Lenovo Q1 Report 2024

Lenovo y announced first quarter results, reporting Group revenue of US$12.9 billion and net income of US$191 million on a non-Hong Kong Financial Reporting Standards (HKFRS)[1] basis. Revenue from the non-PC businesses accounted for 41% of Group revenue, with the service-led business achieving strong growth and sustained profitability – further demonstrating the effectiveness of Lenovo’s intelligent transformation strategy.

The Group continues to take proactive actions to keep its Expenses-to-Revenue (E/R) ratio resilient and drive sustainable profitability, whilst also investing for growth and transformation. It remains committed to doubling investment in innovation in the mid-term, including an additional US$1 billion investment over three years to accelerate artificial intelligence (AI) deployment for businesses around the world – specifically AI devices, AI infrastructure, and AI solutions.

Despite the past quarter’s challenging market and unfavorable macroeconomic conditions, Lenovo sees signs of market stabilization and improvement, component prices bottoming out, and believes the client device market can be expected to recover and resume growth in the second half of this fiscal year.