Lenovo posts $16 million quarterly loss

By on August 6, 2009, 11:34 AM
Lenovo has joined a laundry list of companies who have experienced dwindling revenue, posting a $16 million quarterly loss today. Despite a weak global demand, the company still reported growth in market share. Its loss during the quarter ending June 30 translates to $.18 per share, which compares to its $110 million profit only one year ago. Sales tumbled 17.9% from last year to $3.5 billion.

The computer maker saw a growth of 1.1% in global PC shipments, which doesn't look so bad when compared to the industry-wide contraction of 3.3%. The company has reportedly achieved its largest global market share since the acquisition of IBM's PC unit in 2005. Lenovo saw sales of $1.7 billion in China, flat from a year ago, and its shipments rose 15%.

The Beijing-based company has benefited from China's robust economy, which has grown 7.9% year over year and 1.8% from the previous quarter. They still face stiff competition in the region, with HP leading the market and Acer closing in on Dell's position at number 2.

Add New Comment

TechSpot Members
Login or sign up for free,
it takes about 30 seconds.
You may also...
Get complete access to the TechSpot community. Join thousands of technology enthusiasts that contribute and share knowledge in our forum. Get a private inbox, upload your own photo gallery and more.