IBM Growth in Americas Slower than OverseasBy Reuters - | Posted 2008-01-17 Email Print
WEBINAR: On-demand webcast
Next-Generation Applications Require the Power and Performance of Next-Generation Workstations REGISTER >
IBM said that revenue from the Americas rose 5 percent, slower than other regions as overseas units showed the strongest gains, and said computer hardware sales declined.SAN FRANCISCO (Reuters) - IBM said on Thursday that revenue from the Americas rose 5 percent, slower than other regions as overseas units showed the strongest gains, and said computer hardware sales declined.
Fourth-quarter net income at the world's largest computer services company advanced to $3.95 billion, or $2.80 per share, from $3.46 billion, or $2.31 per share, a year earlier. Revenue rose to $28.9 billion from $26.3 billion.
International Business Machines Corp said in preliminary results on Monday that earnings per share from continuing operations had jumped above analysts' average expectations, driven by strength in Asia, Europe and emerging countries. IBM said it was on track to reach its 2010 growth target, which calls for earnings per share of $11.
IBM's Monday announcement sent its stock sharply higher and eased concerns that a slowing U.S. economy was crimping spending on technology, until recently a safe haven for investors fleeing housing, banking and consumer-discretionary stocks.
IBM shares, down 17 percent before Monday's announcement from a 52-week high on October 11, have added 5 percent this week and trade at about 13 times estimated 2008 earnings per share, about the same as rival Hewlett-Packard Co.
(Reporting by Philipp Gollner; Editing by Braden Reddall)
Copyright Reuters 2007. All rights reserved. Users may download and print extracts of content from this website for their own personal and non-commercial use only. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters and the Reuters sphere logo are registered trademarks or trademarks of the Reuters group of companies around the world.