Lenovo is going through one of its strongest periods after stringing together record financial results Globally, the company is simultaneously strengthening its artificial intelligence roadmap, with a direct impact on Spain and Portugal. The company used its annual Tech World Iberia event to share record-breaking figures and explain how it intends to translate this global strength to businesses and consumers in the region.
In Madrid, Lenovo Iberia executives shared the data for the second fiscal quarter and analyzed the Market opportunities and risks for the coming years and have insisted that AI is no longer an experiment, but the backbone of their devices, infrastructure and services, forming part of their AI ecosystem on PCs, tablets, gaming and mobile.
A record-breaking quarter amid supply chain tension
The last reported quarter ended with the Lenovo's highest ever revenue for this period$20.500 billion, representing a 15% increase compared to the same quarter of the previous year. Adjusted net income also broke records, reaching $512 million, 25% higher than the previous year.
These numbers have a common denominator: All divisions of the group have grown at a double-digit rate.The Intelligent Devices Group (IDG), focused on PCs, tablets and smartphones; the Infrastructure Solutions Group (ISG), focused on infrastructure and hybrid cloud; and the Solutions and Services Group (SSG), dedicated to software, managed services and as-a-Service models, each contribute their part to this coordinated progress.
The context, however, is not exactly simple. The technology market continues to grapple with a global shortage of DRAM and Flash memory which threatens the availability of PCs, laptops, smartphones, and servers. Lenovo Iberia acknowledges that the situation could last around nine months, but insists that the company is better prepared than in previous crises.
Alberto Ruano, Executive Director & Country General Manager of Lenovo Iberia, explained that the multinational has a highly diversified industrial strategyWith over 30 factories worldwide and a multi-supplier policy that has allowed them to build up reserves of critical components, Lenovo has a strong presence in the market. According to the data provided, around 80% of Lenovo's products are manufactured in-house, giving them extra flexibility to handle logistical challenges.
AI as a business pillar: from Smarter AI for All to Personal AI Twin
Beyond the numbers, the underlying message is that Artificial intelligence has become the main driver of growth of the company. Revenue linked to AI solutions now represents 30% of global revenue, 13 percentage points more than a year ago, a jump that reflects how AI is being integrated into both consumer products and large corporate projects.
Under the vision “Smarter AI for AllLenovo advocates a hybrid strategy that spans from personal devices to the data center. It's not just about adding smart features to devices, but about making it easier for every individual and every business to access AI tailored to their specific needs, combining on-premises and cloud capabilities depending on the use case.
Among the most notable initiatives is the development of Personal AI TwinA super-agent AI designed to operate across devices, operating systems, and applications. This “digital twin” learns user habits and preferences to anticipate needs, coordinate tasks, and deliver a consistent experience, regardless of whether the user is working from a laptop, mobile phone, or tablet.
In parallel, the company is promoting its methodology AI ReadinessDesigned to support organizations of all sizes throughout the entire AI adoption cycle: from initial consulting and use case identification to deployment, integration with existing systems, and large-scale operational management. The goal is to lower barriers to entry so that AI isn't limited to large corporations.
IDG: leadership in PCs, booming consumption, and strength in Spain and Portugal
The Smart Devices (IDG) division remains the core of the business. In the last quarter, this division recorded revenues worth $15.100 billionThis represents a year-on-year growth of 12%. Lenovo maintains its leadership in the global PC market with a 25,6% share, extending its advantage in key segments.
By customer type, the company leads the commercial market with a 28,6% shareIt reaches 22,1% in consumption, approaches 20% in gaming, and stands at around 31,1% in the emerging segment of PC with AI and Copilot+This is one of the areas where they expect the most growth in the coming years. This data supports their commitment to a product range that combines traditional devices with new generations of AI-powered equipment.
In Iberia, Lenovo reaffirms its position as number one in the professional marketwith a very important role in projects for public administrations, education, and SMEs. Within the Digital Kit program, aimed at the digitalization of small and medium-sized enterprises, the brand holds a 43% market share, positioning it as a key partner in this initiative.
The consumer segment is also experiencing a particularly positive period. The range YOGA of premium laptops Sales have surged 273% year-on-year in the region, reflecting increased interest in high-end equipment geared towards productivity and content creation. Meanwhile, the gaming category, driven by the Legion and LOQ lines, has grown by 23%, capitalizing on the PC gaming boom and the rise of portable gaming systems.
In tablets, Lenovo dominates the Android device market in Spain and Portugal with a 42% shareconsolidating an ecosystem that combines entry-level tablets—such as the Lenovo Tab 4 10—, models for family use, options for education, and professional solutions. In addition to gaining market share, the company has observed an increase in the average selling price of its premium and gaming ranges, indicating a greater willingness among users to invest in higher value-added products.
ISG and SSG: Infrastructure for AI and high-value services
The Infrastructure Services (ISG) division has become another pillar of Lenovo's growth. revenue increased by 24% globally, exceeding $4.100 billion, driven by demand for AI solutions, hybrid cloud and more energy-efficient data centers.
In Iberia, the company wants to consolidate its position as strategic partner in AI infrastructure projectsLenovo operates in both the public and private sectors. In Portugal, Lenovo leads the x86 server market, and in Spain, it participates in leading initiatives related to the modernization of public services, data analytics, and the implementation of AI models in critical environments.
Among the technologies that ISG is placing the most emphasis on are NeptuneTheir liquid cooling system for data centers allows for energy consumption reductions of up to 40% compared to traditional air cooling solutions. This is complemented by their platforms. ThinkAgile for hybrid cloud environments, designed to deploy AI workloads with flexibility and control over where data is processed.
The solutions and services (SSG) area continues its upward trajectory, having already achieved a string of results. 18 consecutive quarters of growthIn the last period, its revenues increased by 18% to $2.600 billion, with an operating margin of 22%, figures that confirm the growing importance of high-value services within the group.
Within SSG, the models are gaining prominence. TruScaleThis includes both Device as a Service (DaaS) and Infrastructure as a Service (IaaS) models, as well as other managed services. This approach allows companies to consume technology flexibly, on a subscription basis, and adapt it to their needs with a more manageable initial investment, something especially valued in a changing economic environment.
Outlook: A more moderate fiscal year, but with clear levers
Despite the positive momentum, Lenovo doesn't hide the fact that The next fiscal year will foreseeably be more moderate.Their internal roadmap anticipates two specific declines by 2027: a 1,5% drop in the consumer segment and a decline of nearly 6% in the SMB (small and medium-sized enterprise) business, largely due to the end of the extraordinary boost provided by the Digital Kit program.
The company expects that this drop in SMEs can be offset, at least in part, by a greater weight of projects with public administrations And with the boost from new product categories. In fact, the official discourse insists that the opportunities associated with AI and technological renewal can balance out this somewhat more lukewarm scenario.
Among the growth drivers identified, the following stand out: AI PCsThese devices are poised to be one of the major drivers of the device market in the coming years. Designed to run AI models locally or in a hybrid fashion, these devices will be further boosted by the progressive migration to Windows 11since around 40% of the world's PC stock has not yet made the switch to the new operating system.
Another relevant vector is the segment GamingLenovo anticipates sustained growth until at least 2030, in both desktop and laptop PCs as well as handheld systems. The company is confident that the combination of optimized hardware, immersive experiences, and services associated with the Legion ecosystem will continue to attract demanding users.
Meanwhile, the alert remains in place regarding the shortage of DRAM and Flash memoryThis situation could extend well into the next fiscal year. Even so, Lenovo reiterates that they are not panicking, citing their demonstrated responsiveness during the pandemic and the war in Ukraine, as well as the expansion of their manufacturing network, which includes a new plant in Riyadh capable of producing virtually the entire product catalog.
Global/local model and brand projection from Iberia
The group's executives emphasize that this cycle of historic results is due to a combination of global strategy and local executionThe hybrid AI vision, the continued effort in R&D and diversification outside the PC —more than 45% of the business already comes from areas other than the traditional sale of computers— are complemented by a specific adaptation to each market.
In Iberia, this translates into a very active presence alongside government agencies, businesses, and educational institutions, leveraging Lenovo's strength in segments such as the professional environment, education, and advanced consumer products. The region acts as testbed for AI solutions applied to sectors such as industry, sports or public services, relying on collaboration with technology partners and software developers.
The strategy also relies on expanding the service catalog, which ranges from fully financed and managed equipment to infrastructure-as-a-service solutions, always with AI as a cross-cutting element. The stated objective is to enable both large organizations and SMEs to adopt next-generation technologies without major barriers to entry.
This combination of strong financial results, a firm commitment to artificial intelligence, and a specific focus on Spain and Portugal positions Lenovo in a prominent position to face the challenges of the next technological cycle, with an eye on the market normalization and another in the new opportunities that AI PCs, hybrid cloud, and managed services will bring.