Lenovo Group Ltd<0992>, the world's fourth-largest PC manufacturer, expects to see PC sales grow with the launch of Windows 7, Microsoft's newest operating system, said Liu Chuanzhi, president of the PC firm, sources reported.

Liu on Saturday revealed that the firm's business performance will be better than expected and will be positively impacted by the release of the new OS.

Although Liu declined to forecast the firm's revenue, he said he held a positive outlook on Lenovo's future business development.

Lenovo is at a turning point, added Liu, explaining that the firm's losses in the past quarters were mainly a result of overseas corporate clients choosing not to replace their PCs and of Lenovo's short-sighted management strategy.

Microsoft's Windows 7 OS was released on Thursday, and is expected to spur a wave of PC replacement among both commercial clients and individuals.

Lenovo last week unveiled two new notebook PCs with Windows 7 pre-installed, and Acer, the world's third-largest PC brand, in Taiwan released a series of multi-touch PCs running Windows 7.

IDC's statistics show that Lenovo and Acer shipped nearly 6.99 million PCs and 10.96 million PCs in the third quarter of this year, respectively.