XIAOMI(01810) 国证国际证券·2024-11-20 12:38Investment Rating - The report maintains a "Buy" rating for Xiaomi Group with a target price of HKD 34.1, indicating a potential upside of 20.5% from the recent closing price of HKD 28.3 [3]. Core Insights - Xiaomi Group's total revenue for Q3 2024 reached RMB 92.51 billion, a year-on-year increase of 30.5%, surpassing market expectations. All business segments showed robust growth, particularly the "Smartphone × AIoT" segment, which generated RMB 82.8 billion, up 16.8% year-on-year. The innovative automotive business reported revenue of RMB 9.7 billion, with nearly 40,000 SU7 vehicles delivered in Q3, aiming for a total of 130,000 deliveries for the year [1][2]. - The smartphone segment recorded revenue of RMB 47.5 billion in Q3 2024, a 13.9% increase year-on-year, with a shipment of 43.1 million units, reflecting a 3.1% growth. The average selling price (ASP) per unit rose by 10.6% to RMB 1,102.2. Xiaomi's market share in mainland China increased by 1.2 percentage points to 14.7%, ranking fourth in the region [2]. - The Internet services segment also showed steady growth, with revenue reaching RMB 8.5 billion in Q3 2024, a 9.1% year-on-year increase. The number of global monthly active users reached 685.8 million, up 10.1% year-on-year [2]. Financial Summary - In Q3 2024, Xiaomi's adjusted net profit was RMB 6.25 billion, a 4.4% increase year-on-year, slightly exceeding market expectations. The gross margin for the IoT and lifestyle products segment reached a historical high of 20.8%, up 2.9 percentage points year-on-year [1][2]. - The automotive segment's revenue for Q3 was RMB 9.7 billion, with a gross margin of 17.1%. The adjusted net loss for this segment was RMB 1.5 billion, indicating controlled losses as production capacity ramps up [2][3]. - The report projects continued revenue growth, with Q4 2024 expected to generate RMB 96.4 billion, reflecting a year-on-year growth of 31.6% [7].