(Yicai Global) April 1 -- Xiaomi's total revenue last year exceeded CNY200 billion (USD28.2 billion) for the first time, while that from overseas markets was CNY91.2 billion, or more than 40 percent of the total, according to the annual report the Chinese tech giant released yesterday.

The Covid-19 epidemic may trigger delays in demand, especially in the second quarter, but the impact will generally be controllable, Xiaomi said.

The Beijing-based internet company's total revenue rose close to 18 percent to almost CNY206 billion last year, while its net profit jumped roughly 35 percent to CNY11.5 billion and its revenue from overseas markets gained more than 30 percent to CNY91.2 billion, making up 44.3 percent

Its smartphone sector still contributed the most revenue from among its three businesses, though its share continues to drop, down 5.8 percent to 59.3 percent this year. The revenue proportion of its Internet of Things and lifestyle products rose 5 percentage points to over 30 percent, and that of internet services also climbed to 9.6 percent. The company's business diversification has greatly progressed.

Xiaomi's production capacity was back to 90 percent of its usual level at the end of last month, which basically met normal supply, Wang Xiang, its president, said at the firm's 2019 performance meeting, citing problems in overseas market supply chains as a future challenge. Xiaomi's factories are strewn around the world, so overall production capacity is relatively secure, however, he noted.

E-Edges

The impact in China was small due to the company's online channel advantages. Xiaomi's handset shipments bounced back late last month, showing consumers' strong demand for mobile phones.

Xiaomi's smartphone revenue gained 7.3 percent to CNY122.1 billion last year and it sold 125 million units, ranking it fourth in the world. The firm placed among the top five in mobile phone shipments in 45 countries and regions last year, according to statistics from Singapore-based smartphone analytics firm Canalys.

Revenue from IoT and lifestyle products surged nearly 42 percent to more than CNY62 billion, mainly from continued growth in demand for smart TVs, home appliances, branded wristbands and air purifiers and Mijia electric scooters.

The company's internet service revenue rose 24.4 percent to CNY19.8 billion last year. Its smartphone system MI User Interface index had almost 310 million monthly active users as of the end of last year, up about 28 percent from the year before, 109 million of whom were from the Chinese mainland.

The MIUI is Xiaomi's self-developed Android-based operating system for smartphones and tablet computers.

Hong Kong's Hang Seng Index was down 2.19 percent in mid-afternoon today. Xiaomi's stock [HKG:1810] reported down 3.07 percent at HKD10.12 (USD1.31). Its performance was slightly worse than that of the broader market, so its earnings report apparently left the market largely unmoved.

Editor: Ben Armour