Xiaomi's Delivery Gap Widens as EV Losses Deepen and Buyback Fails to Soothe Investors
22.06.2026 - 02:51:32 | boerse-global.de
Xiaomi’s ambitious goal of delivering 550,000 electric vehicles in 2026 is looking increasingly unattainable, with the company averaging just over 30,000 units a month in the first five months. To hit that target, it would need to deliver roughly 57,500 cars every month from June through December — nearly 15% above its all-time monthly record of 50,000 units, set last December. The shortfall has sent shares sliding to within a whisker of their 52-week low, and a record buyback programme has so far failed to arrest the decline.
The stock closed at €2.72 on Friday, down nearly 40% since the start of the year and more than 53% over the past twelve months. That leaves it just €0.05 above the year’s nadir of €2.67. A buyback programme of up to HK$20 billion — the largest in the company’s history — was activated on June 2, with an initial tranche of HK$4 billion. By mid-June, Xiaomi had repurchased 30.1 million shares, but the price has continued to erode, losing 19% in the past 30 days alone.
The electric vehicle division remains the chief drag. In May, Xiaomi delivered 32,759 cars, down 11% from April. Cumulative deliveries for January through May stood at 150,317. Jefferies has already slashed its full-year forecast to 495,000 units, citing a slower-than-expected ramp-up.
Should investors sell immediately? Or is it worth buying Xiaomi?
The volume problem is compounded by deepening red ink. In the first quarter, the EV unit posted an operating loss of 3.1 billion yuan (roughly €400 million) on revenue of 19.9 billion yuan — equating to a loss of about $5,600 per vehicle delivered. The gross margin slipped to around 20%, with management blaming weaker sales of the high-priced SU7 Ultra, rising component costs, and the impact of government purchase-tax subsidies.
Xiaomi is pinning hopes on its entry into the extended-range electric vehicle segment. The Ministry of Industry and Information Technology has approved the production application for the company’s first EREV model, the Kunlun N3, a 5.3-metre SUV that will be sold under the new sub-brand Skynomad. It features a battery pack of more than 70 kWh and a pure-electric range of up to 500 kilometres. But the timing is awkward: industry-wide EREV wholesale volumes tumbled nearly 25% in May, the steepest monthly drop in five years, and segment leader Li Auto saw deliveries of its flagship L9 plunge 74% in the first four months of 2026 compared with a year earlier. Xiaomi has not officially confirmed the brand name or launch date.
Away from the automotive business, there are glimmers of hope. Xiaomi is reportedly set to bring its 18 Pro and 18 Pro Max to Europe as early as late September — without the usual six-month delay — while the standard Xiaomi 18 might not arrive until early 2027. The entire 18 series is expected in September, timed with Qualcomm’s Snapdragon 8 Elite Gen 6 announcement and built on TSMC’s 2-nanometer process. That brighter outlook is tempered, however, by soaring memory-chip costs. Xiaomi CEO Lei Jun has warned that pricing pressure on NAND and DRAM could persist for two years, with smartphone memory prices already quintupled and TV storage costs up tenfold. Micron’s quarterly earnings on June 24 will be closely watched for signs of relief.
Technically, the stock is deeply oversold, with the relative strength index at 26 and the price trading about 34% below its 200-day moving average. If the €2.67 support level cracks, further downside is likely. The next major catalyst will be second-quarter results, due on August 26.
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