CX Briefing: Xiaomi Posts Record First-Quarter Profit

A rundown of the news making headlines in and around China:

Xiaomi’s record profit: Xiaomi Corp. on Tuesday reported a record first-quarter profit and surge in revenue, fueled by strong growth in its smartphone, home appliance and automobile segments. The company beat analyst expectations with 111.3 billion yuan ($15.5 billion) in revenue, a 47% year-on-year increase and marking the second straight quarter the figure topped 100 billion yuan. Adjusted net profit jumped 65% to 10.7 billion yuan, exceeding 10 billion yuan for the first time. The company said in a statement its focus on high-end products had gained traction. This strategy pushed the average selling price of its smartphones to 1,211 yuan during the three months, a record high. Xiaomi also announced its new electric SUV, the YU7, last week, which it will start selling in July. President Lu Weibing said feedback suggested the model could have a broader target market than its SU7 electric sedan. The firm delivered 75,869 SU7 sedans in the first quarter and aims to sell 350,000 vehicles this year.