Lenovo, the world’s largest computer maker, has posted its first sales decline in more than two years after the global PC market suffered its worst quarterly downturn on record, reports the Financial Times. A zero-COVID policy of frequent lockdowns in its home market of China has damped retail demand and disrupted businesses.
Lenovo said it accounted for a 12% drop year on year in fiscal second-quarter sales in China, as overall revenues fell 4% to $17.1 billion—their first decline in 10 quarters. “Lenovo once again delivered solid results, even in a challenging global market,” said Yuanqing Yang, chair and chief executive.
With a deteriorating macroeconomic situation and high inflation in key markets, analysts say consumers and businesses are being more cautious in their spending, which has hit PC sales and shipments.