Lenovo celebrates 'record' full-year results
Aggressively growing Chinese vendor smashes through $1bn pre-tax profit ceiling for the first time
Lenovo has further cemented its position as the number one PC vendor after its 20th consecutive quarter of outgrowing the global PC market.
The Chinese firm posted record revenue of $38.7bn (£23bn) for the financial year ended 31 March 2014, pre-tax profit of $1.01bn (up 27 per cent year on year) and "record" full-year earnings of $817m, up 29 per cent.
It sold 64 million devices (PCs and tablets) over the year, up 18 per cent year on year, outpacing the market by more than 13 percentage points, and it was the fourth quarter in a row that the firm had sold more tablets and smartphones than PCs.
In addition, for the first time, Lenovo’s EMEA revenue surpassed its China PC revenue in the final quarter, and in the US, the vendor passed Apple to take number three position in Q4 PC shipments.
Yuanquing Yang, chairman and CEO of Lenovo, said: “The record sales and profits that we delivered last year prove that Lenovo can grow and deliver its commitments, no matter the market conditions.
“Not only did we strengthen our leading position in PCs, but we gained three points in tablets by quadrupling sales volume and became the fastest-growing major smartphone company in the world. This demonstrates our capability to manage both businesses that are already mature, as well as those that are shifting to maturity,” he added.
Lenovo has been busy opening its wallet this year, snapping up IBM’s low-end server division for $2.3bn in January, and shortly afterwards in the same month, grabbed Motorola Mobility from Google for $2.9bn.
Yang said the firm will grow even more in value: “Meanwhile, we are building new engines for growth in the enterprise and ecosystem. Through the combination of our existing and new businesses, Lenovo offers tremendous value to shareholders today, and our value will be even greater in the future.”