Goldman Sachs released a research report saying that it reiterated the "Buy" rating of Xiaomi Group-W (01810), raised its revenue forecast from 2024 to 2026 by 1% to 2%, and raised its earnings per share forecasts for each year during the period by 12%, 4% and 3%, and set the target price from 22baccaratlight.6 Hong Kong dollars was slightly increased to HK$23. The Group's overseas revenue contribution increased to 50.2% year-on-year for the first time since the fourth quarter of 2022, revenue increased by 40% year-on-year, while mainland revenue increased by 16% year-on-year. The bank expects this trend to continue in businesses such as smartphones, Internet of Things and the Internet in the next few years, providing Xiaomi with the potential to increase profit margins.
The bank pointed out that the group's first-quarter results in 2024 exceeded expectations, with smartphone revenue rising 33% year-on-year, and Xiaomi's market share in each major region increasing year-on-yearbaccaratlight;MIUI's monthly active users in the world and the mainland increased by 11% and 10% respectively year-on-year, which led to a year-on-year increase in Internet service revenue and overseas Internet revenue by 15% and 39% respectively, the fastest growth since the second quarter of 2022. At the same time, the gross profit margin also increased by 2.8 percentage points year-on-year to 22.3%; the management raised the Xiaomi SU7 delivery target and expected to deliver 100,000 to 120,000 units by the end of 2024, higher than the bank's forecast of 100,000 units. The management guided the gross profit margin of the smart electric vehicle business in 2024 is approximately 5% to 10%, and can be achieved in the second quarter of 2024.