HONG KONG -- Lenovo Group Limited (HKSE: 992) (ADR: LNVGY), together with its subsidiaries (‘the Group’), announced Q4 and full year results for the fiscal year 2024/25, reporting significant increases in overall group revenue and profit. For the full year, revenue grew 21% year-on-year to US$69.1 billion, marking the Group’s second-highest annual revenue in its history. Net income was up 36% year-on-year to US$1.4 billion on a non-Hong Kong Financial Reporting Standards (non-HKFRS[1]) basis. The Group’s diversified growth engines continue to accelerate, with non-PC revenue mix up nearly five points year-on-year to 47%. All business groups were healthy and strong and met their strategic intent and financial goals, and all sales geographies gained double-digit revenue growth year-on-year, reflecting the strength of the Group’s diversified businesses and resilient global footprint.

The results were not only driven by the Group’s focus on executing a clear strategy, but also its end-to-end integrated global operations (design, demand forecasting, procurement, manufacturing, marketing, sales, and services), ODM+ manufacturing model, and global resources/local delivery model. Over the past 20 years of operating a global business, Lenovo has established a manufacturing footprint that boasts 30+ manufacturing sites (either in-house or outsourced) in 11 different markets around the world. The combination of these gives the Group maximum flexibility and resilience to navigate through uncertainties and be more adaptive to the market conditions.

Lenovo continues to prioritize investment in innovation, with R&D expenses up 13% year-on-year to US$2.3 billion. The past year saw several key announcements, investments, and milestones from the Group as part of its hybrid AI strategy. These include the launch of AI PCs where Lenovo is now number one globally in the Windows AI PC category; the launch of the first foldable phone with Moto AI; hypergrowth in the AI server business; the creation of core solutions and services capabilities with Lenovo Hybrid AI Advantage, and most recently the launch of the Group’s first personal and enterprise AI super agents at its Tech World event in Shanghai.

Looking ahead, Lenovo remains confident that its focus on innovation and hybrid AI, together with its globally balanced business and a flexible, resilient supply chain will not only maintain but also enhance its market competitiveness.

Lenovo’s Board of Directors declared a final dividend of 3.9 US cents or 30.5 HK cents per share for the fiscal year ended March 31, 2025.

Chairman and CEO quote - Yuanqing Yang:

“This has been one of our best years yet, even in the face of significant macroeconomic uncertainty. We achieved strong top-line growth with all our business groups and sales geographies growing by double digits, and our bottom-line increased even faster. Our strategy to focus on hybrid AI has driven meaningful progress in both personal and enterprise AI, laying a strong foundation for leadership in this AI era. With 20 years of leading a global business and navigating challenges, I'm confident that our operational excellence and continued investment in innovation will not only sustain but strengthen our competitiveness.”