Xiaomi Q3 2025: Record Profits, EV Profitability & Valuation Discount

Xiaomi reported record Q3 2025 revenue of RMB 113.12 billion (+22.3% YoY) and adjusted net profit of RMB 11.31 billion (+80.9% YoY) [6]. The growth was driven by successful smartphone premiumization and the first profitable quarter for its electric vehicle (EV) business.

The smartphone segment continued its premiumization push, capturing 18.9% market share in the RMB 4000-6000 price band. The Xiaomi 17 series saw Pro/Max models account for over 80% of sales [6].

Xiaomi’s EV division achieved a milestone with its first quarterly operating profit of RMB 700 million [5]. It delivered 108,796 units in Q3, generating revenue of RMB 29 billion [5].

The AIoT platform’s connected devices (excluding phones/tablets/laptops) exceeded 1 billion units for the first time, up 20.2% YoY [4].

Amid the stock price decline below HK$40, Xiaomi launched a record single-day share repurchase of HK$508 million [7]. Year-to-date, the company has repurchased approximately HK$2 billion worth of shares [1].

Current market capitalization stands below HK$1 trillion, while segment valuation suggests significant undervaluation [3]. Guosheng Securities reaffirmed its “Buy” rating, citing long-term growth drivers [3]. The share repurchase program signals management confidence, presenting a potential buy opportunity for investors.