On May 23, Lenovo Group announced the fourth quarter and full year results for the 2023/2024 fiscal year. Among them, the fourth fiscal quarter performed well, with revenue of 99.4 billion yuan, up nearly 10% year on year; main business fully resumed growth, with net profit of 1.78 billion yuan, up 118% year on year;
Despite facing a series of macroeconomic challenges, ISG achieved revenue of RMB 18.2 billion in the fourth fiscal quarter, a year-on-year growth rate of 15.1%, a record high for the same period, and achieved 3 consecutive quarters of month-on-month improvement. During the 2024 Lenovo Innovation and Technology Conference held in April, the Lenovo Wanquan Heterogeneous Intelligent Computing Platform was officially launched. It provides superior computing power through intelligent matching, improves efficiency based on core algorithms, and realizes greening computing power through innovation in liquid cooling technology. In the 2023/24 fiscal year, ISG achieved revenue of 63.9 billion yuan.
At present, Lenovo has become the world's largest supplier of high-performance computing and the third largest AI infrastructure provider. Storage also ranks third in the world, and has a complete layout of general computing, high-performance computing, intelligent computing, and edge computing. At the same time, with regard to AI, the “energy-consuming giant,” Lenovo is also fully deploying and leading liquid cooling technology. For example, in the field of green computing, Henri, a high-performance computing cluster built by Lenovo for the Flatiron Research Institute, has topped the HPC Green 500 list three times in a row.
In the fourth fiscal quarter, the total revenue of ISG's storage, software and services business increased by more than 50% year-on-year, and the high-performance computing business also reached a new high. The global server and storage market is expected to continue to grow, driven by the need to upgrade infrastructure around the world. IDC predicts that from 2024-2027, the global server market will grow at a compound annual rate of 10%, the edge server market will reach 19%, and the storage, software and services markets will continue to grow.
Lenovo Group said that looking ahead, IDC predicts that AI servers will continue to grow at twice the rate of other server markets. Lenovo will seize the growth opportunities by building a rich product portfolio and excellent ability to transform business opportunities, and will also continue to seize the steady growth opportunities of traditional computing servers, storage, software, and services using its existing advantages.