View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
  2. Networks
May 21, 2009

Lenovo posts $264m Q4 loss

Full-year sales down 8.9% to $14.9 billion, incurs restructuring cost of $116m

By CBR Staff Writer

Lenovo has reported a loss of $264m for the fourth quarter of 2009. Consolidated sales for the fourth fiscal quarter from continuing operations decreased 25.8% year over year to $2.8 billion.

The company has initiated a restructuring programme during the quarter and incurred a cost of $116m. The company expects to save $300m in the 2009/10 fiscal year with the restructuring it has initiated in the fourth quarter of fiscal 2009.
 The company’s worldwide PC shipments declined 8.2% year over year, due to a continued decrease in commercial PC shipments worldwide, and the company’s under-representation in consumer markets.
Fourth quarter pre-tax loss from continuing operations was $268m. Net cash reserves totaled $1.18 billion.

The company’s notebook PC business consolidated revenue was down 26% to $1.7 billion and desktop computers business decreased 26% to $1 billion.

Geographically, Greater China accounted for 43.6% of the company’s worldwide sales. It reported consolidated sales of $1.2 billion. The Americas consolidated sales accounted for 24.6% of the company’s worldwide sales with $682m, the EMEA region accounted for 21.3% of the company’s worldwide sales with $591m and Asia Pacific (excluding Greater China) recorded consolidated sales of $291m.

For the fiscal year 2009, the company’s PC shipments grew 2.2% year over year. Its consolidated sales from continuing operations decreased 8.9% to $14.9 billion.

Yang Yuanqing, CEO of Lenovo, said: “Driving for growth and profitability, we will continue to protect and strengthen our leadership position in China and accelerate the return of our worldwide commercial business to profitability. At the same time, we will aggressively sharpen our focus on the growth opportunities in emerging markets, as well as with consumer and small and medium business customers worldwide.”

Content from our partners
How to turn the evidence hackers leave behind against them
Why food manufacturers must pursue greater visibility and agility
How to define an empowered chief data officer

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU