Lenovo Group reported a stronger-than-expected fiscal first-quarter performance, with revenue rising 22% from a year earlier to a record US$18.8 billion and net profit more than doubling to US$505 million. Analysts surveyed by LSEG had anticipated revenue of US$17.4 billion and profit of US$308 million. Operating profit reached US$784.8 million, while gross margin narrowed to 14.7%, below the 16.3% consensus forecast. Management attributed the gains to brisk corporate purchases of personal computers as customers brought forward orders to get ahead of potential new U.S. tariffs and to solid demand for devices used in artificial-intelligence workloads. Although Washington and Beijing recently extended a 90-day pause on additional duties, Chinese PCs shipped to the United States still face a 30% levy, adding cost pressure that the company said it is managing through supply-chain adjustments and price discipline. Despite the earnings beat, Lenovo’s Hong Kong-listed shares fell as much as 4.6% in morning trading, with some investors focusing on the slimmer margins and uncertainty over trade policy. The company said it would continue to invest in higher-margin services and AI infrastructure to buffer against volatility in its core PC business.