the New-Generation Xiaomi SU7, launched in March 2026, receiving over 80,000 locked-in orders by May 6, 2026. Cumulative deliveries of the New-Generation Xiaomi SU7 surpassed 26,000 vehicles by April 23, 2026, while the Xiaomi YU7 series recorded 232,000 cumulative deliveries within ten months of its launch. Yiche data indicated the Xiaomi SU7 ranked first in sales among pure electric sedans priced above INR 2,816,000 from January to April 2026, with the Xiaomi YU7 ranking second in its SUV class.
Xiaomi further expanded its EV portfolio in May with the launch of the Xiaomi YU7 Standard Edition and the Xiaomi YU7 GT. The YU7 GT achieved a Nürburgring Nordschleife lap time for an SUV at 7:22.755. The company’s EV sales and service network expanded to 490 centers across 143 cities in the Chinese Mainland as of March 31, 2026.
IoT and Lifestyle Products Show Strong Overseas Growth
The IoT and lifestyle products segment generated INR 34,777.6 crore in revenue, with a gross profit margin of 25.2%, up 5.1 percentage points quarter-over-quarter. Overseas revenue from this segment reached a record high, driven by double-digit year-over-year growth in categories such as tablets, TVs, and large home appliances.
Xiaomi’s tablet shipments ranked among the top five globally and top three in the Chinese Mainland for the eighth consecutive quarter. Wearable band devices held the third position globally and second in the Chinese Mainland by shipments. TWS earbuds ranked second globally and in the Chinese Mainland. The company also introduced the Xiaomi Smart Band 10 Pro and its first clip-on earbuds in May 2026.
As of March 31, 2026, the number of connected IoT devices on Xiaomi’s AIoT platform, excluding smartphones, tablets, and laptops, reached 1,118.7 million, an 18.5% increase year-over-year. Users with five or more devices connected to the platform increased by 22.3% year-over-year to 23.6 million. The monthly active users (MAU) of Xiaomi AI Assistant reached 169.3 million, up 15.5% year-over-year, while the Xiaomi Home App MAU grew 10.0% year-over-year to 117.0 million.
Internet Services Deliver Steady Revenue
The internet services business recorded INR 13,376 crore in revenue for Q1 2026, a 4.3% year-over-year increase, with a gross profit margin of 76.1%. Overseas internet services revenue grew 9.0% year-over-year to INR 4,224 crore, while internet services revenue in the Chinese Mainland reached a record high. The MAU in the Chinese Mainland expanded to 195.8 million, an 8.1% year-over-year increase.
Increased R&D Investment Fuels AI Ecosystem
Xiaomi’s commitment to foundational technologies was reflected in its R&D expenditure, which rose 33.4% year-over-year to INR 12,672 crore in the first quarter, with a research and development team of 26,048 personnel. The company announced plans to invest at least INR 22,528 crore in AI this year, with a total investment exceeding INR 84,480 crore over the next three years, aimed at accelerating the integration of AI within its “Human × Car × Home” ecosystem.
Key advancements in AI include Xiaomi MiMo-V2.5-Pro ranking first among global open-source models on both the Artificial Analysis Intelligence Index and the Agentic Index. The MiMo-V2.5 series was open-sourced under the MIT License in April 2026. Xiaomi also launched a closed beta of Xiaomi miclaw across multiple devices, which passed the CAICT’s authoritative assessment for mobile intelligent assistants. In robotics, Xiaomi introduced its first-generation robotics VLA large model and a tactile-driven fine-grasping fine-tuning model. The company’s humanoid robot commenced practical training in an EV factory in March 2026, signaling progress in physical AI development.
