Xiaomi pulls in £7.8bn over 2014, doubling last year’s revenue
Mon 5 Jan 2015
Xiaomi Technology, the leading Chinese smartphone and tablet maker, has more than doubled its revenue, jumping 135% in 2014.
A week after it was named top global tech start-up, the firm announced that it had made 74.3bn yuan (£7.8bn) in pre-tax sales last year.
The world’s third biggest handset maker, after Samsung and Apple, announced that it had exceeded its sales target of 60 million handsets, selling more than 61 million phones over 2014 – an increase of 227% on the previous year’s sales.
The privately-owned organisation is currently valued at $45bn, after receiving $1.1bn in funding last week, surpassing valuations of other start-ups such as taxi-hailing app Uber (valued at $40bn).
“2014 is a year of important milestones for Xiaomi. We came from behind and became market leader in China,” wrote chief executive Lei Jun.
Currently leader in the biggest global smartphone market, China, Lei suggests that the low-cost smartphone manufacturer’s growth will steady in the region. So far avoiding western markets such as the US, the UK, and Australia, Xiaomi will need to drive overseas expansion plans, he added.
“We believe everyone in the world would appreciate the opportunity to enjoy technology innovation,” Lei wrote. “Thus we remain fully committed to our global business.”
“We have successfully entered seven markets outside mainland China […] In India, we sold over 1 million smartphones in less than five months,” he continued in his Weibo blog post on Sunday.
Some analysts however are unconvinced that the Chinese firm’s success will continue at such a rate.
“I don’t think Xiaomi can repeat this astounding growth of 135 percent, it’s a case of too big, too soon,” said Cyrus Daruwala, managing director at IDC Financial Insights. “We’re definitely in wait-and-see mode […] The results are too dramatic and can only go downhill from here.”
The company plans to release a new device later this month.