NC-LENOVO-NCTA
15.8.2019 01:57:08 CEST | Business Wire | Press release
Lenovo Group (HKSE: 0992) (PINK SHEETS: LNVGY) today announced group revenue in the first quarter reached US$12.5 billion, the eighth consecutive quarter of growth. Pre-tax income more than doubled year-on-year, growing by US$127 million to reach US$240 million. Net income also more than doubled, up US$85 million to US$162 million.
Basic earnings per share for the first quarter were 1.37 US cents or 10.74 HK cents.
“This fiscal year kicked off to an excellent start. Once again, this quarter’s strong results provided solid evidence that Lenovo’s Intelligent Transformation is enabling the company to drive sustainable, profitable growth in today’s dynamic and changing world. Our persistent execution and operational efficiency allows us to bring our vision to life and deliver smarter technology for all,” said Yang Yuanqing, Lenovo Chairman and CEO.
Global trade environment
The first quarter results signal that Lenovo continues to thrive – outperforming the market and leading the global tech sector in spite of industry-wide geopolitical and trade uncertainties. Lenovo is positioned better than most given a globally balanced revenue mix, footprint across 180 markets, and more flexible majority-owned manufacturing base. To date there has been negligible material impact on the business. Looking ahead, the global scale and breadth of the business ensures Lenovo is well positioned to manage complex and dynamic market conditions, while delivering sustainable long-term results.
Business Group Overview
The strong results are led by the Intelligent Devices Group (IDG). The PC and Smart Devices Group (PCSD), one of its two business units, continued double-digit (12%) revenue growth while achieving its highest-ever profit in a fiscal first quarter, and further improving industry leading profitability. Pre-tax income was US$524 million, up US$98 million. Americas and Asia Pacific achieved 20% and 40% year-on-year revenue growth respectively and all four geographies (Americas, Asia Pacific, China, EMEA) each delivered over US$2 billion in revenue, demonstrating the geographical balance and sustainability of this business.
In PCs, volume outgrew the market, which as a whole is experiencing a recovery, by over 13 points, and the group hit an all-time record PC market share of 24.9%. This means one in every four PCs built in the world is a Lenovo PC – cementing Lenovo’s position as the worldwide number one in PCs.
These strong results are driven by innovation, a customer-centric product portfolio and continuing focus on operational excellence. This strategy enables the company to outgrow the market significantly across high-growth and premium categories including Workstation, Thin and Light, Visuals, Gaming PCs and Chromebook. Looking forward, the PC and Smart Device group will continue to drive premium-to-market growth and industry-leading profitability by focusing on premium segments as well as innovating in Smart IoT, commercial Smart IoT and developing new devices for homes and offices.
IDG’s second business unit, the Mobile Business Group (MBG), delivered another profitable quarter and improved pre-tax income by US$100 million for the 4th consecutive quarter. In the North America market, volume outgrew the market by more than 37 points and pre-tax income margin improved by over 14 points year-on-year. In the company’s Latin America stronghold, volume has grown with or above the market for 11 quarters.
Going forward, the mobile business will continue to maintain profitability and seek opportunities to drive profitable growth in new markets with new innovative products.
The Data Center Group (DCG) continued to improve profitability year-on-year for the eighth consecutive quarter. Storage revenue grew more than 80% year-on-year and Software Defined Infrastructure (SDI) continued to grow at a double-digit rate year-on-year. Overall revenue declined due to a small number of large cloud customers reducing their purchasing after rapid infrastructure growth over the past year and a lower average unit revenue due to declining component prices. In High Performance Computing the company extended the Number 1 position in the Top 500 Supercomputer list to 173 systems across 20 markets – continuing to support ground-breaking scientific research and applications around the world.
The group will continue to expand as a full stack Data Center player, driving SDI, storage, networking, HPC, AI, IoT, service and solution led sales while strengthening in-house design and manufacturing capability for Hyperscale. In addition, the business will further improve routes-to-market and operational excellence to achieve premium to market growth, while improving profitability.
About Lenovo
Lenovo (HKSE: 992) (ADR: LNVGY) is a US$50 billion Fortune Global 500 company, with 57,000 employees and operating in 180 markets around the world. Focused on a bold vision to deliver smarter technology for all, we are developing world-changing technologies that create a more inclusive, trustworthy and sustainable digital society. By designing, engineering and building the world’s most complete portfolio of smart devices and infrastructure, we are also leading an Intelligent Transformation – to create better experiences and opportunities for millions of customers around the world. To find out more visit https://www.lenovo.com , follow us on LinkedIn , Facebook , Twitter , YouTube , Instagram , Weibo and read about the latest news via our StoryHub .
LENOVO GROUP
FINANCIAL SUMMARY For the first quarter ended June 30, 2019 (in US$ millions, except per share data) |
||||
|
|
|
Q1 18/19 |
|
Revenue |
|
12,512 |
11,913 |
5% |
Gross profit |
|
2,048 |
1,632 |
26% |
Gross profit margin |
|
16.4% |
13.7% |
2.7pts |
Operating expenses |
|
(1,705) |
(1,452) |
18% |
Expenses-to-revenue ratio |
|
13.6% |
12.2% |
1.4pts |
Operating profit |
|
343 |
180 |
90% |
Other non-operating expenses - net |
|
(103) |
(67) |
52% |
Pre-tax income |
|
240 |
113 |
113% |
Taxation |
|
(48) |
(28) |
75% |
Profit for the period |
|
192 |
85 |
125% |
Non-controlling interests |
|
(30) |
(8) |
259% |
Profit attributable to equity holders |
|
162 |
77 |
111% |
EPS (US cents) |
|
|
|
|
Basic |
1.37 |
0.65 |
0.72 |
|
Diluted |
1.32 |
0.65 |
0.67 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20190814005796/en/
About Business Wire
Subscribe to releases from Business Wire
Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Business Wire
In the age of AI agents, Splio makes prediction the foundation of CRM and launches its AI-first CRM12.2.2026 09:30:00 CET | Press release
Splio is setting prediction as the new CRM standard and the future interface for AI agentsThe company has evolved Tinyclues AI, initially focused on predictive AI, into an AI enhanced with generative and agentic capabilities, now integrated at the core of its platform Commercial launch of the AI-first CRM powered by Tinyclues AI Launch of the Ask my CRM agent, an intelligent copilot to speed up decision-making and CRM execution based on customer data The company is positioning itself as an AI-first company, already generating 30% of its revenue from AI and aiming for 50% in 2027 Splio announces the launch of its AI-first CRM powered by Tinyclues AI. Now integrated at the core of the platform, predictive AI helps brands orchestrate and personalize their communications at scale across every channel (email, SMS, RCS, WhatsApp...). Splio also unveils "Ask My CRM," its new AI agent designed as an intelligent marketing copilot that, plugged into each brand's customer data, makes customer kno
Stafford Capital Partners Announces New Renewable Energy Investment Strategy with Dedicated Team12.2.2026 09:00:00 CET | Press release
Stafford Capital Partners integrates dedicated renewables team tostrengthen the firm’s strategic infrastructure investing capabilities with a focus on energy transition opportunities. Stafford Capital Partners (“Stafford”), a leading international private markets investment and advisory firm, today announced the launch of a new strategy focused on the renewable energy sector. This initiative leverages the ongoing transformation and rapid growth within the renewables market, targeting the revamping and repowering of existing renewable assets to deliver compelling risk-adjusted returns while accelerating the transition to a low-carbon economy. This new strategic initiative further strengthens Stafford’s position in the global infrastructure investment market, providing institutions with access to a pioneering investment approach to renewable investing. This mirrors the differentiated approach Stafford has taken in developing its secondary market strategies across its real assets platform
KARL LAGERFELD Reunites With Paris Hilton for Spring – Summer 2026 “From Paris with Love” Campaign12.2.2026 08:00:00 CET | Press release
KARL LAGERFELD unveils its Spring–Summer 2026 campaign, From Paris with Love, starring cultural icon Paris Hilton for the second consecutive season. Captured through the lens of long-time brand collaborator Chris Colls at the Maison’s headquarters, 21 Rue Saint-Guillaume in Paris, the global campaign spans the KARL LAGERFELD, KARL LAGERFELD JEANS, and KARL LAGERFELD PARIS collections. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260211077844/en/ KARL LAGERFELD SS26 Campaign Paris Hilton - ©Chris Colls “Shooting the campaign at 21 Rue Saint-Guillaume was incredibly inspiring,” says Paris Hilton. “Stepping into Karl’s world felt personal and true to the DNA of both Karl and the brand. It wasn’t about looking back but being present in a space where his legacy continues to evolve.” Moving through the Maison with ease and confidence, Paris Hilton brings her signature glamour and charisma to KARL LAGERFELD’s universe through pla
AB InBev Reports Full Year and Fourth Quarter 2025 Results12.2.2026 07:01:00 CET | Press release
Underlying EPS increased by 6% with continued margin expansion and free cash flow generation of 11.3 billion USD Anheuser-Busch InBev (Brussel:ABI) (BMV:ANB) (JSE:ANH) (NYSE:BUD): This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260211688662/en/ Figure 14. Terms and debt repayment schedule as of 31 December 2025 (billion USD) Regulated and inside information1 “Beer plays an important role in bringing people together and creating moments of celebration. In 2025, we executed our strategy, made disciplined capital allocation choices and delivered growth within our outlook for the year, even as we navigated a dynamic consumer environment. We exit 2025 with improved momentum and enter 2026 well positioned to engage consumers with our megabrands and an unparalleled lineup of mega platforms. Thank you to our colleagues for their ongoing commitment, hard work and passion for our business.” – Michel Doukeris, CEO, AB InBev Revenue 4Q +
Bardasz Forms Strategic Digital Alliance with GEOLOG to Accelerate Global RTOC Delivery and Digital Well Construction Solutions12.2.2026 07:00:00 CET | Press release
HighlightsBardasz and GEOLOG form an alliance to strengthen delivery of end-to-end RTOC solutions for drilling optimization and NPT mitigation.Alliance combines Bardasz’s leadership in WITSML and ETP transmission, high-speed real-time data aggregation, and Super Store technology with GEOLOG’s global operational scale and local technical workforce.As part of the alliance, GEOLOG has made a minority investment in Bardasz, providing financial flexibility to accelerate Bardasz’s product roadmap and global expansion. Bardasz Group LLC (“Bardasz”), a provider of real-time, decision-ready intelligence for well construction—including drilling, completions, and well interventions—today announced a strategic digital alliance with GEOLOG International B.V. (“GEOLOG”), a global formation evaluation, drilling, and geochemistry services provider supporting subsurface projects in more than 40 countries. The alliance is designed to accelerate Bardasz’s global growth and enhance customer delivery by le
In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.
Visit our pressroom