Science & technology
China's Lenovo posts 23% jump in profit
Publish Date: Aug 19, 2014
China's Lenovo posts 23% jump in profit
CHINA, BEIJING : A man talks to a woman at the entrance of a Lenovo store in Beijing on August 14, 2014. AFP PHOTO / WANG ZHAO
  • mail
  • img
newvision

HONG KONG - Lenovo on Thursday posted a 23 percent jump in quarterly net profit, beating market estimates as the Chinese technology giant logged strong sales of personal computers and smartphones.


The world's biggest maker of PCs said net profit for the three months ended June 30 climbed to $214 million from 174 million in the same period last year.


Revenue for the quarter was up 18 percent at $10.39 billion, the company said in a filing to the Hong Kong stock exchange.
Its shares closed at HK$11.26 in Hong Kong trading Thursday, down 1.40 percent, while the benchmark Hang Seng Index was down 0.36 percent.


Lenovo said it achieved "strong results with record performance across all lines of business", adding that worldwide smartphone shipments grew about 39 percent year-on-year.


In a bid to diversify its business beyond PCs, Lenovo earlier this year announced a $2.91 billion deal to purchase Motorola from Google and another $2.3 billion deal to buy IBM's low-end server business.


The company said it was working with authorities to close both deals and is "well prepared for the coming integration".


"The group believes the acquisition of such an iconic brand (Motorola), innovative product portfolio and incredibly talented global team will immediately make Lenovo a truly global smartphone player in the fast-growing mobile space," the company said in the filing.


Analysts say the solid results, which surpassed market expectations, have boosted investor confidence.


"Strong earnings give investors more confidence about Lenovo's ability to manage the acquisitions," Alberto Moel, an analyst from Sanford C. Bernstein, told Dow Jones Newswires.


AFP
 

Related Stories

Google sells Motorola to Lenovo

Sales of PCs fall in Asia on mobile competition

 

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Lenovo closes deal to buy Motorola from Google
Lenovo announced Thursday it has completed its acquisition of Motorola Mobility from Google, a move strengthening the Chinese giant''s position in the smartphone market....
Co-creator of Android mobile software leaves Google
Google confirmed that an executive behind leading mobile device software Android is leaving the company to create an incubator for hardware startups....
Nintendo logs $132 million first-half net profit
Japanese videogame giant Nintendo said Wednesday its first-half net profit soared to $132 million as a sharply weaker yen boosted its bottom line and offset slowing sales....
Mobile app helps track Ebola epidemic
A new mobile telephone based mapping service has been created in a bid to track Ebola and better help communities hit by the virus in west Africa, developers said Monday....
Scientists revive giant virus from 30,000-year-old Siberian permafrost
French and Russian researchers have revived a 30,000-year-old living virus from deep below the frozen Siberian tundra...
Orbital rocket explodes after launch
An unmanned rocket explodes in a giant fireball and plummets back to Earth just seconds after launch....
Should the absence of bride price prevent couples from wedding?
Yes
No
Can't Say
follow us
subscribe to our news letter