AsianFin -- Xiaomi founder and CEO Lei Jun said Tuesday he expects the company’s electric vehicle (EV) business to become profitable in the second half of 2025, according to a company spokesperson.

In the quarter ended March 31, losses from Xiaomi’s smart EV, artificial intelligence, and other new ventures totaled 500 million yuan ($69.5 million), while revenue from its EV business alone reached 18.1 billion yuan.

Xiaomi is set to begin sales of its second electric vehicle model, the YU7, in July, as the tech giant ramps up efforts to expand its footprint in the increasingly competitive smart EV market.