Lenovo Group's Net Profit Reached CNY 222.5 Bn in 2021 H1, with R&D Less than 3%

Technology Author: 王轶群 Editor: 马渭淞 Nov 04, 2021 04:23 PM (GMT+8)

Hong Kong stocks of Lenovo Group fell by 0.35% to HKD 8.47/share, with a total market value of HKD 102 billion.

Lenovo brand logo of Lenovo Science Park

Lenovo Group has three major business groups, namely the intelligent equipment business group (IDG), the infrastructure solution business group (ISG), and the solution service business group (SSG).

The 2021 H1 financial reports for the Lenovo group are as follows:

·       Revenue was USD 34.8 billion, a 24.87% year-on-year increase.

·       Net income was USD 978 million, an 87% year-on-year increase.

·       IDG's revenue reached USD 30 billion, an increase of 24.14% year-on-year, with USD 2.3 billion in net profit.

·       ISG's revenue was USD 3.8 billion, an increase of 23.57% year-on-year, with USD 16.9 billion in net loss.

·       SSG's revenue recorded USD 2.5 billion, an increase of 33.39% year-on-year, with USD 548 million in net profit.

The six months performance period ended September 20, 2021, are as follows:

·       R&D expense was USD 948 million, accounting for 2.72% of revenue.

·       SG&A expense was USD 3.3 billion, accounting for 9.44% of revenue.

The 2021 Q2 performance are as below:

·       Revenue was USD 17.9 billion, a 23.07% year-on-year increase.

·       Net income was USD 512 million, a 65.16% year-on-year increase.