In the short run, Xiaomi could pick up as many as 15 million units in additional smartphone shipments thanks to Honor's exit, Citigroup analyst Andre Lin wrote in a memo ahead of the earnings.
Xiaomi Corp. posted its fastest pace of revenue growth in more than two years after the Chinese smartphone giant seized market share from Huawei Technologies Co.as American sanctions deepened.
Xiaomi also claims that its overseas market is growing rapidly as more than half of its total revenue came from markets outside China.More news: North Yorkshire to go into Tier 2 after lockdown
Smartphone revenues rose 47.5 percent year-on-year to CNY 47.6 billion, revenues from other IoT and lifestyle products increased 16.1 percent to CNY 18.1 billion, and internet services revenue was up 8.7 percent to CNY 5.8 billion. During the 2020 Singles' Day shopping festival in China, Xiaomi ranked first in sales among Android smartphones on Tmall.com, JD.com and Suning.com.
Just when it looked like things were poised for Huawei and other Chinese companies to dominate the market, the United States placed it on its Entity List, effectively neutering the company's smartphone business, and those effects can clearly be seen in the Western European market where Huawei's smartphones saw a decline in shipment of close to 60%. In particular, Xiaomi retained the top spot in Spain in smartphone shipments for the 3rd consecutive quarter with a 33.9% market share.
Xiaomi's Redmi, notably, accounted for three of the world's top 10 best-selling smartphones in the third quarter of 2020. It also recorded significant growth in the AIoT segment.More news: Microsoft Flight Simulator World Update 2 buffs the USA
From outside China, profits also grew to Chinese Yuan Renminbi 39.8 billion that is $6.03 billion, which is up by 52.1% as compared to past year same period. In particular, Xiaomi is ranked 1st in Poland and Ukraine and 2nd in Russian Federation in terms of smartphone shipments.
According to IDC data, Huawei's phone sales dropped from 6.2 million in the third quarter of 2019 to no less than 2.5 million units in Q3 2020, a decline of no less than 58.7 percent. Its unit shipments surged 42% in the third quarter globally, researcher IDC estimated, by far the best performance among brands from Samsung Electronics Co.to Apple Inc.
SANCTIONS Shares of Digital China, which were trading up almost 1% on Tuesday morning, hit the upper 10% trading limit at 31.68 yuan ($ 4.80) in afternoon trading, after Reuters announced Huawei's plans to sell its unit. At the same time, the MAUs of Mi Home App reached 43.1 million.More news: Amazon AWS fault is taking down parts of the internet