Xiaomi expects revenue of $ 18 billion and plans an IPO

By: Bohdan Chub | 22.12.2017, 16:04
Xiaomi expects revenue of $ 18 billion and plans an IPO

In the spring, Xiaomi CEO Lei Jun said that in 2017, the Chinese giant's turnover will reach $ 15 billion, but the financial results were even more impressive. According to Reuters, the company's annual revenue will exceed the original forecast by 18% and amount to $ 17 to 18 billion.

All in chocolate

In Xiaomi did not comment on the rumors, but confirmed that the proceeds have already crossed the mark of $ 15 billion. Based on the announced figures, analysts forecast a net profit of $ 1 billion. While maintaining current growth rates, this figure could grow to $ 2 billion in 2018. This year the company expects to sell more than 90 million smartphones.

In addition to mobile devices and accessories, the manufacturer produces laptops, televisions, smart home devices and things that are far from equipment (for example, bed linens and sofas). However, some of the products are created together with partners Xiaomi.

And what about the IPO?

On the preparation of Xiaomi for the public offering of shares began talking in early December. Actually, Reuters learned about revenue growth through representatives of investment banks, with whom negotiations are currently under way. Entering the financial market will help raise funds for further business development. According to experts, the market capitalization of the company after the IPO can reach $ 100 billion. As of the end of June, 2017, the value of Xiaomi was estimated at $ 55 billion.

Source: Reuters