How Lenovo improved revenue growth in Q4 fiscal 2015

Lenovo said its Q4 fiscal 2015 revenue rose 21 percent to $11.3 billion and net income of $100 million. In fiscal 2014-15, Lenovo revenue grew 20 percent to $46.3 billion.

Lenovo said its fourth fiscal quarter revenue of $3.1 billion came from China, $1.7 billion from Asia Pacific region, $3 billion from Europe/Middle East/Africa (EMEA) and $3.6 billion from Americas.

Smartphones, tablets, servers and other services contribute 37 percent of revenues in the quarter compared to 17 percent the year before.

“While our Mobile Business Group and Enterprise Businesses Group grew rapidly, our PC business delivered even stronger results. The integrations of Motorola Mobility and System x businesses are on track and realizing good growth momentum, although further time will be required to develop them before they become core businesses like PCs, ” said Yang Yuanqing, chairman and CEO of Lenovo.

Lenovo revenue from the PC Group – including PCs and Windows tablets – increased 11 percent to $7.2 billion. Lenovo shipped 13.3 million PCs in the quarter, up 2.7 percent, grabbing 19.5 percent market share. Lenovo shipped 60 million PCs in fiscal 2015.


Lenovo revenue from the Mobile Business Group, including products from the Motorola investment, Lenovo-branded mobile phone business, Android tablets and smart TVs, was $2.8 billion.

In smartphones, Lenovo remained the world’s #3 with 18.7 million in Q4, while it shipped 76 million units in FY 2014-15.

For the year (which included two quarters of contributions from Motorola), China accounted for 59 percent of Lenovo’s smartphone volumes, while markets outside China grew 450 percent hitting 31 million smartphone devices shipped.

Lenovo shipped 12 million tablets units, growing at 26 percent, to achieve 5.1 percent market share.

Motorola contributed more than 7.8 million units in the quarter to Lenovo’s total, up 23.6 percent year-over-year, while adding $1.8 billion to Lenovo’s MBG revenues.

Lenovo revenue from the Enterprise Business Group or EBG, including servers, storage, software and services sold under both the Lenovo ThinkServer brand and the System x business unit, was $1.1 billion.

Baburajan K
[email protected]