Oppo & Vivo Combined Sales Rose by 67% To ₹ 38,726 crore
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Oppo & Vivo Combined Sales Rose by 67% To ₹ 38,726 crore

Oppo Vivo Sales- Next Big Brand
Pritish raj
Written by Pritish raj
[email protected] | Noida | Published on: November-07-2019 01:49 PM
  • According to Oppo and Vivo’s latest filings, the combined sales of these two brands rose by 67 percent to Rs 38,726 crore at a relatively higher base at the fiscal end of March 2019.

In FY19, Chinese smartphone manufacturers, Oppo and Vivo continued their scorching growth rate in the Indian market, with both brands bringing India’s parent BBK Electronics Corp revenue close to the Rs 40,000 crore milestone in their fifth year of service together.

According to Oppo and Vivo’s latest filings, the combined sales of these two brands rose by 67 percent to Rs 38,726 crore at a relatively higher base at the fiscal end of March 2019.

Oppo’s sales rose 80 percent on a stand-alone basis at Rs 21,524.6 crore, while Vivo grew 54 percent in 2018-19 at Rs 17,201.79 crore. BBK Electronics also operates smartphone brands OnePlus and Realme whose sales in India are still not available for FY19.

In 2017-18, their combined revenue was Rs 23,148 crore, with BBK Electronics being India’s second-largest smartphone manufacturer marginally ahead of Rs 23,060 crore’s star competitor Xiaomi. Samsung led the sales of India’s mobile phone market at Rs 37,349 crore in FY18. For the last fiscal period, Xiaomi and Samsung have yet to file their Indian finances.

But, with both Oppo and Vivo still to breakeven, BBK Electronics is still not making money in India. According to the filings, Oppo and Vivo’s combined losses rose by 47 percent to Rs 707 crore in FY19. While the net losses of Oppo in the last fiscal period increased by 93 percent to Rs 688 crore, Vivo managed to reduce net losses of Rs 124.29 crore to Rs 19.09. Xiaomi and Samsung, on the other hand, were profitable in FY18.

Analysts said Oppo and Vivo’s losses have risen to India’s last fiscal since they have significantly increased their fixed assets, such as property and equipment, and produced more inventory than can be sold.

indian-smartphone-market-next-big-brand

India has seen a huge growth in terms of smartphone users.
Source- Digital Trends

“Because of the imminent increase in customs duties on mobile phones, BBK Electronics is aggressively growing its manufacturing capacity in India,” said Mohit Yadav, founder of the Veratech Intelligence business intelligence platform, who analyzed ET’s finances.
“The same is evident from the increase in the cost of used products, which was in Vivo at 68% and in Oppo at 109%. More importantly, Vivo’s inventory grew by nearly 300 percent and Oppo’s 200 percent. This demonstrates BBK’s trust in Indian markets. The business does not see shortly a decline in cellphone use, “Yadav said.

By market share, the second, fourth and fifth largest smartphone brands in India are three of BBK’s brands–Vivo, Oppo, and Realme. OnePlus, facing close competition from Apple and Samsung, led the premium smartphone market in India (handsets priced Rs 30,000 and above).
According to the latest report by IDC India, in the April-June quarter, Vivo had a 15.1 percent share compared to 12.6 percent in the same period last year, Oppo had a 9.7 percent share (7.6 percent) and Realme 7.7 percent share compared to 1.2 percent in the corresponding 2018 period. Xiaomi led the market in April to June with a 28.3% share, followed by Samsung with a 25.3% share.

About the author

Pritish raj

Pritish raj

Pritish Raj is a content writer at Next Big Brand. Hailing from the diversified state of Bihar, he is an engineer by education who chooses the way of poetry, photography, and writing to kick off his career.
Highly enthusiastic about brands and startups, he aims to be a travel content creator.

9113327413 | A-73, Hackerspace, Noida sector- 2 Noida UP 201301

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