Lenovo surpasses revenue, profit expectations post surge in smartphone sales

Lenovo has surpassed expectations by netting profits of 253 million dollars in the three months to December after sales in its smartphone division more than doubled. Analysts had earlier predicted profits of 200 million dollars and revenues of for the company.

The company also outdid revenue expectations as it posted a 31 percent rise and netted 14.1 billion dollars as opposed to forecasts for 13.7 billion dollars in sales, reported the BBC.

In a bid to diversify the PC business, Lenovo acquired Motorola and IBM's low-end server unit last year.

Lenovo's chairman and chief executive Yuanqing Yang said that the firm was at the "starting line" of a new race due to the two acquisitions and the outcome have proved that their strategy was right

The company's shares rose by more than eight percent in Hong Kong after the announcement.