November 20, 2025 – Lenovo Group Restricted (HKSE: 992) (ADR: LNVGY), along with its subsidiaries (‘the Group’), at this time reported report outcomes for the second quarter of fiscal yr 2025/26, with general group income reaching an all-time excessive of US$20.5 billion, up 15% year-on-year. Adjusted web revenue[1] grew 25% year-on-year to US$512 million, and adjusted web revenue margin expanded to 2.5%, pushed by greater revenues. Collectively, these replicate the power of the Group’s operational efficiency as they exclude the impression of non-cash honest worth loss on warrants, notional curiosity on convertible bonds, and different non-cash gadgets.
The Group delivered double-digit year-on-year income development throughout all principal enterprise teams and gross sales geographies. The AI-related income combine elevated by 13 proportion factors year-on-year, accounting for 30% of the Group’s complete income this quarter. The expansion was pushed by high-double-digit income development in AI Servers and triple-digit income development in AI PCs, AI smartphones, and AI Companies.
These outcomes are a testomony to the Group’s clear technique, operational excellence, and relentless innovation, reflecting not solely the power of its enterprise at this time but in addition the resilience of its distinctive ‘International/Native’ mannequin and the imaginative and prescient of an organization constructed to steer within the AI period. With the preliminary wave of infrastructure build-out within the AI period, the pattern is evolving towards a extra human- and enterprise-centric part, as massive language fashions grow to be commoditized and consumer priorities shift towards personalization and personal area. This evolution is unlocking new alternatives throughout units, hybrid infrastructure, and tailor-made options, and enabling the Group to increase its management in Private AI and additional ship its worth proposition in Enterprise AI.
Because the macroeconomic atmosphere stabilizes, Lenovo stays dedicated to executing its Hybrid AI technique and investing in innovation to ship sustainable long-term returns to shareholders and make AI really customized.
Lenovo’s Board of Administrators declared an interim dividend of 8.50 HK cents per share.
Chairman and CEO quote – Yuanqing Yang:
“Capitalizing on the AI democratization pattern, and due to our clear technique, operational excellence and relentless innovation, Lenovo delivered one other quarter of report efficiency, whereas making essential progress in each Private AI and Enterprise AI. We’ll proceed to leverage our distinctive International/Native mannequin to navigate uncertainties and seize the super Hybrid AI alternatives, and in doing so not solely ship sustainable long-term returns to our shareholders, but in addition make AI really customized for each particular person and each enterprise.”
Monetary Highlights:
Private AI: Innovation strengthened market management, enriching ecosystem
Lenovo is assembly rising shopper demand for hyper-personalization with its Private AI technique, ‘One Private AI, A number of Gadgets’. Launching globally at Tech World on January 6, 2026, Lenovo’s Private AI tremendous agent will seamlessly orchestrate throughout wearable and ambient units to understand, be taught, and act like its consumer – finally turning into a real Private AI Twin.
Clever Gadgets Group (IDG) because the core engine for Lenovo’s Private AI technique, delivered robust Q2 FY25/26 outcomes:
- Total IDG income grew practically 12% year-on-year to US$15.1
- PC market management was strengthened with a report 25.6% market share, additional widening the lead over the quantity two participant.
- The PCs and good units enterprise maintained its industry-leading profitability, pushed by stable efficiency from high-margin segments.
- AI PC penetration accelerated, accounting for 33% of all Lenovo PC shipments. Lenovo ranks #1 globally within the Home windows AI PC section with a 31.1% market share. Motorola smartphones delivered report volumes.
- AI gadget momentum is especially encouraging, with income combine from AI units up 17 factors year-on-year to 36%.
Enterprise AI: Unleashing Hybrid AI Benefit, from infrastructure to options and providers
Lenovo is advancing its Enterprise AI technique to assist clients flip information and information into actionable insights and worth. The Group is well-positioned to drive Enterprise AI transformation and develop an AI Twin for purchasers. The shift from cloud-based AI coaching to on-premises and edge inferencing is predicted to gas larger development in AI units and AI functions, additional increasing the corporate’s complete addressable market.
Infrastructure Options Group (ISG) as the important thing driver of Lenovo’s hybrid infrastructure, delivered robust development in Q2 FY25/26:
- Income grew 24% year-on-year to US$4.1 billion by the continued robust execution of its CSP (Cloud Service Supplier) and Enterprise SMB twin technique.
- CSP enterprise delivered report fiscal Q2 income.
- The AI infrastructure enterprise income achieved excessive double-digit year-on-year development with a robust
- Income from industry-leading liquid cooling options grew 154% year-on-year.
- By optimizing Enterprise SMB enterprise fashions to raised serve the distinct wants of enterprise and SMB clients, the Group is assured that the infrastructure enterprise will return to worthwhile development quickly.
Options and Companies Group (SSG) delivered stable development in Q2 FY25/26, offering options and providers for enterprises that leverage the Lenovo Hybrid AI Benefit:
- SSG’s general income grew 18% year-on-year to US$2.6 billion – marking 18 consecutive quarters of year-on-year income development.
- Working margin was up 1.9 factors year-on-year to over 22%.
- Income from Assist Companies accelerated with double-digit year-on-year development; Managed providers and Tasks and Options income combine was up 1 level year-on-year to nearly 60% of SSG’s complete income.
- SSG is unleashing the ability of Lenovo Hybrid AI Benefit, combining the AI manufacturing unit, AI providers, and the AI library of repeatable, scalable AI options for chosen vertical industries and horizontal features.
Company and ESG highlights
Achievements, bulletins, and notable commitments over the previous quarter embrace:
[1] Notice on adjusted web revenue:Adjusted measure was outlined as monetary metric by excluding web honest worth adjustments on monetary belongings at honest worth by revenue or loss, amortization of intangible belongings ensuing from mergers and acquisitions, impairment and write-off of intangible belongings, dilution acquire on curiosity in an affiliate, honest worth change on by-product monetary liabilities referring to warrants, and notional curiosity on convertible bonds; and the corresponding revenue tax results, if any.
About Lenovo
Lenovo is a US$69 billion income international expertise powerhouse, ranked #196 within the Fortune International 500, and serving hundreds of thousands of shoppers daily in 180 markets. Centered on a daring imaginative and prescient to ship Smarter Expertise for All, Lenovo has constructed on its success because the world’s largest PC firm with a full-stack portfolio of AI-enabled, AI-ready, and AI-optimized units (PCs, workstations, smartphones, tablets), infrastructure (server, storage, edge, excessive efficiency computing and software program outlined infrastructure), software program, options, and providers. Lenovo’s continued funding in world-changing innovation is constructing a extra equitable, reliable, and smarter future for everybody, in all places. Lenovo is listed on the Hong Kong inventory trade below Lenovo Group Restricted (HKSE: 992) (ADR: LNVGY). To seek out out extra go to https://www.lenovo.com, and browse concerning the newest information through our StoryHub.
