Xiaomi Technology, a prominent Chinese smart device manufacturer, reported a significant decline in profit in India for the fiscal year 2022-23, according to regulatory filings. The company’s profit plummeted by 77%, totaling Rs 238.63 crore, compared to Rs 1,057.7 crore in the previous fiscal year. Revenue from operations also saw a notable decrease of approximately 32%, amounting to Rs 26,697 crore in FY23, down from about Rs 39,100 crore in FY22.
Xiaomi’s income comprised Rs 26,395 crore from product sales and Rs 264 crore from service sales, which include advertisements and other value-added services. Despite a 25% decline in smartphone shipments throughout 2022 and the first three quarters of FY23, Xiaomi maintains its leadership in the Indian smartphone market with a 21% market share, as reported by IDC.
Analysts’ estimates of Xiaomi’s market share varied for the March 2024 quarter: Cybermedia Research placed it just below Samsung at 18.6%, Counterpoint Research projected it at 18.8%, while IDC indicated around 13%. Over the past decade of operations in India, Xiaomi has navigated various challenges with the government, particularly regarding tax and vendor payment issues.
Looking ahead, Xiaomi aims to double its device sales over the next decade, targeting 70 crore units compared to the 35 crore units sold in the previous decade.
