Deals
Lenovo Expects to Finally Slow Smartphone Bleeding Next Year
- CEO Yang Yuanqing predicts a complete turnaround in 2017/18
- Net income exceeded estimates due to cost cuts, asset sales
Lenovo 1Q Profit Beats on Cost Cuts, New Smartphones
This article is for subscribers only.
Lenovo Group Ltd. expects its loss-making smartphone business to turn a corner next fiscal year as it shifts toward higher-end devices and ramps up marketing in the U.S. and China.
The world’s largest PC maker is counting on a revival of the Motorola smartphone business it bought for $2.8 billion to make up for a declining computer industry. The Chinese company emphasized that premium gadgets -- such as an upcoming smartphone with augmented reality capabilities -- should help stabilize the division in the second half and revive its faltering consumer business.