The world's biggest personal computer maker Lenovo stated that the company will cut more than 3,000 jobs as net profit for its first quarter fell by more than 50 percent.
Chinese computer giant also saw revenues miss analysts' forecasts in what chairman and CEO Yuanqing Yang described as the "toughest market environment in recent years".
Net profit dropped 51 percent to $105 million for the first three months to June 30 -- which the firm takes as its first quarter -- compared to $214 million for the same period last year.
Pre-tax profit for the first quarter also plunged by 80 percent.
Revenue grew three percent to $10.7 billion, but fell short of Bloomberg analysts' average estimates of $11.5 billion.