Lenovo’s stock price experienced a significant surge of over 15% following the announcement of its most successful fiscal year to date. The electronics giant reported a massive leap in quarterly revenue, reaching $21.6 billion for the March quarter—a 27% increase compared to the previous year. This growth was accompanied by a dramatic rise in net income, which climbed to $521 million, representing nearly a sixfold increase.

The primary engine behind this financial windfall is the company’s rapidly expanding artificial intelligence sector. AI-related revenue skyrocketed by 84% during the fourth quarter, now accounting for more than one-third of the group’s total revenue. This high-growth segment includes a diverse range of products, from smartphones and personal computers equipped with neural processing units to high-performance servers utilizing advanced graphics processing units.

Looking toward the future, Lenovo is positioning itself for massive scale. Chairman and CEO Yuanqing Yang has outlined an ambitious roadmap to transform the company into a $100 billion enterprise within the next two years. Central to this expansion is the company’s ‘Hybrid AI strategy,’ which seeks to integrate personal AI capabilities across consumer devices while simultaneously building out enterprise-level AI solutions to help businesses extract value from their data.

Despite the shifting technological landscape, Lenovo continues to dominate the hardware market. The company maintained its status as the world’s leading PC vendor during the fourth quarter, capturing a substantial 24.4% of the global market share.