Lenovo ANZ posts $6.16m profit

Lenovo Australia and New Zealand (Lenovo ANZ) has posted a NZ$6.16 million profit for the financial year ending 31 March 2020 - almost double its $3.38 million profit posted in 2019.

The company's revenue, which reached $928.6 million, was also substantially up on 2019 figures ($799.2 million). However, cost of sales, administration expenses, marketing and distribution expenses, other non-operating expenses, and finance costs were all considerably higher than in the previous year.

The company did not pay out a dividend during the financial year, and does not recommend that one be paid.

Lenovo ANZ says that following COVID-19, the company has continued its principal activities - notably the wholesaling of computer equipment and provisioning of service - and has not been significantly impacted by the pandemic.

"However, the situation is unprecedented and we will continue to pay close attention to the potential implications of the pandemic and the impact on the operations, which may include disruptions to the supply chain, availability of employees and changes in customer demand.

Lenovo ANZ also shared annual report figures for its New Zealand branch for the same period ending 31 March 2020.

The New Zealand branch produces $110.9 million in revenue, up from $91.4 million in 2019.   Profit also increased from $188,449 in 2019 to $254,695 in 2020.

The branch was also subject to considerable rises in cost of sales of goods, administration expenses, marketing and distribution expenses, non-operating incomes/expenses, and finance costs.

*Figures in this story have been rounded.