Zhi Tong Cai Jing·2024-02-22 06:41Core Insights - Lenovo Group reported third-quarter revenue of 113.6 billion RMB, a year-on-year increase of 3%, with net profit nearing 2.6 billion RMB, showing sequential improvement in profitability for two consecutive quarters [1] Business Performance - The SSG business showed strong performance, with support services revenue growing by 7% year-on-year, driven by increased penetration and record-high service order volumes for Premier Support and Premier Support Plus [1] - Operations and maintenance services benefited from strong demand for Device-as-a-Service and Infrastructure-as-a-Service solutions, with revenue increasing by 26% year-on-year [1] - The total contract value for Infrastructure-as-a-Service increased by over 80% year-on-year, supporting a long-term growth trajectory [1] Strategic Initiatives - In the first half of this year, the company plans to launch AI solutions such as Care-of-One, Intelligent Sustainable Solutions Advisor (L.I.S.S.A), and Cybersecurity-as-a-Service (CRaaS) to meet customer needs [1] - Lenovo is closely collaborating with NVIDIA to provide AI professional services, assisting clients in rapidly deploying hybrid AI solutions [1] Service Expansion - The SSG Solutions Services Group secured its largest TruScale Infrastructure-as-a-Service order to date and the largest asset recovery service order in the third fiscal quarter [1] - Lenovo's global footprint significantly enhances its operational service capabilities, making the Solutions Services Group a preferred choice for international companies and those planning overseas expansion [1] - Revenue from project and solutions services grew by 5% year-on-year, primarily due to strong demand for integrated complex solutions across various verticals and effective cross-team execution [1] AI Solutions and Market Trends - Hybrid AI solutions leverage general AI foundational models but are deployed on private or hybrid infrastructures to ensure security, leading to sustained demand for IT services, including consulting, implementation, and maintenance for hybrid AI [1] - AI computing resources are shifting from training AI models to inference, necessitating a more balanced infrastructure across client, edge, and cloud environments [1] - Lenovo's AI professional services will assist clients in building optimal AI strategies during rapidly changing times, with a comprehensive "from pocket to cloud" AI capability becoming a unique advantage for providing enterprise-level AI services and solutions [1]