Xiaomi Motors began to disclose new business investments including automobiles in 2022.
3.1 billion invested in 22 years
6.7 billion invested in 23 years
Estimated investment in 2024 is 11-12 billion
From the perspective of shareholders, it is hoped that Xiaomi Motors’ investment will not increase in the next three years, and its quarterly investment can be controlled below 3 billion.
Even so, Xiaomi Motors will need two subsequent models to succeed in order to achieve a profit-and-loss balance in its automotive business in 2026. To be honest, the probability is not high.
You need to be patient if you hold Xiaomi stocks in the future.
Xiaomi's business model is not friendly to shareholders. The main reason to hold Xiaomi is to have confidence in Xiaomi's organizational efficiency. Xiaomi's organizational efficiency is probably among the top 10 or even top 5 in China. Ultimately the competition between companies is the competition of organizations. I have enough patience to hold Xiaomi.
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