AsianFin -- Xiaomi Corp. plans to launch its first electric vehicle in Europe by 2027, stepping up its challenge to Tesla Inc. and BYD Co. after gaining momentum in China with its year-old auto unit.

President Lu Weibing outlined the timeline following a 31% jump in quarterly revenue, boosted by the summer debut of Xiaomi’s second EV. The strong auto sales helped offset weakening demand for smartphones, its core business.