It’s been over a year since Lenovo blew past HP to become the world’s top PC supplier, but the company’s latest earning report reveals that it’s actually selling more smartphones than full-sized computers. Lenovo said it shipped 15.8 million smartphones in its last fiscal quarter ending on June 30, compared to roughly 14.5 million PC shipments in the same three month timespan.

The news shows just how quickly smartphone sales continue to grow, especially in China where Lenovo is based. The firm is only the fourth-biggest smartphone-seller in the world, according to an IDC report published earlier this year, though it reported a 39 percent increase in shipments this part quarter compared to a year earlier.

Lenovo is also set to acquire Motorola from Google once the $2.91 billion deal is approved, giving it a whole new lineup of mobile devices to sell. Even so the company faces tough competition in China from companies like Xiaomi and Huawei, while at the same time it’s still struggling to compete with bigger brands like Apple and Samsung abroad.