Xiaomi chief executive Lei Jun expects the company’s electric vehicle business to break even during the third007 Archivesfourth quarter of this year as its sales continue to grow and its losses narrow, Chinese media outlet The Paper reported on Tuesday. Lei’s comments came after Xiaomi last week reported a gross margin of 23.2% for its smart EVs, AI, and other new businesses in the January-March quarter, with the unit’s operating loss narrowing quarter-on-quarter from RMB 700 million to RMB 500 million ($69.6 million). Speaking at the company’s investor conference on Tuesday, Lei also denied rumors that Xiaomi’s upcoming second model, the YU7, would go on sale in July at a price tag of RMB235,900, although he refused to be drawn on official details about the pricing. Lei said on May 22 that the standard version of the YU7 offers a driving range of 835 kilometers (519 miles). [TechNode reporting, The Paper, in Chinese]
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