Personal computer maker Lenovo Group today said it has registered a profit of $54.86 million in the three-month period ending June 30, driven by strong sales figures.
The Chinese entity had a net loss of $16 million in April-June period of 2009, Lenovo said in a statement.
Lenovo attributed its good quarter numbers to the rebound in the global demand that helped it achieve a double-digit market share of 10.2 per cent worldwide for the first time ever.
The company's sales rose by 49.6 per cent from the year-ago period to $5.1 billion during the first quarter of the current fiscal.
"Lenovo achieved its first ever double-digit PC market share worldwide, and was the fastest growing of the top five PC companies for the third consecutive quarter. We saw significant improvement in our profitability and our lowest-ever quarterly expense-to-revenue ratio," said Lenovo CEO Yang Yuanqing.
During the quarter, Lenovo's world-wide PC shipments grew 48.1 per cent from year-ago period outpacing the industry's growth rate of about 20.9 per cent worldwide.
Lenovo's sales from emerging markets doubled from a year-earlier to $821 million for the first fiscal quarter, or 16 per cent of the company's worldwide sales.
Besides, the company's PC shipments across the region increased 69 per cent year-on-year in the first quarter, compared to an overall industry increase of 26 per cent.
"Of particular note, Lenovo grew its business significantly in Russia, India and Latin America among others, and as a result, saw its market share across the region increase by 1.4 points year-on-year," the company noted.
The company has a strong liquidity position with net cash reserves of $2.2 billion as of June 30, it said.
