Lenovo reported a full-year profit increase of 625% to US$161 million, compared with $22m the
previous year, the Financial
Times reported. The strong results suggest that the Chinese computer manufacturer has begun to turn round the
PC unit it acquired from IBM two years ago. The big turnaround was the Americas, where Lenovo recorded losses of US$116 million in 2005, but surprised financial analysts with a strong final
quarter this year, booking profits of US$60m. According to IDC, Taiwan's Acer
outgrew Lenovo and is now tied with it as the world's third-largest computer
company, after HP and Dell. However, IDC analysts believe Lenovo has "got a lot of challenges ahead,” including promoting the company's new brand
globally.