(ATF) China's tech giant Xiaomi reported 13.6 % year-on-year revenue growth in the first quarter of 2020 despite the Covid-19 epidemic.
Its total revenue in the January-March period totalled 49.7 billion yuan (about US$7 billion), the Beijing-headquartered company announced on Wednesday in its quarterly financial report.
Adjusted net profit for the period was 2.3 billion yuan, up 10.6% year on year.
Revenue from the overseas markets amounted to 24.8 billion yuan, up 47.8% year-on-year and accounting for half of its total revenue, Xiaomi said.
Its smartphone shipments to western Europe increased by 79% year-on-year and won the largest market share in Spain for the first time, it said, citing data from technology market research firm Canalys.
Benefiting from the continued expansion in its global smartphone market share, the monthly active users of Xiaomi's Android-based smartphone operating system MIUI increased to 330.7 million, a year-on-year increase of 26.7 percent.
Nomura's Clare Guo said: "As Covid-19 only escalated in late 1Q 2020 or early 2Q 2020 in the overseas market, we believe the 1Q 2020 numbers have not factored in the evolving pandemic condition overseas. We thus expect 2Q 2020 numbers from overseas market to be negatively impacted with 2H 2020 numbers hard to predict given a potential second wave outbreak during winter.
"While seeing impressive improvement in its premium smartphone business given the dual-brand strategy with a 14% 5G market share in the domestic market, we remain cautious on Xiaomi’s overseas exposure given uncertainties in production resumption in India and European countries."