Xiaomi Corp. has posted a RMB 7 billion ($1.1 billion) loss for the first quarter of the year, the Wall Street Journal reports, as it prepares for its landmark IPO that is forecast to value the company as high as $70 billion.
In a listing provided to Chinese regulators ahead of the listing, figures showed that the loss came primarily from a one-off accounting charge that brought revenue down to RMB 34.4 billion. Without this payment, the quarter produced a RMB 1.7 billion profit on the back of a surge in smartphone sales.
The Beijing-based company is looking to raise around $10 billion in its upcoming debut, which is expected to break records among tech listings. In addition to going public on the Hang Seng, Xiaomi will also sell approximately one-third of its shares on mainland stock exchanges.