Xiaomi (OTC: XIACY; HKEX: 1810) booked $13.6 billion in revenue in the second quarter, a record 64% year-over-year growth, and it continues to advance in the autonomous vehicle space.
Net income, the company said, surged 87% from a year ago to $975.9 million.
Both income and revenue results were above analysts' expectations, as noted by Reuters. The medium also said that it's thanks to the U.S. sanctions on Huawei Technologies that top Chinese rivals Xiaomi, Oppo, and Vivo were able to take a larger share of the market. The last two, however, still outpace Xiaomi in the domestic market.
In the second quarter, Xiaomi had surpassed Apple (Nasdaq: AAPL) as the world's second-largest phone maker. Samsung was still the world leader, with a 19% market share, Xiaomi held 17%, and Apple 14%, according to Canalys. Xiaomi had shipped 52.8 million devices during the second quarter.
Xiaomi also announced on Wednesday its acquisition of Deepmotion, a developer of autonomous driving technology, for $77.3 million. The company said the deal will help propel its product to the market.
In March, Xiaomi said it would invest $10 billion into EV development over the next decade. Since, the electronics giant has approached a number of top automakers including BYD Co. (HKEX: 01211; OTC: BYDDF). Xiaomi has also reportedly held talks with electric pickup truck maker Kaiyun Motors and Nio (NYSE: NIO). Last week, news surfaced that Xiaomi is also looking to acquire the EV business of China Evergrande Group.
Shares in the smartphone giant ended slightly higher in Hong Kong Wednesday, up about 10 cents to HK$25.35. On the pink sheets, XIACY was 2% higher, at $16.77 per share. OTC trading for Xiaomi resumed in mid-June after the Department of Defense lifted its blacklist status that designated the company as a Communist Chinese Military Company banned from U.S. investment. Since then, XIACY has gained about 14%.