Breaking News

DJI Agras T100, T70P and T25P Launches Globally Sony Introduces the RX1R III Razer Introduces Next-Generation Connectivity and Performance with New Thunderbolt 5 Dock and Core X V2 Transcend's New ESD420 Portable SSD Offers MagSafe Compatibility and Pro-Level Performance G.SKILL Trident Z5 DDR5 Memory and WigiDash Receives European Hardware Awards 2025

logo

  • Share Us
    • Facebook
    • Twitter
  • Home
  • Home
  • News
  • Reviews
  • Essays
  • Forum
  • Legacy
  • About
    • Submit News

    • Contact Us
    • Privacy

    • Promotion
    • Advertise

    • RSS Feed
    • Site Map

Search form

Lenovo Reports Profit in Q3 Despite Revenue Slump

Lenovo Reports Profit in Q3 Despite Revenue Slump

Enterprise & IT Feb 3,2016 0

Lenovo Group posted a 19 percent growth in profit amid lower revenue gains in its third fiscal quarter, the company said on Wednesday. Lenovo is relying on cutting $1.35 billion from annual costs and eliminating 3,200 jobs to shield its earnings from intensifying smartphone competition and a shrinking market for PCs.

The world’s largest PC maker said revenue dropped 8 percent in the three months ended December, even as broadening cost cuts delivered a surprise rise in net income.

The company said its net income in the quarter stood at $300 million. However, Lenovo is still facing strong headwinds in various businesses.

Slow smartphone demand in the Chinese smartphone market resulted in a decline in smartphone sales by 18.1 percent year-on-year in the past quarter, with 20.2 million units sold. Lenovo saw a shipment growth in emerging markets such as India and Indonesia. About 83 percent of its smartphones were sold outside China in its third fiscal quarter, compared to 75 percent in the second fiscal quarter, according to Lenovo.

Chief Executive Officer Yang Yuanqing is trying to grab greater market share in the U.S. and Europe this year, pivoting away from intensifying competition back home. The smartphone division should stay profitable in fiscal 2017 after the summer U.S. launch of its "Tango" augmented-reality phone and a lower-cost structure help it gain market share globally, Yang told reporters on a conference call.

In addition, the sluggish worldwide PC market dragged down Lenovo's quarterly revenue by 8 percent year-on-year, the company said.

Lenovo is also banking on global demand for the servers that underpin cloud computing services to prop up its enterprise division.

The enterprise division that sells servers, storage and software was the only major business unit to record top-line growth, of 8 percent in the quarter.



Tags: Lenovo
Previous Post
Fitbit Launches New Alta Fitness Tracker
Next Post
Nintendo Outlines Plans For New Membership Service, First Mobile App Miitomo

Related Posts

  • All New Lenovo ThinkStation PGX

  • Lenovo at CES 2025

  • Leica completes trinity series for the SL-System

  • Lenovo AI-Driven Devices

  • Micron Delivers Crucial LPCAMM2 with LPDDR5X Memory for the New AI-Ready Lenovo ThinkPad P1 Gen 7 Workstation

  • Lenovo at CES 2024

  • Lenovo Unlocks New AI PC Experiences with ThinkPad and IdeaPad Laptops Powered by Intel Core Ultra Processors

  • Available Now – Lenovo ThinkPad X1 Fold

Latest News

DJI Agras T100, T70P and T25P Launches Globally
Drones

DJI Agras T100, T70P and T25P Launches Globally

Sony Introduces the RX1R III
Cameras

Sony Introduces the RX1R III

Razer Introduces Next-Generation Connectivity and Performance with New Thunderbolt 5 Dock and Core X V2
Gaming

Razer Introduces Next-Generation Connectivity and Performance with New Thunderbolt 5 Dock and Core X V2

Transcend's New ESD420 Portable SSD Offers MagSafe Compatibility and Pro-Level Performance
PC components

Transcend's New ESD420 Portable SSD Offers MagSafe Compatibility and Pro-Level Performance

G.SKILL Trident Z5 DDR5 Memory and WigiDash Receives European Hardware Awards 2025
Enterprise & IT

G.SKILL Trident Z5 DDR5 Memory and WigiDash Receives European Hardware Awards 2025

Popular Reviews

be quiet! Light Loop 360mm

be quiet! Light Loop 360mm

be quiet! Dark Mount Keyboard

be quiet! Dark Mount Keyboard

be quiet! Light Mount Keyboard

be quiet! Light Mount Keyboard

Noctua NH-D15 G2

Noctua NH-D15 G2

Soundpeats Pop Clip

Soundpeats Pop Clip

be quiet! Light Base 600 LX

be quiet! Light Base 600 LX

Crucial T705 2TB NVME White

Crucial T705 2TB NVME White

be quiet! Pure Base 501

be quiet! Pure Base 501

Main menu

  • Home
  • News
  • Reviews
  • Essays
  • Forum
  • Legacy
  • About
    • Submit News

    • Contact Us
    • Privacy

    • Promotion
    • Advertise

    • RSS Feed
    • Site Map
  • About
  • Privacy
  • Contact Us
  • Promotional Opportunities @ CdrInfo.com
  • Advertise on out site
  • Submit your News to our site
  • RSS Feed