"Information finishing" Lenovo released the latest earnings 4q14

Lenovo Group recently released 4q14 earnings, the first in its acquisition of Motorola and IBM System X, with Lenovo Q4 's total revenue of $14.1 billion, up 31% from a year earlier, while net profit fell 5% to $253 million.

Overall revenue was 31% faster as Lenovo incorporated the full quarterly performance of System X and Motorola's two-month performance into the group's third-quarter results for the current fiscal year. In the overall performance of the group, PC business accounted for 65%, mobile business accounted for 24%, enterprise-class business accounted for 9%.

PC Business is Lenovo's biggest contributor to revenue, the global PC market is down 3% of the premise, still maintain a strong growth momentum, financial reports show that Lenovo PC Group's PC and Windows flat-panel sales revenue rose 5% YoY To $9.147 billion, the PC market has a share of 20%, then innovation High, 7 consecutive quarters of the world's largest PC manufacturers.

In the mobile business , Lenovo's mobile business group's overall revenue rose 109% to $3.39 billion a year earlier, including Moto phones, Lenovo phones and tablets, with smartphones (including moto) growing 78% to 24.7 million units worldwide, The market share is 6.6%, while overseas sales account for the 59% of its total sales. Lenovo tablet sales rose 9% to 3.7 million, while overseas markets accounted for 88% of total flat sales (Global flat-panel market fell 3% in 14). But the loss of Moto led to a loss of $89 million before its mobile business tax.

Lenovo and Motorola's two brands accounted for 6.6% of global market share after the completion of the Motorola mobile business acquisition. And its overseas sales accounted for nearly 60% of its total sales, signaling that Lenovo is truly a global handset maker.

In the domestic mobile phone market, Huawei mobile phone shipments more than 75 million units, Xiaomi sold more than 61 million units, the domestic major brand competition will be more intense, the industry to compete in the long-term competitiveness and overall strength stage.

Enterprise-Class business In part, Q4 revenue rose 685% from a year earlier to $1.222 billion, including the revenue of Lenovo Thinkserver, the server, storage, and software and technology services sold by the system X business, where revenue from System X was $986 million.

Lenovo Enterprise Business Group, although currently only 9% of the overall revenue, but because of the high general profits of enterprise-level business, so the future enterprise businesses group should become an important profit support point of Lenovo Group.

In 2014, Lenovo integrated IBM's System X into its enterprise-class business and released its fifth generation Thinkserver server, as well as its new cloud computing strategy.

Dongfuyau, vice president of Lenovo Group, said earlier that System X and Thinkserver would maintain the different operations of two independent brands in the coming period. But in fact, thinkserver in China for many years, although positioning in the SME user base, but in recent years also in high-density servers, four servers and integrated systems and other areas of expansion.

Although Thinkserver and System X are complementary in terms of product and user base, however, two product lines cannot remain independent for a long time in terms of sales team, operating system, channel strategy, marketing plan, business model, etc.

At the same time, Lenovo's enterprise-class business is also facing a very big challenge, the 2014 domestic brand strong rise, especially the wave, Huawei's enterprise-class products and business capabilities are even worse. By this effect, the market share of traditional Hao Jiang such as IBM, HP and Dell in the domestic market decreased to 38% from 49% in the same period of 13.

For Lenovo, with IBM, EMC's special partnership, in the wave of the IoE, the two sides picking, and as early as 2005 Lenovo and IBM have a cooperative foundation, pro reached an agreement. and lenovo| EMC's storage Alliance also fills the gap in Lenovo's business-class storage product line.

This article from "Jeremyspace" blog, declined reprint!

"Information finishing" Lenovo released the latest earnings 4q14