Feeds

Old-timers leave IBM flat in Q3

Seniors stall income rise

  • alert
  • submit to reddit

New hybrid storage solutions

IBM's pension plan woes kept the company's third quarter results flat, as a $320m settlement charge erased a double-digit rise in income.

IBM reported revenue of $23.4bn in its third quarter - a nine per cent rise over the $21.5bn reported in the same period last year. The company also posted $2bn in income - a 12 percent rise over the $1.8bn reported one year ago. Including its partial pension plan settlement, IBM's net income for the period dropped to $1.8bn, leaving it very flat for the quarter.

IBM made particular gains from sales to the communications and public sectors and with small- to medium-sized businesses. In addition, it saw revenues rise in the Americas and Asia Pacific regions, while sales to Europe were flat in constant currency.

The company's hardware business was its best performer during the third quarter. Hardware sales rose 12 per cent year-over-year to $7.5bn. Xeon server and mainframe sales carried this unit.

Software sales jumped five per cent to $3.6bn with IBM's middleware products and DB2 database performing well. IBM's services business also posted a 10 percent rise in sales. The company's relatively small financing unit saw revenues drop 11 per cent to $638m.

Overall, IBM expects its full fiscal year results to come in ahead of analysts' estimates. IBM's CFO Mark Loughridge said recent strength in the Americas and Asia has pushed the company's prospects higher than they were at the start of the year. ®

Related stories

Sun kicks off fiscal '05 with a $174m loss
Compaq's servers save HP from enterprise sales hell
IBM mocks Itanium server sales - again

Providing a secure and efficient Helpdesk

More from The Register

next story
Quit drooling, fanbois - haven't you SEEN what the iPhone 6 costs?
How keen will buyers be when exposed to the real price?
Ex-Autonomy execs: HP's latest wad blows apart fraud allegations
Top bods claim IT titan's latest court filing is smoking gun of 'reckless aggression'
Forget silly privacy worries - help biometrics firms make MILLIONS
Beancounter reckons dabs-scanning tech is the next big moneypit
Elon Musk says Tesla's stock price is too high ... welp, NOT ANY MORE
As Nevada throws the SpaceX supremo a $1.25bn bone
Microsoft's Office Delve wants work to be more like being on Facebook
Office Graph, social features for Office 365 going public
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.