Xiaomi's Budget EV Makes Waves With 70,000 Lock-In Orders
Portfolio Pulse from Anan Ashraf
Xiaomi Corp (OTCPK: XIACF) has received over 70,000 lock-in orders for its SU7 electric sedan, aiming to deliver over 100,000 units this year. The company plans to focus on the Chinese market for the next three years, expecting to operate at a loss due to high production costs, with a projected gross profit margin of 5-10%. The SU7's competitive pricing undercuts the Tesla Model 3 in China, with over 50,000 orders placed within half an hour of its launch.
April 23, 2024 | 12:07 pm
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Xiaomi Corp has seen significant interest in its SU7 electric sedan, with over 70,000 orders. The company's focus on the Chinese EV market and competitive pricing strategy could bolster its position in the industry despite expected short-term losses.
The high volume of pre-orders for Xiaomi's SU7 sedan indicates strong market demand and consumer interest, which could lead to increased revenue and market share in the EV sector. Despite the anticipated short-term losses due to high production costs, the strategic pricing and focus on the Chinese market could enhance Xiaomi's competitive edge and stock performance in the long term.
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