Lenovo Group released its full-year and fourth-quarter results for its latest fiscal year before the Hong Kong market opened on May 22. The results exceeded market expectations, according to IPO Zaozhidao. Full-year revenue reached RMB 589.9 billion (USD 86.8 billion), up 20.3% from a year earlier, while adjusted net profit rose 42.1%.
Fourth-quarter revenue was nearly RMB 150 billion (USD 22.1 billion), up 27.1% year-on-year and the highest fourth-quarter revenue Lenovo has reported. Adjusted net profit doubled, while net profit under HKFRS (Hong Kong financial reporting standards) was nearly six times the level recorded in the same period last year.
Lenovo’s Hong Kong-listed shares rose more than 11% within about 15 minutes of the market open on the day the results were released. By the close on May 22, the stock was up nearly 20%, bringing its market capitalization to almost HKD 200 billion (USD 25.5 billion). Compared with its low in mid-April last year, Lenovo’s market value has nearly doubled. Its share price has risen more than 70% so far this year. In April, it was the second best performer among Hang Seng Tech Index constituents, outperforming the index by 21.5 percentage points.
