updated 11:57 am EDT, Thu May 23, 2013
Income rises 38 percent, China shipments up 74 percent
Lenovo has managed to reach new records in annual sales and annual pre-tax income over the last year, according to its latest quarterly financial update. The computer producer reports annual sales of $34 billion for the entire year, an increase of 15 percent compared to last year, and a 38-percent increase on taxable income to $801 million.
Thanks to its record income for the year, its earnings are also up 34-percent to $635 million. The company reports its market share for PCs as 15.5 percent, another claimed record, while its "Smart Connected Devices" share reached 5.9 percent, granting Lenovo third place in global rankings for the market.
Continuing from the previous quarter's results, Lenovo managed to receive revenues of $7.8 billion for the quarter, an improvement of four percent, and a pre-tax income of $166 million said to be 63-percent higher on the same period last year. Quarterly gross profit grew 20-percent year-on-year to $963 million, while operating profit grew 67 percent to $169 million.
Revenues in China grew 74-percent for the year, providing a revenue contribution of 21-percent, thanks to it increasing its PC market share to 31.7-percent in the country. In Europe, the Middle East, and Africa, shipments rose 11 percent, giving it an 11.8-percent market share, while shipments in North America also rose by 9.8-percent, despite the market continuing to drop for the industry as a whole. Even so, Lenovo notes that its desktop PC shipments remained static globally during the fourth quarter.