According to regulatory disclosures, Oppo and Vivo posted a combined loss of Rs 1,225 crore in the first six months of the current financial year even as both companies, owned by China’s BBK Group, increased sales by 20% from a year earlier.
Industry executives attributed the loss to aggressive investments by the companies in the Indian market and absorbing the impact of the rupee’s depreciation to remain competitive.
Oppo Mobiles India and Vivo Mobile India together made a profit of Rs 150 crore during the first six months of 2017-18, even though Oppo had posted a loss on its own.
Both companies made a loss – a combined Rs 482 crore – in the previous financial year. Their combined net sales climbed to Rs 17,508 crore in the first six months from Rs 14,702 crore a year earlier. Oppo-Vivo’s net sales were Rs 23,148 crore in 2017-18.