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Xiaomi beats revenue and EPS estimates but net profit drops amid rising costs and weak demand

Company Fundamentals
18 Aug 2026
Rayan Ahmad
View Source
Neutral
Xiaomi beats revenue and EPS estimates but net profit drops amid rising costs and weak demand

Xiaomi Corp reported better-than-expected earnings per share of $0.05 and revenue of $16.04 billion, surpassing analyst forecasts. However, the company faces significant margin pressure from rising component costs and weaker consumer demand, causing a 42.6% drop in net profit. Despite these challenges, Xiaomi maintains strong financial stability with a low debt-to-equity ratio of 0.13 and a current ratio of 1.37. The mixed results highlight ongoing market headwinds in the competitive consumer electronics sector.

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