Lenovo's profits rise 19 percent even as smartphone sales decline

Android Central

Android Central
Android Central

Lenovo has posted its earnings for the quarter ending December 2015, recording an overall revenue of $12.9 billion with a net profit of $300 million. The Chinese manufacturer's mobile division posted $3.2 billion in revenue, down 4 percent from the same period a year ago.

Lenovo sold 20.2 million smartphones during the period, a decline of 18.8 percent from Q3 2014. However, strong performance in India and Indonesia saw the vendor recording an increase of 206 and 318 percent respectively. Lenovo is now focusing on global markets for continued growth, with shipments outside China accounting for 83 percent of total volume. Motorola's quarterly shipments also increased by 25 percent, contributing $2 billion to Lenovo's coffers.

Lenovo is looking to cut $1.5 billion in costs this year, and is re-aligning its mobile business as Lenovo Moto and Lenovo Vibe. The manufacturer is also aggressively vying for more market share in the entry-level segment. The brand is also set to unveil a "more innovative, more attractive" Motorola phone sometime in July, which will be targeted at U.S. customers.

Source: Lenovo

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