Lenovo profit up 30 percent but growth slows

Aug 16, 2012 by JOE McDONALD

(AP) — Lenovo Group said Thursday its quarterly profit rose 30 percent on strong sales in developing markets but growth slowed amid global economic weakness.

The world's second-largest personal computer maker said it earned $144 million in the three months ending June 30 on $8 billion in global sales. The profit growth rate was down from the previous quarter's 59 percent increase.

PC shipments in the Asia-Pacific region and Latin America rose 59.2 percent while those to Europe, the Middle East and Africa were up 62.3 percent.

"Despite uncertainties in global economic conditions impacting the PC market in the short term, we will remain focused to outperform the worldwide PC market in a profitable way," said chief financial officer Wong Waiming in a conference call with reporters.

"Our strategic investments in mobile internet have started contributing to the growth in sales and improved profitability."

The company passed Dell Inc. last year as the second-biggest PC maker and said Thursday it has narrowed the global market share gap with industry leader Hewlett-Packard Co.

Lenovo said it sold 5 million smartphones in China in the quarter, passing PC by number of units for the first time.

The company, with headquarters in Beijing and in Research Triangle Park, North Carolina got into wireless Internet in 2010. It has launched smartphones and Web-linked tablet computers to compete with Apple Inc., South Korea's Samsung Electronics Corp. and Taiwan's HTC Corp.

launched its latest ThinkPad notebook last week and said it is designed to appeal to users who want the convenience of a tablet, with a faster startup, lighter weight and longer battery life.

Explore further: US newspaper industry revenue fell 2.6 pct in 2013

not rated yet
add to favorites email to friend print save as pdf

Related Stories

Lenovo 3Q profit up by half, warns of disk supply

Feb 09, 2012

(AP) -- Lenovo Group Ltd., the world's second biggest personal computer maker, said Thursday that quarterly profit grew by more than half but warned hard drive costs would remain high amid a global shortage.

PC maker Lenovo says profit up 25 percent

Feb 17, 2011

(AP) -- Chinese personal computer maker Lenovo said Thursday its quarterly profit rose 25 percent on double-digit sales growth in developing markets.

PC maker Lenovo's quarterly profit up 45 percent

Nov 10, 2010

(AP) -- Lenovo Group, the world's fourth-largest personal computer maker, said Wednesday its latest quarterly profit rose 45 percent on strong sales in China and other emerging markets.

PC maker Lenovo turns to profit on China sales

Aug 19, 2010

(AP) -- Lenovo Group, the fourth-largest personal computer maker, said Thursday it rebounded to a quarterly profit from a loss a year earlier, driven by strong sales in China and other emerging markets.

PC maker Lenovo reports loss amid weak demand

Aug 06, 2009

(AP) -- Lenovo Group, the world's fourth-largest personal computer maker, reported a $16 million quarterly loss Thursday and said it faces pressure from weak global demand and intense competition.

Recommended for you

Ex-Apple chief plans mobile phone for India

3 hours ago

Former Apple chief executive John Sculley, whose marketing skills helped bring the personal computer to desktops worldwide, says he plans to launch a mobile phone in India to exploit its still largely untapped ...

Airbnb rental site raises $450 mn

17 hours ago

Online lodging listings website Airbnb inked a $450 million funding deal with investors led by TPG, a source close to the matter said Friday.

US venture investments highest since 2001 (Update)

Apr 18, 2014

Funding for U.S. startup companies soared 57 percent in the first quarter to a level not seen since 2001, as venture capitalists piled more money into a growing number of deals, according to a report due out Friday.

User comments : 0

More news stories

Ex-Apple chief plans mobile phone for India

Former Apple chief executive John Sculley, whose marketing skills helped bring the personal computer to desktops worldwide, says he plans to launch a mobile phone in India to exploit its still largely untapped ...

Airbnb rental site raises $450 mn

Online lodging listings website Airbnb inked a $450 million funding deal with investors led by TPG, a source close to the matter said Friday.

Health care site flagged in Heartbleed review

People with accounts on the enrollment website for President Barack Obama's signature health care law are being told to change their passwords following an administration-wide review of the government's vulnerability to the ...

A homemade solar lamp for developing countries

(Phys.org) —The solar lamp developed by the start-up LEDsafari is a more effective, safer, and less expensive form of illumination than the traditional oil lamp currently used by more than one billion people ...

NASA's space station Robonaut finally getting legs

Robonaut, the first out-of-this-world humanoid, is finally getting its space legs. For three years, Robonaut has had to manage from the waist up. This new pair of legs means the experimental robot—now stuck ...

Filipino tests negative for Middle East virus

A Filipino nurse who tested positive for the Middle East virus has been found free of infection in a subsequent examination after he returned home, Philippine health officials said Saturday.

Egypt archaeologists find ancient writer's tomb

Egypt's minister of antiquities says a team of Spanish archaeologists has discovered two tombs in the southern part of the country, one of them belonging to a writer and containing a trove of artifacts including reed pens ...