Lenovo thinks that it has had a pretty good year in 2015; at least as good as a computer OEM can have it with the global market shrinking. The company released the results for its Q3 fiscal quarter, which shows that the company’s revenue was $12.9 billion (about RM53 billion); down some eight-percent year-on-year. Despite this, Lenovo’s global PC market share actually grew to 21.6-percent.
Nobody will deny that PC sales have been hit hard in 2015, and every manufacturer has had to deal with some reduction in profits. Lenovo’s pre-tax income from its PC group was $405 million, down some 18-percent year-on-year. The company is blaming a greater than expected slowdown in the PC market and fluctuations in foreign currencies for the substantial reduction in profits.
On the other hand, Lenovo is still the world’s largest PC manufacturer; a title that it has held for almost two years now. It managed to increase its market share in every region by at least a few points, with China growing the most at 1.7-percent.
Lenovo’s good news continued as it succeeded in reaching its goal of breaking even on the purchase of Motorola. The company had aimed to reach this point within four to six quarters of the purchase, and seems to have pulled it off. Motorola contributed some $2 billion to Lenovo’s Mobile Business Group, bringing its total sales to $3.1 billion. That being said, the business still ended up making a pre-tax loss of $300 million.
Lenovo is growing at a steady pace, and is still making a profit despite the global slow down. The Asia Pacific region showed promising growth for its smartphone business with a jump of 123-percent. This was apparently fueled by a massive increase in demand from India and Indonesia.
[Source: Business Wire]