Lenovo Q1 mobile phone growth of 34% will increase the smart phone and tablet layout

Beijing, August 18: Today, Lenovo Group announced its first-quarter results as of June 30, 2011. Lenovo has become the world’s fastest-growing company among the top five computer manufacturers for the seventh quarter in a row and has quickly become the world’s No. Three major PC makers. During the quarter, Lenovo surpassed the market average for the ninth consecutive quarter. The Group’s global PC sales increased by 23.1% year-on-year, while the overall market sales increased by only 2.7% over the same period.

Lenovo's financial report specifically mentioned the development of the mobile Internet and digital home business. This quarter was the first full quarter after the establishment of the division. In the first quarter, Lenovo’s mobile phone sales increased by 34% year-on-year, including smartphones and feature phones. LePhone Smartphone and Le Pad Tablet PC products are very popular in the Chinese market. The Group will launch a new series of smart phones in the coming months to promote future growth. Last month, Lenovo introduced three new tablets in the global market, including the IdeaPad tablet K1 and P1, and the ThinkPad tablet.

Lenovo's financial report showed that in the first quarter, the Group's comprehensive sales increased by 15% year-on-year to 5.9 billion US dollars, a record high. Gross profit increased by 41% year-on-year and gross margin was 12.5%. Profit from operations increased by 51% year-on-year to US$123 million. During the period, the Group’s operating profit margin continued to increase as the Group increased investment in innovation, brand building and mobile Internet terminal business for future development.