'This has been one of our best years yet, even in the face of significant macroeconomic uncertainty.' – Yuanqing Yank, Lenovo CEO
Net income was up 36% year-on-year to US$1.4 billion on a non-Hong Kong Financial Reporting Standards (non-HKFRS[1]) basis. The Group's diversified growth engines continue to accelerate, with non-PC revenue mix up nearly five points year-on-year to 47%.
All business groups were healthy and strong and met their strategic intent and financial goals, and all sales geographies gained double-digit revenue growth year-on-year, reflecting the strength of the Group's diversified businesses and resilient global footprint.
The results were not only driven by the Group's focus on executing a clear strategy, but also its end-to-end integrated global operations (design, demand forecasting, procurement, manufacturing, marketing, sales, and services), ODM+ manufacturing model, and global resources/local delivery model. Over the past 20 years of operating a global business, Lenovo has established a manufacturing footprint that boasts 30+ manufacturing sites (either in-house or outsourced) in 11 different markets around the world.
The combination of these gives the Group maximum flexibility and resilience to navigate through uncertainties and be more adaptive to the market conditions.
Lenovo continues to prioritize investment in innovation, with R&D expenses up 13% year-on-year to US$2.3 billion. The past year saw several key announcements, investments, and milestones from the Group as part of its hybrid AI strategy.
These include the launch of AI PCs where Lenovo is now number one globally in the Windows AI PC category; the launch of the first foldable phone with Moto AI; hypergrowth in the AI server business; the creation of core solutions and services capabilities with Lenovo Hybrid AI Advantage, and most recently the launch of the Group's first personal and enterprise AI super agents at its Tech World event in Shanghai.
Looking ahead, Lenovo remains confident that its focus on innovation and hybrid AI, together with its globally balanced business and a flexible, resilient supply chain will not only maintain but also enhance its market competitiveness.
Lenovo's Board of Directors declared a final dividend of 3.9 US cents or 30.5 HK cents per share for the fiscal year ended March 31, 2025.
Chairman and CEO quote – Yuanqing Yang:
'This has been one of our best years yet, even in the face of significant macroeconomic uncertainty. We achieved strong top-line growth with all our business groups and sales geographies growing by double digits, and our bottom-line increased even faster. Our strategy to focus on hybrid AI has driven meaningful progress in both personal and enterprise AI, laying a strong foundation for leadership in this AI era. With 20 years of leading a global business and navigating challenges, I'm confident that our operational excellence and continued investment in innovation will not only sustain but strengthen our competitiveness.'
Financial Highlights:
FY 24/25
US$ millions FY 23/24
US$ millions Change
Q4 FY24/25
US$ millions Q4 FY23/24
US$ millions Change Group Revenue 69,077 56,864 21% 16,984 13,833 23% Pre-tax income 1,481 1,365 8% 178 309 (42)% Net Income
(profit attributable to equity holders) 1,384 1,011 37% 90 248 (64)% Net Income
(profit attributable to equity holders – non-HKFRS) [1] 1,441 1,060 36% 278 223 25% Basic earnings per share (US cents) 11.30 8.41 2.89 0.73 2.02 (1.29)
Q4 FY24/25 Group Performance: Revenue and non-HKFRS[1] net income increase over 20%, double-digit revenue year-on-year growth across all businesses
Group revenue grew 23% year-on-year to US$17 billion, with double-digit year-on-year revenue growth across all businesses.
Net income was up 25% year-on-year on a non-HKFRS [1] basis to US$278 million.
basis to US$278 million. The Intelligent Devices Group further enlarged its PC market leadership and expanded the gap to the number two player year-on-year by a further point. At the same time, smartphone revenue outgrew the market by 12 points and its global smartphone ranking by revenue is now number four in all markets outside of China.
The Infrastructure Solutions Group achieved profitability for the 2 nd consecutive quarter, with revenue hypergrowth of more than 60% year-on-year.
consecutive quarter, with revenue hypergrowth of more than 60% year-on-year. The Solutions and Services Group delivered 18% revenue growth year-on year and a record operating margin of 27%.
Full Year performance:
Intelligent Devices Group (IDG): Market leadership strengthened, winning in personal AI
FY24/25 performance:
Overall IDG revenue grew 13% year-on-year to US$50.5 billion, with an operating margin in the historically high range of more than 7%.
PCs expanded their market leadership, enlarging the gap to the number two player by almost 1 point to 3.6 points, and maintained industry-leading profitability.
AI PCs exceeded the volume target for the year, with Lenovo now leading globally in the Windows AI PC category.
Smartphone revenue reached its highest point since the acquisition of Motorola Mobility, with hypergrowth of 27% year-on-year. There was robust growth in Asia Pacific and EMEA markets, complementing the traditional strongholds of Latin America and North America.
The tablet business achieved double-digit year-on-year growth in sales volume.
Innovative form factors were launched throughout FY24/25 across Lenovo's AI PC and smartphone portfolio, including the ThinkBook Plus Gen 6 with a rollable display, the Legion Go S handheld gaming console, and the ultra-premium ThinkPad and Yoga Aura Editions. Motorola expanded its leadership in foldables with the latest motorola razr, now enhanced with moto AI capabilities.
Looking ahead, IDG will continue to build an AI-driven applications ecosystem to deliver seamless cross-device, cross-ecosystem experiences, as well as further develop the AI super agents that recently launched at the Group's Tech World event in Shanghai.
Infrastructure Solutions Group (ISG): Hypergrowth, profitable in the 2nd half of the year, driving hybrid infrastructure
FY24/25 performance:
ISG saw a year of hyper-growth with revenue up 63% year-on-year to a record US$14.5 billion. Operating margin was significantly improved and ISG broke even for the 2 nd half of the fiscal year.
half of the fiscal year. The Cloud Services Provider (CSP) business continued to scale through the year with self-sustaining profitability.
The Enterprise and SMB (E/SMB) business had strong momentum with revenue up 20% year-on-year to a record high.
The AI server business also achieved hypergrowth thanks to the rising demand for AI infrastructure, with Lenovo's industry-leading Neptune™ liquid cooling solutions as a key force behind this rapid growth.
Looking ahead, ISG will continue executing its CSP and E/SMB strategy, simplify its product portfolio, strengthen its go-to-market capabilities, and enhance operational resilience to drive steady, balanced growth across all geographies and sustainable profitability.
Solutions and Services Group (SSG): High margin and high growth transformation engine, unleashing hybrid AI Advantage
FY24/25 performance:
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