What They Say
Lenovo had a great year in 20/21 and reported fourth quarter financial year revenue up 48% to $15.6 billion with net income of $260 million, up 512%. For the year, the firm was up more than $10 billion to $60.742 billion, up 20%. Net income was $1.178 billion.
Q4 was the best ever quarter for PCs and client devices with $12.4 billion in revenue, up 46% year-on-year and profitability at an all-time high of 6.7%.
Tablets had a breakthrough quarter, with shipments growing 157% year-on-year – around three times as fast as the market.
Revenue from the Mobile Business Group (MBG) achieved strong growth, up 86% year-on-year to $1.54 billion – achieving pre-tax income of $21 million – a record high since the Motorola acquisition, while smartphone market share in Latin America reached a record of nearly 21%.
What We Think
It’s no surprise to see Lenovo doing well in the last year, but the good result in smartphones was. Making a profit is not easy in that market. Can the firm exploit its strength in Latin America to grow its business elsewhere? (BR)
