Group 1 - Goldman Sachs reported that Xiaomi Group-W (01810) achieved a gross merchandise volume (GMV) of 35.5 billion RMB during the 618 shopping festival, representing a year-on-year growth of 35%, and 11% higher than the GMV during the 2024 Double Eleven event [1] - The GMV data aligns with Goldman Sachs' expectations, equating to 71% of the firm's forecast for Xiaomi's Q2 2025 revenue from smartphones and AIoT in China, which is projected to grow by 31% year-on-year [1] - The 618 and Double Eleven promotions are expected to account for 69% and 66% of the quarterly revenue in China for Q2 and Q4 2024, respectively [1] Group 2 - On the JD platform, Xiaomi ranked first in both sales and GMV among domestic smartphone brands, holding four of the top ten best-selling models during the 618 promotion [2] - Xiaomi's flagship series did not make the top ten this year due to increased competition from the discounted iPhone 14, but the Xiaomi 15 Ultra entered the top ten in the ultra-high-end segment [2] - The average discount level for Xiaomi products during the 618 period was approximately 19%, consistent with the previous year, and could reach up to 33% when considering national subsidies [2]

Core Viewpoint - Xiaomi has made a significant comeback in the Chinese smartphone market, reclaiming the top position after ten years, driven by strategic product and channel synergies, as well as an expanding ecosystem in various sectors [2][5][10]. Group 1: Market Performance - In Q1 2025, China's smartphone market saw an increase in shipments to 70.9 million units, a 5% year-on-year growth [4]. - Xiaomi led the market with 13.3 million units shipped, achieving a market share of 19% [5]. - Xiaomi's smartphone activation volume in March 2025 reached 3.2437 million units, marking a 17% increase year-on-year [29]. Group 2: Strategic Initiatives - Xiaomi's product line has become more comprehensive, covering high-end to mid-range devices, with the Redmi Turbo series filling the mid-range flagship gap [11]. - The company is expanding into new sectors such as automotive and smart home technology, aiming to create a seamless interconnected ecosystem [14]. - Xiaomi has shifted from an online-only sales model to a hybrid online-offline approach, enhancing its competitiveness against traditional brands like OPPO and Vivo [14]. Group 3: Challenges and Responses - Xiaomi faced significant challenges, including a public relations crisis following a tragic incident involving the Xiaomi SU7, which led to a drop in stock price and market value [17][20]. - Despite these setbacks, Xiaomi continued to push forward with its product launches, including the Redmi Turbo 4 Pro, which has gained market attention [28]. - The company is also advancing its automotive plans, with the upcoming launch of the YU7 model and the development of a high-end SUV, the YU9, targeting the premium market [33][37]. Group 4: Future Outlook - Xiaomi's dual strategy of focusing on mid-range volume while building a high-end brand is expected to position the company favorably in a competitive landscape [41]. - The company has made substantial investments in its automotive division, with initial investments exceeding 10 billion yuan, indicating a long-term commitment to this sector [44]. - The future remains uncertain, with challenges in both the smartphone and automotive markets, but Xiaomi's resilience and strategic positioning provide a foundation for potential success [49].