On May 22, Lenovo Group officially released its financial results for the fourth quarter and full fiscal year 2025/26. This highly valuable performance directly refuted previous market pessimism about "tech giants investing heavily in AI leading to capital expenditure eroding profits," proving the commercial profitability of its hybrid AI strategy with solid data.

The report showed that Lenovo not only exceeded market expectations but also achieved its best fiscal year performance in company history.

Key Performance Overview:

Full-Year Total Revenue: Reached 589.9 billion yuan (83.1 billion U.S. dollars), a year-over-year increase of 20.3%, breaking through the 500 billion yuan threshold for the first time and approaching 600 billion yuan.

Adjusted Net Profit: Reached 14.55 billion yuan (2 billion U.S. dollars), a year-over-year increase of 42.1%, with its growth rate approximately twice that of revenue growth.

Fourth Quarter Explosion: Quarterly revenue reached nearly 150 billion yuan, up 27.1% year-over-year, achieving the highest growth rate in the past 20 quarters; adjusted net profit for the quarter doubled year-over-year.

AI as the Absolute Driving Force: Full-Year AI Revenue Surged by 105%

Over the past two years, global AI competition mainly focused on large model parameters and training. By 2026, the industry entered a system-level competition marked by a surge in inference demand and the large-scale deployment of intelligent agents (Agents). Lenovo, with its "from pocket to cloud" hybrid AI strategy, has taken the lead at the forefront of this wave of popularization and accessibility.

AI Revenue Doubled: Throughout the full fiscal year, Lenovo's AI-related business (including AI PCs, AI phones, AI servers, and AI services) revenue increased by an impressive 105% year-over-year.

Contribution Nearly 40% in One Quarter: In just the fourth fiscal quarter, the revenue share of AI-related businesses surged to 38%, rising nearly 6 percentage points from the previous quarter. AI has completely transformed from a new business line into a core profit engine for the company.

Three Business Groups Expand Together: Delivering "Words Match Actions" Results

Regarding previously concerns about rising component costs, the consumer electronics cycle, and infrastructure losses, all three of Lenovo's business segments (IDG, ISG, SSG) achieved double-digit strong growth in the fourth quarter, fulfilling their commitments to the capital market with concrete actions.

1. IDG (Intelligent Devices Business): PC Market Share Hits Historic High, Consolidating the Personal AI Entry Point

Performance: Annual revenue reached 418.5 billion yuan, up 17% year-over-year.

PC Dominance: In the fourth quarter, Lenovo's PC shipment growth outpaced the industry average by 5.6 percentage points, with global market share reaching a historic high of 24.4%, creating the largest lead over the second-place vendor in 15 years.

High-End Structure: In the fourth quarter, the proportion of high-end PC shipments reached 50%. Meanwhile, the foldable screen products from the Motorola phone business ranked first globally, with high-end models accounting for 19% of shipments.

AI Outlook: Lenovo has officially launched the Tianxi 4.0 architecture and the new Agent core "Tianxi Claw." Its super intelligent agent, Lenovo Qira, is rapidly expanding to more native devices.

2. ISG (Infrastructure Solutions Business): Successfully Turned Around, AI Servers Are in High Demand

Performance: Annual revenue reached 136.2 billion yuan (19.2 billion U.S. dollars), up 32% year-over-year, and successfully achieved annual profitability, returning to a sustainable growth track.

Power Surge: Driven by strong enterprise-level AI inference demand, Lenovo's AI server revenue grew at a high double-digit rate throughout the year. At year-end, Lenovo's AI server order backlog significantly increased to 21 billion U.S. dollars (approximately 140 billion yuan). In the fourth quarter, Lenovo's NVIDIA GB300 NVL72 platform had been fully shipped.

3. SSG (Solution Services Business): Continued Double-Digit Growth for 20 Consecutive Quarters

Performance: Annual revenue surpassed 71 billion yuan, growing 19% year-over-year.

High-Profit Driver: SSG consistently exceeded its set targets, maintaining an operating profit margin of over 20% continuously, providing the group with a very stable cash flow and risk resistance capability.

Goodbye to Traffic Time! A New Revenue Philosophy in the AI Era

At the earnings call, Yang Yuanqing, Chairman and CEO of Lenovo Group, stated: "Lenovo has closed its best year in history with outstanding performance. With the strong momentum across all businesses, we are confident in our goal of becoming a trillion-dollar company within the next two years."