Xiaomi’s Twin-Track EV Assault: A 990?HP Flagship and a Budget Model Arrive Ahead of a Crucial Earnings Test

Xiaomi unveils two electric vehicles (YU7 GT luxury SUV and YU7 Youth Edition) on May 21, alongside new smartphones, as Q1 earnings on May 27 may signal profit path. Stock down 25% YTD.

Xiaomi is preparing its most ambitious automotive push yet, launching two radically different electric vehicles on the same day while investors brace for a first?quarter earnings report that could determine whether the stock can shake off months of heavy selling. The dual?model strategy, coupled with a slate of new smartphones and wearables, underscores the company’s determination to prove it can dominate both ends of the EV market — but the market is demanding proof that the car business can turn a profit at scale.

On May 21, Xiaomi will take the wraps off the YU7 GT, a high?performance luxury SUV that packs a 738?kW dual?motor system — equivalent to roughly 990 horsepower — and a top speed of 300?km/h. The car rides on a 101.7?kWh battery that delivers 705?km of range under China’s CLTC standard, supported by an 800?volt architecture for fast charging. The chassis was tuned at Xiaomi’s European development centre, staffed by former engineers from BMW M and Porsche, and comes standard with air suspension and carbon?ceramic brakes. Pricing is expected to land between 400,000 and 500,000?yuan, or roughly €51,500 to €64,500.

Alongside the flagship, Xiaomi will unveil the YU7 Youth Edition, a more affordable variant aimed at mass?market buyers. It uses a single electric motor producing 235?kW and a 73?kWh LFP battery supplied by CATL, good for up to 643?km of range. The Youth Edition is expected to carry a sticker price below 250,000?yuan (about €32,000). Deliveries for both models are slated for the third quarter of 2026, and Xiaomi plans to have display vehicles ready in 268 stores across 82 Chinese cities — a nationwide rollout rather than a tentative launch.

The May 21 event won’t be limited to cars. Xiaomi will also introduce the flagship smartphone 17 Max, new headphones, and the Band 10 Pro fitness tracker, reinforcing a strategy that treats the phone, the car, and home devices as a single connected ecosystem. A week later, on May 28, a separate global event is scheduled to unveil the Xiaomi 17T series, which the company describes as one of the most substantial upgrades in the T?line’s history.

All of this product activity comes as Xiaomi’s shareholders anxiously await the first?quarter earnings report due on May 27. In the fourth quarter of 2025, the company posted revenue of 116.9?billion?yuan, up 7.3?% year on year and marking the fifth consecutive quarter above the 100?billion?yuan threshold. The EV and AI?initiatives segment was the standout, with revenue soaring 123?% to 37.2?billion?yuan. For the full year 2026, analysts forecast earnings of 1.21?yuan per share.

Yet the stock has taken a beating. At €3.37, the shares are down roughly 25?% since the start of the year and about 44?% below their 52?week high of €6.69. The price trades nearly 25?% under the 200?day moving average of €4.49 and sits barely above the 52?week low of €3.17. The market appears to be waiting for concrete evidence that Xiaomi can deliver margins in its vehicle business while ramping up production. The company’s first plant already runs at 150,000 units annually, and a second expansion phase is expected to lift total capacity to 300,000 units.

Whether the May 27 earnings release provides the catalyst investors are hoping for will hinge on how much the EV segment’s margins improved during the quarter. With a 990?horsepower halo car on one end and a sub?€32,000 entry model on the other, Xiaomi has laid out a clear product road map. The question now is whether the financials can keep pace.