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CLSA Cuts XIAOMI-W's TP to HKD60; Smartphone/ AIoT Rev. Slows Amid Uncertainties
2025-11-19 10:17:11
According to a report from CLSA, XIAOMI-W (01810.HK)'s 3Q25 results met expectations, with total revenue/ adjusted net profit increasing by 22.3%/ 80.8% YoY to RMB113 billion/ RMB11.3 billion.

The company's smartphone revenue declined by 3% due to weak shipments in China and India, while its AIoT revenue growth slowed to 5.6% because of reduced national subsidies.

Driven by increased delivery volumes and average selling prices, in contrast, XIAOMI-W's electric vehicle (EV) revenue reached RMB29 billion, accounting for 26% of its revenue.

Considering the uncertainties in smartphones and AIoT, CLSA revised its FY25-26 adjusted net profit forecasts for XIAOMI-W to +4% and -6%, respectively.

The broker cut XIAOMI-W's target price from HKD69 to HKD60, but it reiterated the Buy rating as the EV business is still seen as having attractive upside potential.
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