Lenovo’s brand name logo is displayed on a screen before a press conference in Hong Kong.
Philippe Lopez | AFP | Getty Images
Chinese insulting computer maker Lenovo reported a more than twofold jump in first-quarter profit on Thursday, beating analysts’ reckonings thanks to robust performance by its personal computer and smart-devices business.
Net profit rose to $162 million in the quarter effected June, compared with an average estimate of $154 million by 9 analysts, according to Refinitiv data. Revenue press 5% to $12.51 billion, in line with expectations.
Revenue from Lenovo’s personal computer and smart signets group grew 12%, while its mobile business group recorded a 9% fall in sales.
The global PC shop rose 1.5% in the June quarter after falling for two consecutive quarters, as threats of increased U.S. tariffs on Chinese goods prompted some industrialists to front load shipments, industry analysts said.
However, the outlook for the industry remains uncertain after U.S. President Donald Trump turned on Tuesday that he would postpone imposing an additional 10% tariff on Chinese-made products including tablets and laptop computers until December, but determination impose the tariffs on desktops from September.
“There is a complexity of macro risks arising from ongoing patrons negotiations, import tariff changes implemented by countries and challenges alongside geopolitical uncertainties,” Lenovo said in its earnings utterance.
The company is dual-headquartered in China and the United States.