1 month ago
Stock Market

Lenovo Jumps More Than 10% on Better-than-expected Quarterly Results

Investing.com - Shares in Hong Kong-listed computer maker Lenovo Group (SIX:0992) surged more than 10% on Thursday after the company

Investing.com - Shares in Hong Kong-listed computer maker Lenovo Group (SIX:0992) surged more than 10% on Thursday after the company announced better-than-expected quarterly results.

The company posted its highest group revenue in four years of $14.04 billion, up 8.5% year-on-year, while that from its PC and smart devices group rose 12% to a record $10.7 billion. Pre-tax income came in at $350 million, an all-time record for the company.

Net profit for the fiscal quarter was $233 million, compared to the net loss of $289 million in the same quarter of 2018, according to a filing.

Lenovo is optimistic of further growth in China and will focus on the premium market, CEO and chairman Yang Yuanqing told Reuters in an interview, although he added that the ongoing trade spat between the U.S. and China could have a negative impact on global economic growth.

“Definitely we don’t want to see more trade war, political tension. If that continues, that would affect everyone, not just us, all multinationals,” Yang said.

Lenovo’s shares jumped 11.4% to HK$6.64 by 11:43 PM ET (04:43 GMT). It was the company’s best one-day gains in almost 10 years.