Briefing: Lenovo sees net profit of $233 million in third-quarter

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PC maker Lenovo returns to profit in third-quarter on strong performance across business groups – Reuters

What happened: Chinese PC maker Lenovo on Thursday reported a profit of $233 million in the last three months of 2018, compared to a loss of $289 million in the same period a year earlier. The company’s revenue rose 8.5% to more than $14 billion, the highest in four years. Its mobile phone business turned to profit for the first time since it purchased Motorola in 2014.

Why it’s important: Lenovo’s net profit owes much to its Intelligent Devices Group, also known as IDG, which operates the firm’s PC, smart devices, and mobile phone businesses. Its PC sales witnessed year-on-year growth of 16%, with a global market share of almost 25%. In terms of international performance, Lenovo secured second place in Latin America despite currency volatility and supply shortage. Headquartered in Beijing and North Carolina, the company said it was “well prepared for geographic political and macroeconomic instability” with its worldwide manufacturing capabilities.