Vim formatting using gg=G with xml

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I have a correctly formatted xml file, and following the command given as an answer here:

How can I autoformat/indent C code in vim?

I am trying to auto indent my file to display correct nesting.

Before I tried to use this command I set the file type to xml using :set ft=xml as the file I started with has an extension of .mm, and also :set nowrap.

Here is my ~/.vimrc file:

syntax on
set history=1000
set smartindent
set tabstop=2
set shiftwidth=2
set expandtab

How come when I issue gg=G, I get a message saying 54 lines indented, yet my file remains un-nested?

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