Lenovo on its official website has announced results for its third fiscal quarter of 2016, with a 2% PC and Smart Devices growth compared to the same period last year. Lenovo noted that by the end of 2016 it continued to occupy the top spot among PC makers, with a record market share of 22.4%, after selling 15.7 million PCs.
China’s computer and mobile phone maker Lenovo reported a net attributable profit of $98 million in the third quarter of its fiscal year, down 67.3 percent from the same period a year ago.
Lenovo’s turnover between October and December totaled 1.2 billion dollars, 5.7% below the figure for the same period last year. Of this figure, 28% corresponded to China and 30% to America, while in Asia Pacific it obtained 14% of its sales and 28% in Europe, the Middle East and Africa (EMEA).
The company has sold a total of 15.7 million PCs globally during this period, 2% more than last year, and 4 points above the industry average which has registered a decrease of 2%. For this reason, Lenovo remains the leader in the global PC market with a market share of 22.4%.
The mobile device division has not performed so well, as the company reported a loss of $112 million, probably due to a 23 percent drop in sales of Moto and Lenovo terminals. Lenovo saw its smartphone sales fall 26% during the quarter, with a market share of 3.5%, compared to 5.1% a year earlier.
In any case, the company has no sales plans for Motorola, but CEO Yang Yuanqing has explained that they will rebuild the team under new leadership and expect to make profits in about a year. He told Reuters:
“Mobiles should be our core business just like PCs”
Not long ago, Lenovo was the first smartphone maker in China and paid $3 billion to Google for Motorola, but things have changed a lot. Now Lenovo is well behind competitors such as Oppo, Huawei and Vivo in smartphone sales in their home country.