Xiaomi Releases Financial Details For The First Time

Chinese smartphone maker Xiaomi achieved operating revenue of about CNY26.583 billion in 2013 and its net profit was about CNY347 million.

These accounting details are the first concrete look into the private company’s financial health. The data was released to the Shenzhen Stock Exchange because of an investment deal between Xiaomi and Midea. The two parties recently reached an agreement for Xiaomi to invest CNY1.266 billion into Midea Group.

Under the agreement, Midea Group will issue 55 million shares at the price of CNY23.01 per share to Xiaomi. Meanwhile, the two parties will start cooperating in various sectors, including comprehensive collaborative development of smart home supply chain services; full cooperation in mobile Internet e-commerce business; and joint investment in smart home ecological chain and mobile Internet innovation.

The report showed that Xiaomi’s operating profit in 2013 was about CNY486 million and its total profit was about CNY524 million. By December 31, 2013, the company’s total assets were about CNY6.452 billion, its total debts were CNY6.057 billion, and its owners’ equity was about CNY395 million.

As the largest shareholder of the company, Xiaomi chairman Lei Jun owns a 77.8% stake in the company.

On the completion of the share issuance, Xiaomi will hold a 1.29% stake in Midea Group and can nominate a core executive for the board of directors of Midea.

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