Lenovo Q2 profit climbs 19% as PC market share grows
The company reported $262 million in net income, exceeding the $260 million expected by analysts
Beijing: Lenovo Group Ltd, the world’s biggest maker of personal computers (PCs), said net income jumped 19% in the second fiscal quarter, beating estimates, as it tightened its hold over global PC sales even as the broader market shrunk.
The company also announced a dividend payment of HK$0.06 per share to stockholders.
The Beijing-based company reported $262 million in net income, exceeding the $260 million expected by analysts, according to Thomson Reuters SmartEstimates. Revenue for the three-month period rose 7% to $10.5 billion.
Lenovo is now ramping up its assault on new product markets after closing in recent weeks two multi-billion-dollar acquisitions for International Business Machines Corp.’s, (IBM’s) low-end server business and Google Inc.’s Motorola handset unit.
The company additionally named Jerry Yang, the Yahoo! Inc. co-founder, to its board of directors. Yang, who is also an Alibaba Group Holding Ltd director, formerly served as a Lenovo board observer.
Shares of Lenovo were flat at the midday close before the earnings announcement, compared with a 0.1% decline in the benchmark Hang Seng index. Reuters
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