Lenovo Group reported a robust 20% increase in quarterly revenue for the period ending June, reaching $15.4 billion, surpassing analysts’ expectations of $14.1 billion. This marks Lenovo’s third consecutive quarter of revenue growth following a period of five straight declines due to the post-COVID slowdown.
The global personal computer market has shown signs of recovery, with IDC reporting a 3% rise in global PC shipments to 64.9 million units in the first quarter of this year. Lenovo retained its position as the market leader, with a 23% market share.
The company’s strong performance was driven partly by the burgeoning trend of “AI PCs,” which are optimized for artificial intelligence tasks. Lenovo introduced its AI PC models earlier this year and aims for 10% of its shipped PCs to be AI PCs by the end of 2024, with projections to increase this figure to 50%-60% by 2026.
Additionally, Lenovo’s infrastructure solutions group, which includes servers and software, saw a remarkable 65% revenue growth, totaling $3 billion for the quarter. The company’s net income also exceeded expectations, reaching $243 million compared to the forecasted $222.94 million.
Lenovo’s shares climbed 2.37% in Thursday afternoon trading as investors responded positively to the company’s performance and market outlook.
