Lenovo Achieves Historic Q1 Performance Amid AI Expansion

Beijing, August 14, 2025 - Lenovo Group Limited (HKSE: 992) today reported unprecedented financial results for its first fiscal quarter ending June 30, demonstrating robust growth across all business segments and solidifying its position as a leader in the emerging AI PC market.

Financial Highlights

The technology giant posted quarterly revenue of ¥136.2 billion ($18.7 billion), marking a 22% year-over-year increase and setting a new company record for Q1 performance. Net profit similarly grew by 22% to ¥2.816 billion, reflecting improved operational efficiency and product mix.

Business Segment Performance

Intelligent Devices Group (IDG)

The IDG division, encompassing Lenovo's PC and smart device business, delivered ¥97.3 billion in revenue (up 17.8%) with an operating margin of 7.1%. The PC business showed particular strength with 19% growth - its fastest pace in nearly four years.

• Global PC market share reached 24.6%, an all-time high for the company
• AI PC shipments accounted for 30% of total PC volume, leading the Windows AI PC segment
• In China, AI PCs with five core features represented 27% of notebook shipments

The smartphone business grew 14% to ¥16.2 billion, with foldable devices capturing 51% market share in key overseas markets.

Infrastructure Solutions Group (ISG)

Lenovo's infrastructure business surged 35.8% to ¥31 billion, powered by explosive demand for AI-related solutions:

• AI infrastructure revenue skyrocketed 155% year-over-year
• Liquid cooling solutions grew 30%, reflecting enterprise adoption of energy-efficient technologies
• China operations saw 76% revenue growth with margin improvement of 3 percentage points

Strategic Positioning and Outlook

The company emphasized its alignment with global "super intelligence" trends through its "hybrid AI" strategy. R&D investment increased by over 10% this quarter as Lenovo prepares for next-generation computing architectures.

"Our results demonstrate the successful execution of our service-led transformation," said Yuanqing Yang, Lenovo Chairman and CEO. "As AI becomes pervasive across devices, infrastructure, and solutions, we are uniquely positioned to deliver comprehensive intelligent capabilities to our customers worldwide."

Key Points:

• 🚀 Record quarterly revenue: ¥136.2B (+22% YoY)
• 💻 AI PC leadership: 30% of total shipments; #1 in Windows segment
• ⚡ Infrastructure boom: 155% growth in AI solutions
• 📱 Smartphone strength: 51% foldable market share overseas