Lenovo Group, the world’s largest PC maker, reported a 24% decline in revenue for the January-March quarter, meeting market expectations. The result marked the third consecutive quarter of on-year decline and the first annual decline since 2019. Global PC shipments across the industry declined 29% in the same period.
To improve profit margins, Lenovo has been expanding non-PC businesses, such as in smartphones, servers and IT services. For the full year through March, its non-PC businesses grew 7% and now make up about 40% of total revenue. Overall net income attributable to shareholders in January-March fell 72% to $114 million. The price of Lenovo shares fell 3.7% in morning trade before the earnings results were released.