What you need to know
- Lenovo's PC business had its best fourth quarter ever in the fiscal year 2020.
- The company saw 512% profit growth.
- It topped $60 billion in revenue for the first time.
The PC market is alive and well, and if you need any proof of that claim, just check out Lenovo's Q4 FY2020 earnings. As reported by ZDNet, Lenovo pulled in a mountain of money in Q4, topping $60 billion in revenue for the first time. Atop that mountain, past the clouds obscuring its tip, you can squint and see that that lofty figure represents a historic high for the company.
Reuters cited the figure as a 512% profit growth that beat analyst estimates. Reuters' report also mentioned Lenovo's hold on a quarter of the PC market, beating HP's 21.4% and Dell's 16.5%, explaining where said revenue is coming from.
These big results, while impressive in and of themselves, aren't excessively surprising when you factor in the growth of PC sales in general in recent times. PC shipments are anticipated to grow by 18.1% in 2021 to the tune of over 357 million units. And notebook PC shipments specifically are up 81% over last year, with 68.2 million being shipped in Q1 of 2021 versus 37.8 million in Q1 of 2020.
No matter how you slice it, growing demand for technology and a global shortage of certain PC components is leading to every seller and manufacturer having a hungrier audience than ever before. Lenovo's just one of the many companies reaping the rewards of said consumer appetite, though its share of the profit pie is noticeably larger than a good chunk of the competition.