Lenovo reported this week that it has been “the fastest growing major PC company” for 13 quarters in a row, with the firm posting quarterly records for sales, revenues, and PC sales in Q4 2012. In a market in which overall PC sales were down over 5 percent, shipments of Lenovo PCs jumped almost 8 percent.
“In its best quarter ever, Lenovo continued to outgrow the market in all geographies with record sales, pre-tax income, and earnings,” the firm noted in a press release announcing its quarterly earnings. “Lenovo continued its push toward becoming the world’s leading PC maker and emerging global leader in PC Plus devices, with another quarterly sales record.”
Lenovo reported that it earned $205 million on revenues of $9.4 billion in Q4 2012, both records for the quarter. It also shipped a record 14.1 million PCs and jumped to a record 16 percent market share, just behind market leader HP. The firm now has cash reserves of $4.2 billion.
Interestingly, Lenovo is also touting its business strategy—which it calls “Protect and Attack”—as being the key to its success. It has two “profit pools” to protect: its PC and China businesses. And it sees high growth opportunities to attack in “emerging markets, global consumer, and PC Plus products, such as smartphones, tablets, and smart TVs.” Its revenues are currently split evenly between the “protect” and “attack” sides of the business.
On that note, Lenovo just registered its first-ever profitable quarter for smartphones, which are currently available only in China. But the firm plans to launch smartphones internationally this year.
As for its PC business, Lenovo says that it has been the fastest growing major PC company for 13 quarters in a row, as noted, but also that the fourth quarter of 2012 was the 15th quarter in a row in which the company grew faster than the rest of the industry. With 14.1 million PCs shipped in the quarter, Lenovo is poised to perhaps overtake HP as the world’s biggest PC maker sometime this year. (HP shipped 14.8 million PCs in Q4.)
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