AI Demand Drives Gradual Lenovo’s PC Recovery
Quarterly net income and revenue saw double-digit growth
CEO expects global PC market to rise more than 5% in 2025
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AI Demand Drives Gradual @Lenovo 's PC Recovery, via Bloomberg#ai #pc #lenovo pic.twitter.com/dYKdAj4Qkx
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Lenovo Group Ltd. reported better-than-expected quarterly profit, affirming hopes for a gradual computing industry recovery driven by global AI spending.
Net income grew 38% to $243 million in the three months ended June, Lenovo said in a filing on Thursday.
That compares with an average estimate of $231 million. Revenue rose 20% to $15.4 billion.
The results reflect how the growing demand for the servers essential in artificial intelligence development is lifting the computing hardware market from its post-Covid slump. From Amazon.com Inc. to Google and Baidu Inc., big tech companies are raising spending on data centers at a rapid clip, preparing for an envisioned boom in AI services.
Lenovo extended its lead over HP Inc. and Dell Technologies Inc. with 14.7 million PCs shipped during the June quarter, according to research firm IDC. But the Chinese firm’s stock has lagged its rivals this year, in part because of worries about the world’s No. 2 economy and exposure to geopolitical tensions.
