Lenovo reports 11 percent jump in Q1 net profit

49
1
Lenovo reports 11 percent jump in Q1 net profit

A technician works on the production line of a Lenovo venture in Hefei, capital of East China's Anhui province. PHOTO XINHUA Hong Kong-listed Lenovo Group reported Wednesday that its net profit increased by 11 percent to US $516 million in the first quarter of the year, due to the rapid digitalization trend and new opportunities in the IT sector.

The chairman and chief executive, Yuanqing Yang, said in a statement that profitability improved for the ninth consecutive quarter. Net margin went up by 29 basis points year-on-year to an all-time high.

The personal computer business of Lenovo slowed because of weak demand and supply shortages. The US dollar was flat at $17 billion year-on- year and up 5 percent excluding the currency impact, according to the group revenue for the quarter ended June 30. The basic earnings per share was 4.39 US cents.

The revenue and profit of the intelligent devices group, consisting of the PC, tablet, smartphone, and the PC, is made up of the revenue and profit of the intelligent devices group.

The slowed of smart device businesses by 3 percent and 2 percent year-on-year.

The infrastructure solutions business delivered a new revenue record of US $2.1 billion, while the solutions and services group delivered strong revenue of US $1.5 billion and US $329 million operating profit.

China market revenue dropped by 11 percent year-on-year, to US $4 billion. In February, Lenovo Group became a blue chip on the Hang Seng Index.

READ MORE: Lenovo bullish on fiscal year view after record quarter.