Summary: In short order, Lenovo becomes the No. 2 smartphone maker in China and passes Nokia and Huawei.
Lenovo appears to be about more than the ThinkPad as the organization is now the No. 2 smart cellphone manufacturer in China suppliers.
The China PC giant---best known for its ThinkPad---reported powerful first one fourth results. Lenovo delivered first one fourth income of $141 thousand on income of $8 billion dollars. Lenovo also has $3.7 billion dollars in cash and could go shopping.
Also: PC development increases Lenovo's Q1 showing
But the real downside from Lenovo's one fourth was its smart cellphone strength. On a company call with experts, CEO Yuanqing said:
Our smart cellphone income in China suppliers obtained almost 5m this one fourth. Total cellphone income obtained almost 7m to exceed our China suppliers PC amount for once. In May our smart cellphone company in China suppliers obtained 13%. Now we have exceeded Htc and Huawei to become the number two smart cellphone and the all-phone player for once in China suppliers.
Given that performance, it's no wonder Lenovo professionals snicker when asked about buying Htc. Why bother?
The China PC giant---best known for its ThinkPad---reported powerful first one fourth results. Lenovo delivered first one fourth income of $141 thousand on income of $8 billion dollars. Lenovo also has $3.7 billion dollars in cash and could go shopping.
Also: PC development increases Lenovo's Q1 showing
But the real downside from Lenovo's one fourth was its smart cellphone strength. On a company call with experts, CEO Yuanqing said:
Our smart cellphone income in China suppliers obtained almost 5m this one fourth. Total cellphone income obtained almost 7m to exceed our China suppliers PC amount for once. In May our smart cellphone company in China suppliers obtained 13%. Now we have exceeded Htc and Huawei to become the number two smart cellphone and the all-phone player for once in China suppliers.
Given that performance, it's no wonder Lenovo professionals snicker when asked about buying Htc. Why bother?
If Lenovo can keep its smart cellphone strength it can journey the China smart cellphone industry ---expected to grow at a substance yearly rate of development of 20 % per IDC---for decades. Indeed, Lenovo's cellular online digital house device saw income jump 173 % from a season ago to $587 thousand. In the first one fourth, the cellular device showed 7 % of income.
That development is critical given that Lenovo has mastered its secure and strike technique. Simply speaking, Lenovo is defending its primary company in the U.S. and China suppliers and pursuing growing markets hard. That growing industry development is one reason that Lenovo still displaying powerful PC and laptop development as the overall industry stagnates ahead of Windows 8.
What you're seeing with Lenovo is a organization that's riding a primary business---laptops and PCs---but working on key development engines in cellular and the company. On the company front, Lenovo established a partnership with EMC. The payout? Macquarie specialist Jiong Shao reports that the EMC-Lenovo project will deliver $2 billion dollars in income a season in three decades.
Add it up and Lenovo is designed to package storage with its hosting server company of 15 % in China suppliers. Lenovo is the biggest domestic hosting server manufacturer in China suppliers.
Lenovo's diversifications attempts are part of its goal to become a "leading PC Plus organization."
In the meanwhile, Lenovo can journey PCs for a few decades. Lenovo CFO Wong Wai Ming said:
Despite concerns in the global economic conditions affecting the PC industry development in the temporary, we will stay targeted to outshine the globally PC industry in a successful way. We have consistently obtained that over the last few decades and stay confident to proceed such trend. We perform our Protect and Assault technique well.
Our primary PC company is performing well and our ideal investment in Mobile Internet have started causing the Group development in income and improved success.
New items in ultrabook and the new Windows 8 os will help drive demand later this season. That will also benefit us. We will focus on one goal on controlling the cost projects and development opportunities. We will keep invest in primary proficiency building, product advancement and promotion, especially to ensure successful release of new items related to Win 8 and ultrabooks, and also new cellular Internet house items.
That development is critical given that Lenovo has mastered its secure and strike technique. Simply speaking, Lenovo is defending its primary company in the U.S. and China suppliers and pursuing growing markets hard. That growing industry development is one reason that Lenovo still displaying powerful PC and laptop development as the overall industry stagnates ahead of Windows 8.
What you're seeing with Lenovo is a organization that's riding a primary business---laptops and PCs---but working on key development engines in cellular and the company. On the company front, Lenovo established a partnership with EMC. The payout? Macquarie specialist Jiong Shao reports that the EMC-Lenovo project will deliver $2 billion dollars in income a season in three decades.
Add it up and Lenovo is designed to package storage with its hosting server company of 15 % in China suppliers. Lenovo is the biggest domestic hosting server manufacturer in China suppliers.
Lenovo's diversifications attempts are part of its goal to become a "leading PC Plus organization."
In the meanwhile, Lenovo can journey PCs for a few decades. Lenovo CFO Wong Wai Ming said:
Despite concerns in the global economic conditions affecting the PC industry development in the temporary, we will stay targeted to outshine the globally PC industry in a successful way. We have consistently obtained that over the last few decades and stay confident to proceed such trend. We perform our Protect and Assault technique well.
Our primary PC company is performing well and our ideal investment in Mobile Internet have started causing the Group development in income and improved success.
New items in ultrabook and the new Windows 8 os will help drive demand later this season. That will also benefit us. We will focus on one goal on controlling the cost projects and development opportunities. We will keep invest in primary proficiency building, product advancement and promotion, especially to ensure successful release of new items related to Win 8 and ultrabooks, and also new cellular Internet house items.
