Lenovo’s Quarterly Net Climbs 59 Percent
Lenovo Group Ltd. bucked the tough times in the personal-computer business with a 59 percent rise in fiscal fourth-quarter net profit, and the company said it expects profitability to improve as it increases its efforts in consumer gadgets such as smartphones.
The world’s No. 2 PC maker by shipments after Hewlett-Packard Co. said its world-wide PC shipments rose 44 percent in the quarter ended March 31, compared with a 5 percent industrywide increase. Its profitability has outpaced that of rivals Dell Inc. and HP as the Chinese company has targeted fast-growing emerging markets while its two rivals have revamped their businesses to move away from low-margin PC production. The global PC industry has taken a hit in recent years as users have increasingly traded their computers for smartphones and tablet computers.