Lenovo Group today announced consensus-beating results for its third fiscal quarter ended December 31, 2014, showing a strong PC business and fast traction in the integration of its Motorola Mobility (Motorola) and former IBM System x, x86 server (System x) investments. The company's quarterly revenue was US$14.1 billion, a 31 percent increase year-over-year. Net profit was $253 million, down from $265 million a year prior due to ballooning expenses associated with closing the two major acquisitions.

Lenovo continued to consolidate its hold on the PC market, reaching a record 20 percent share during the quarter with sales of $9.15 billion. Shipments rose 5 percent compared with a 3 percent decline in the broader industry, with growth particularly strong in Eastern Europe.

Lenovo said PCs account for 65 percent of the company’s revenue, while Mobile delivers 24 percent and Enterprise contributes 9 percent.

"This quarter, we are at the starting line of a new race, but the results show that we have the right strategy, we made the right acquisitions and we executed well globally, so I am confident we are ready to win," said Yuanqing Yang, chairman and CEO of Lenovo. "Our core PC business maintained its leading position and further improved profitability. The two newly acquired businesses are achieving great momentum in their first quarter of integration. They are definitely becoming our growth engines. Motorola is already a global strength: for the first time it sold more than 10 million units in the quarter and it is now re-entering the China market. Meanwhile, we have a strong start with the System x integration, even while we further refine and develop it, leveraging Lenovo’s operational excellence and efficiency to be even more competitive. I remain fully confident we will meet all of our financial commitments this year, and also that we are on the right track to win in the long term."