Lenovo Group (00992) CFO looks to the future: smartphones will continue to outpace market growth.

On November 15th, LENOVO GROUP (00992) announced its latest performance. Thanks to outstanding operations and strong innovation opportunities, LENOVO GROUP set multiple performance records in the second quarter. The group's revenue exceeded expectations, with a year-on-year growth of 24%. Net profit increased by 44%; if calculated according to non-Hong Kong financial reporting standards, net profit increased by 48%. Revenue has been accelerating for four consecutive quarters, with all business groups and regions achieving double-digit year-on-year growth for the first time in three years. LENOVO GROUP CFO Huang Weiming stated at the performance exchange meeting that hybrid artificial intelligence has brought unparalleled opportunities. To drive growth, LENOVO GROUP will further increase research and development investment to unleash the full potential of hybrid artificial intelligence and establish a full-stack artificial intelligence function. This will help strengthen Lenovo's leading position in personal and enterprise artificial intelligence AI Twins. The strong innovative development of the three business groups will enhance the group's competitiveness in next-generation product design and solutions, effectively driving profit growth and supporting the group in achieving mid-term profit targets. Looking ahead, as artificial intelligence hardware upgrades, artificial intelligence software and application instances will continue to develop, adding value for users and making AI PCs mainstream products. The Smart Devices Business Group promotes AI PC innovation, enhances differentiation in hardware development, proprietary software, and components, and lays the foundation for personal AI Twins. These innovations will drive higher average selling prices and sustainable profitability. At the same time, the significant growth of the Smart Devices Business Group in the smartphone field will continue to drive its growth strategy beyond the market. The Infrastructure Solutions Business Group is committed to driving profit by investing in hybrid artificial intelligence infrastructure, high-performance computing, storage, and edge systems. As the customer diversification of cloud service providers and the optimization of the business structure of IT infrastructure for small and medium-sized enterprises, the Infrastructure Solutions Business Group will achieve balanced growth in revenue and profit. The latest ThinkSystem server from the Infrastructure Solutions Business Group is based on the Nvidia GB200 platform, using advanced sixth-generation Neptune technology, achieving 100% liquid cooling without the need for dedicated data center air conditioning. The Solution Services Business Group will leverage the advantages of hybrid artificial intelligence to provide fast and reliable artificial intelligence outcomes, enabling enterprises to quickly transform data into business outcomes and accelerate the adoption of artificial intelligence. At the same time, it provides high-value support services for personal computers and infrastructure products to safeguard their core business. Through cooperation with ecosystem partners, the Solution Services Business Group is fully prepared to assist customers in advancing their artificial intelligence development process while increasing financial contributions to the group. Lastly, LENOVO GROUP will continue to focus on driving sustainable profit growth for shareholders, seek organic and inorganic opportunities, and drive the business to achieve optimal growth.