Lenovo’s Q3 Results Preview

Overview

Lenovo, the world’s largest maker of personal computers, is set to announce its fiscal third quarter results this Thursday. Analysts are eagerly awaiting the company’s performance.

Forecasts

Net Profit Prediction

Analysts predict that Lenovo will report a net profit of $308 million for the fiscal third quarter, compared to $437 million during the same period last year.

Revenue Expectation

Lenovo’s revenue is expected to reach $15.26 billion. This estimate is in alignment with the $15.27 billion revenue recorded in the previous year, representing a 5.9% increase quarter-over-quarter.

Key Points to Monitor

Global PC Demand Recovery

Lenovo noted stabilization in its PC business after the second quarter and anticipates an annual recovery by the end of 2023. The focus will be on sales performance of core products, including PCs and smartphones, and guidance for 2024 PC sales.

AI PC Launch

Investors await updates on Lenovo’s AI technology, as the company plans to unveil its first AI-powered PC this year. The launch promises improved configuration, computing power, and memory capabilities. The success of AI PC rollouts will likely depend on pricing, according to Morningstar analysts.

Market Performance

Lenovo’s shares on the Hong Kong stock exchange have declined by 22% since the start of the year. This was exacerbated by Intel’s cautious sales forecast in Q1 and broader stock market worries about China’s economic situation.

Stay updated on Lenovo’s official announcement for a comprehensive understanding of its fiscal third quarter outcomes.