Xiaomi crowned its ambitions in the electric vehicle (EV) sector with two major achievements this week. The company officially announced that its established Xiaomi EV division will reach its ambitious annual delivery target of 350,000 units before the end of this week.

350,000 Target Reached and Profitable!

The most significant development came from the financial statements. The company’s “innovation business segment,” which houses its smart EV and artificial intelligence projects, finally achieved operating profitability as of the third quarter of 2025. This development is seen as a critical sign that Xiaomi’s significant investment in advanced mobility is beginning to pay off. Company Chairman Lu Weibing confirmed the delivery success immediately following the release of the new financial report.

Xiaomi’s unprecedented production acceleration demonstrates how quickly a major tech giant can adapt to electric car mass production. It took the manufacturer 230 days to deliver its first 100,000 vehicles. While this pace was already impressive, the company managed to deliver the next 200,000 vehicles in just 232 days. Essentially, the team doubled its delivery capacity in an incredibly short time thanks to increased efficiency. This rapid acceleration pushed cumulative deliveries to over 260,000 units for the first three quarters of the year.

The third quarter was a critical period for this rapid growth. Monthly delivery volumes set a new record of 40,023 units in September, reaching a peak for the brand. This tremendous momentum didn’t slow down in October, with deliveries once again exceeding 40,000 units.

The current production rate, exceeding more than 10,000 vehicles per week, has led some estimates to suggest that total year-end shipments could actually exceed the original internal target of 350,000 units, approaching 400,000 units.

The financial side of the electric vehicle business presents the most compelling story. In a first step toward financial maturity, Xiaomi’s innovation division announced its first quarterly operating profit. Total operating income from this segment reached RMB 700 million for the quarter.

This is significant because it proves that producing high-tech EVs doesn’t have to be a loss-making venture, even in the industry’s early stages. For years, critics assumed the margins on these complex vehicles were too thin to sustain profitability. However, Xiaomi’s balance sheet tells a different story, demonstrating successful cost management amidst growing demand.

Expanding its retail network is essential to meet this growing demand. As of the end of October 2025, Xiaomi operated 424 stores in 125 cities, providing a wide distribution network for its vehicles. The company recognizes the need for expansion and plans to open 17 new stores and enter eight new cities in just the next month.

Customer demand remains strong. Buyers are currently waiting between 28 and 38 weeks for delivery of their new vehicles. This period has begun to stabilize after previous peaks. While waiting times are still long, the shortening of these times reflects Xiaomi’s ability to manage its complex production line more effectively.