Lenovo Q1’21 revenue shows growth in PC sales
Lenovo released its first-quarter results for the fiscal year 2021/22 on August 11th.
As of June 30, its Q1 revenue was $16.8 billion USD, a year-on-year increase of 27%. The Net profit was $462.9 million USD, a 119% increase year on year. The net profit margin was 2.8%, a record high for many years.
This is the strongest Q1 fiscal quarter performance in Lenovo’s history, also the first fiscal quarter after the restructuring of Lenovo’s new fiscal year. It confirms that the 3S strategy-based and service-oriented strategic transformation has turned results. Its operating profit reached $1 billion USD, an increase of 43%.
The personal computer business performed strongly, ranking first in the global PC shares; the non-personal computer business grew rapidly, its turnover accounts for 18% of IDG’s total turnover; Lenovo Group shows a 40% year-on-year increase in R&D investments in the first fiscal quarter.
According to Gartner’s forecast of future global IT expenditures released in July, the IT service-related market will grow to $1.17 trillion USD in 2021 and will continue its expansion in 2022.
The digital transformation of the global economy brought about by COVID persists in its acceleration. Infrastructure service will become the most important business type. The global infrastructure as a service market in 2020 was $64.3 billion USD, an increase of 40.7% from the $45.7 billion USD of 2019. In 2021, global public cloud service end-user expenditures will increase by 23.1%, reaching a total of $332.3 billion USD. With this positive trend, Lenovo will build a solid foundation for future growth.