May. 23 at 2:16 AM
Lenovo Group Ltd. shares jumped as much as 17% in Hong Kong, hitting record levels after strong earnings driven by rapid growth in AI-related revenue, which helped offset pressure from rising component costs, especially memory chips.
For the fiscal year ending March, Lenovo reported a 38% increase in profit and 20% revenue growth, both ahead of expectations. AI-related products and services were a key driver, accounting for 38% of total sales and growing 84% year-over-year, as the company expands beyond traditional PCs into data centers and AI infrastructure.
The company is increasingly benefiting from demand for AI inference workloads and is building a large AI server pipeline, while preparing to ship Nvidia-based Rubin platforms later this year. Management also reaffirmed ambitions to become a
$100B company within two years, supported by its growing AI infrastructure business.
$LNVGY