Lenovo's 3Q MIDH revenues around $1 bn, up 77%

Lenovo's MIDH group, China's second-largest provider of smartphones and tablets has reported 3Q consolidated sales of US $998 million, a 77 percent year-over-year increase.

MIDH contributed 11 percent to the company's overall sales as Lenovo Group closed 3Q sales of $9.4 billion, an increase of 12 percent year-over-year. In its best quarter ever, Lenovo continued to outgrow the market in all geographies with record sales, pre-tax income and earnings. Lenovo continued its push towards becoming the world's leading PC maker emerging global leader in PC Plus devices.

The company's ‘Protect and Attack' strategy - protecting the two profit pools of global commercial PC and theChina businesses, while attacking three high growth opportunities in emerging markets, global consumer and PC Plus products, such as smartphones, tablets and smart TVs - continued to deliver results. This quarter, Attack businesses delivered 50 percent of the Company's revenues, a significant increase from four years ago when the company's first launched the strategy and attack revenues were 32 percent. For the first time, its smartphone business in China became profitable.

Year over year, Lenovo gained 4.7 share points in the China smartphone market in the third quarter for an overall market share of 12.3 percent in China. This helped Lenovo business to also achieve profitability in

MIDH business.

"With the strong execution of our 'Protect and Attack' strategy, Lenovo has not only achieved record revenue, profit and global PC market share last quarter, but also our smartphone and tablet businesses have delivered hyper growth. Even more, our worldwide tablet and China smartphone businesses have become profitable," said Yang Yuanqing, chairman and CEO, Lenovo Group.

As we continue into the PC Plus era, Lenovo has already laid a solid foundation added Yuanqing.

During the third quarter, Lenovo announced that it would begin selling smartphones in Russia, in addition to previously announced India, Indonesia, Philippines and Vietnam. These five countries plus China, represent 44 percent of the world's population, and give Lenovo a strong sales presence in emerging economies.