Lenovo clocks weak profit growth -

Even as it heads to become the world's top PC maker, Lenovo has recorded its weakest quarterly profit growth in more than two years.

Lenovo reported a net profit of $162 million in the July-September period, compared with $143.9 million a year earlier.

The company had made a number of acquisitions in the United States, Japan, Germany and Brazil over the past few years which has strengthened its hand.

Lenovo derives nearly half of its sales from homeground China where sales are strong. However it appears that it is losing cash in areas such as the United States, and Europe due to the economic problems in those regions.

Lenovo shares are up 28 percent since the start of this year. It is doing much better than other PC makers, such as HP, Dell and Acer.

Reuters trotted out the mantra that the real reason is that people are no longer using PCs and are buying mobile toys instead. However, anyone who has tried to do any real work on a tablet will tell you that is not happening - and besides, the reduction in PC sales only seems to apply to the economic stricken regions of the EU and US.

Lenovo has launched its own mobile gear too. Its LePhones have gained traction in China with the PC maker ranking second in terms of market share in the second quarter, behind Samsung.