Xiaomi's 2024 Q2 Performance SU7 Deliveries, Losses and Future Outlook

TapTechNews August 22nd news, Xiaomi Group announced the latest 2024 Q2 performance last night. A total of 27,307 units of Xiaomi SU7 were delivered in the second quarter, and the revenue from automotive sales reached 6.4 billion yuan, with a gross profit margin of 15.4%.

TapTechNews noticed that the second quarter net loss of Xiaomi's smart electric vehicle was 1.8 billion yuan and it is still in continuous investment. Based on this calculation, Xiaomi's car has a loss of more than $10,000 per vehicle. This morning, the topic of Xiaomi's car loss also topped the Weibo hot search list.

In response, Lei Jun, the founder, chairman and CEO of Xiaomi, responded on Weibo: Making cars is very tough, but success must be very cool! Xiaomi's car is still in the investment stage, and I hope everyone understands.

In addition, Lu Weibing, president of Xiaomi Group, talked about the loss of Xiaomi SU7 in an interview. He believes there are two reasons:

First, currently the scale of Xiaomi's car is relatively small, and the automotive industry is a typical industry of economies of scale, and there is confidence to expand the scale of the car in the future;

Second, Xiaomi's first car is a pure electric sedan, and its investment cost is relatively high itself, it still takes some time to digest this part of the cost.

Xiaomi Group expects to complete the cumulative delivery target of 100,000 new cars of the Xiaomi SU7 series ahead of schedule in November 2024, and will sprint for a new target of 120,000 cumulative deliveries for the whole year of 2024.

Lu Weibing also disclosed in the earnings conference call that Xiaomi hopes to surpass the scale of several cars of its peers with the scale of one car. Like Xiaomi SU7, a pure electric sedan priced above $30,000, it has become the industry's first hit product in July, surpassing Tesla Model 3.