Feeds

Lenovo profits soar

Net income leaps 13-fold

Choosing a cloud hosting partner with confidence

Lenovo Group Ltd, the world's third largest PC maker, today announced healthy first quarter revenue of $3.9bn, up 13 per cent.

The Chinese firm said in a statement to the Hong Kong stock exchange that net income for the three months ended 30 June had leapt to $66.8m, or 0.74 cents a share, from $5.2m, or 0.06 cents a year earlier.

Profit at Lenovo included $44.8m in "restructuring" costs.

Sales also rose 12 per cent to $3.93bn following Lenovo's shift in strategy earlier in the year to cut prices and jobs at the firm to help it compete globally with rivals, Dell, HP and Acer.

In April, the Beijing and Raleigh, North Carolina, based firm trimmed its workforce by five per cent with the hope of saving $100m for the '07-'08 fiscal year.

Lenovo attributed strong sales growth to notebook computers which accounted for 53 per cent of total revenue from $1.8bn in 2006 to $2.1bn this quarter. It said laptop shipments were up 26 per cent.

Desktop computers, which represented 43 per cent of sales, also rose to $1.7bn from $1.5bn a year earlier.

"As Lenovo's market share growth and execution of our core strategic initiatives continue to drive improved performance, we remain focused on the fundamentals of a dynamic global market," said William J Amelio, president and CEO at the firm.

Lenovo's full statement is here. ®

Security for virtualized datacentres

More from The Register

next story
It's Big, it's Blue... it's simply FABLESS! IBM's chip-free future
Or why the reversal of globalisation ain't gonna 'appen
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
Bitcasa bins $10-a-month Infinite storage offer
Firm cites 'low demand' plus 'abusers'
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
CAGE MATCH: Microsoft, Dell open co-located bit barns in Oz
Whole new species of XaaS spawning in the antipodes
Microsoft and Dell’s cloud in a box: Instant Azure for the data centre
A less painful way to run Microsoft’s private cloud
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.