Xiaomi Corporation Q3 2020 Results Announcement

Hello everyone, this is Wangxiang, president of Xiaomi. It's great to see everyone again. Autumn is the season of harvest. Similarly, Xiaomi has reaped a run of record-breaking results this fall. In the third quarter of 2020, we posted record high revenue and profit, far exceeding consensus estimates. We achieved record performance across all business segments. Our global smartphone shipment reached 46.6 million units and regained top three position worldwide. Our AIoT business maintained its leading position, with the number of connected IoT devices reaching nearly 300 million units. Revenue from overseas market reached approximately RMB 40 billion, accounting for 55% of total revenue. Our firm commitment to our smartphone times AIoT core strategy continues to yield outstanding results. Our dual brand strategy for the core smartphone business led to highest market share in both domestic and overseas markets. Our Redmi brand continued to bring the cutting edge technologies to the mass market, having launched several highly competitive entry-level smartphone models. Leveraging our advanced technology and cool products, Xiaomi brand has cemented its position in the premium smartphone market. The ASP of smartphones in China domestic market increased by 14.7% year on year. Our AIoT business revolves around smartphones to build up a smart living ecosystem, which aims to enhance the connectivity and interaction among devices. IoT and lifestyle products revenue posted steady growth. Our products were well received by Mi fans worldwide, and our overseas IoT revenue grew rapidly. Our smart TV maintained its number one position in mainland China and ranked number five across the world. Our AI assistant continued to elevate and empower our huge IoT product concurrently to let everyone enjoy a smarter and digital lifestyle. We have also introduced groundbreaking UWB technology. Once you point your smartphone towards your compatible smart devices, you can accurately identify and control it seamlessly. Since the third quarter of this year, we have announced several cutting-edge technologies, enabling our products to take better pictures, charge faster, and enjoy smaller connections. While we consistently create long-term value for our shareholders, we also committed to diverse payroll recruitment strategy. On that note, I'm proud to introduce our new vice president and CFO, Mr. Alan Lam.

Thanks Alan for your sharing. I believe you have won over a lot of our fans. Speaking of fans, I'd like to take this opportunity to thank each and every one of our Mi fans for accompanying us over the past decade. In the coming decade, we will stay the course with our three guiding principles. Firstly, never cease to explore and innovate and bring everyone the most innovative technologies. Secondly, continue to offer products with the best price to performance ratio. And thirdly, always make the coolest product. All together, we are striving with our intelligence to write a new chapter for better life.