Lenovo to respond 'aggressively' as profit slumps 77%

Lenovo president and CEO William Amelio today pledged to "aggressively pursue growth opportunities" during the coming recession as the slowing PC market knocked back its Q2 2009 numbers. During the three months to the end of September, total PC shipments grew 7%, lagging the worldwide aver

Lenovo president and CEO William Amelio today pledged to "aggressively pursue growth opportunities" during the coming recession as the slowing PC market knocked back its Q2 2009 numbers.

During the three months to the end of September, total PC shipments grew 7%, lagging the worldwide average thanks to slower than expected growth in China. Consolidated sales in EMEA hit $890m, while regional shipments grew a more impressive 18%.

However, sales were basically flat at $4.3bn across the group, while profits tumbled over 77% year-on-year to $23m, although this figure also includes the sale of its mobile handset business in March.

According to Amelio, Lenovo has "a strong, proven global engine for innovation and worldview that is built for exactly the kind of economic conditions we see today. We have a business strategy that is solid and fundamentally strong and we intend to stay the course," he added.

Chairman Yang Yuanqing hinted Lenovo would put a restructuring and cost-cutting programme on the table before very much longer.

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