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Xiaomi Billionaire Again Hikes EV Goals in Show of Confidence

An advertisement for Xiaomi Corp.'s SU7 electric vehicle outside one of the company's store in Shanghai, China, on Saturday, Aug. 17, 2024. Xiaomi is scheduled to release earnings results on Aug. 21. (Qilai Shen/Photographer: Qilai Shen/Bloombe)

(Bloomberg) -- Xiaomi Corp. is now aiming to deliver 130,000 electric vehicles in 2024, raising its target by more than 8% in a show of confidence in the fledgling business.

Billionaire co-founder Lei Jun unveiled that latest objective, up from a previously targeted 120,000, on social media just hours before the Chinese company was slated to report quarterly earnings. That underscores the entrepreneur’s desire to take Xiaomi — best known for affordable gadgets and devices — deeper into a market crowded with deep-pocketed players like Tesla Inc. and BYD Co. 

Xiaomi is expected by analysts to grow its revenue by about 27% in the September quarter thanks to contributions from its nascent EV business. But net income is projected to slip, reflecting the cutthroat competition with established Chinese EV players and a fierce rivalry between both domestic and global brands in the world’s largest smartphone arena.

©2024 Bloomberg L.P.