Top Tech: Lenovo Profits Jump 21% as Non-China Mobile Business Almost Stops Losing Money
Lenovo Group Ltd. on Thursday reported double-digit quarterly profit growth and its highest revenue in nearly four years, as strong sales helped it take back the spot as the world’s largest PC-maker from rival HP.
Lenovo said its profit grew nearly 21% to $168 million during the quarter that ended September, while its revenue rose 14% to $13.4 billion.
Shares of the Hong Kong-listed company were up more than 6% from the previous day’s close in early afternoon trade on Thursday, after the results were announced during the midday break.
Lenovo attributed the strong profit and revenue growth, which included its highest quarterly revenue in almost four years, to the performance of its core PC and smart device businesses. Lenovo overtook HP to become the world’s biggest PC-maker worldwide in the third quarter, snapping up a 24%, market share primarily due to the inclusion of the PC business from Japan’s Fujitsu a year before, according to data-tracking firms IDC and Gartner.
Lenovo added that its mobile businesses outside China and the Motorola brand globally, which it acquired from Google in 2014, reached operational breakeven in the latest quarter. That part of the business has been a drag on the company in recent years, as it failed to find a following and its traditional PC business slowed.
The Americas remained Lenovo’s largest market in the six months that ended September, contributing 32% to the total revenue, followed by China and Europe-Middle East-Africa.
The following is an updated table of Chinese technology company earnings between July and September, starting with the most recent to report.
- 1In Depth: Upstart ByteDance Takes On China’s Internet Goliaths
- 2China Real Estate May Face ‘Year of Recession’
- 3Barry Eichengreen: The Belt and Road in the Mirror of the Marshall Plan
- 4Forget the ‘Artificial Moon,’ China Is Developing an ‘Artificial Sun’
- 5In Depth: Foreign Fund Managers Suffer Baptism of Fire in China
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas