On March 20th, Xiaomi released its full-year financial results for 2023. Total revenue declined by 3.2% year-over-year to RMB 271 billion, while adjusted net profit surged by 126.3% year-over-year to RMB 19.3 billion, marking the second-highest level of profitability since Xiaomi's IPO.
In its financial report, Xiaomi stated that 2023 was a year of significant progress for its premiumization strategy. In terms of pricing, Xiaomi's smartphone average selling price (ASP) in mainland China increased by over 19% year-over-year, reaching a record high.
In mainland China, high-end smartphone shipments accounted for more than 20% of Xiaomi's overall smartphone shipments in 2023, and this proportion further increased to approximately 28% in the fourth quarter of 2023.
According to third-party data, Xiaomi's market share in the RMB 4,000-6,000 price segment in mainland China reached 16.9% in 2023, a year-over-year increase of 9.2%.
In the fourth quarter of 2023, Xiaomi ranked first in terms of smartphone sales in the RMB 4,000-6,000 price segment in mainland China, with a market share of 28.2%.
In a conference call following the financial report release, Xiaomi Group President Lu Weibing stated that Xiaomi will continue to resolutely advance its high-end strategy in the smartphone business this year.
Lu emphasized that in the Chinese market in particular, Xiaomi smartphones have broken through the RMB 4,000-5,000 and RMB 5,000-6,000 price segments, and in 2024, Xiaomi aims to conquer the RMB 6,000-10,000 price segment and achieve scale in this price range.
