Lenovo Group (0992.HK) swung to a fiscal fourth-quarter net profit due to cost controls and strong domestic sales but margins could come under pressure on rising components costs, the Wall Street Journal reported. Lenovo’s profit for the three months ended March 31 reached US$13 million against a net loss of US$264 million for the same period last year; revenue increased 56% to US$4.32 billion. The Hong Kong-listed company said fourth-quarter PC shipments in China rose 67% from the previous year. China accounted for 45.3%, or US$2 billion, of Lenovo’s total revenue. The company is diversifying into other areas including tablet PCs and smartphones. Lenovo this month launched its LePhone in China and is "confident that LePhone sales will be higher than iPhone in China." Lenovo booked a fiscal full year net profit of US$129.4 million versus a net loss of US$226.4 million the previous year.
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