IBM third-quarter earnings up

NEW YORK – International Business Machines Corp. reported a small gain in third-quarter profits on Monday, as increasing revenues in almost every area of the business, including emerging markets such as Russia and China, helped offset expenses from a pension lawsuit.

For the three months ending Sept. 30th IBM earned US$1,80 billion (N$11,88 billion) or US$1,06 per share, compared to US$1,79 billion, or US$1,02 a share at the same time a year ago. Excluding a charge of US$320 million related to a pension lawsuit filed by retirees, the company earned US$2 billion or US$1,17 per share.Analysts surveyed by Thomson First Call had predicted US$1,14 per share.Portions of that retiree lawsuit are still unresolved, and the company said in September, when it announced the US$320 million charge, that it could face additional payments.The results were announced after the markets closed.IBM shares had ended the regular trading session up US$1,07 or 1,3 per cent at US$85,92 on the New York Stock Exchange.In the extended session, the shares rose another US$1,45.Third-quarter revenues were US$23,43 billion compared to US$21,52 billion for the same period last year.The company said revenue from emerging markets, such as Brazil, China, India and Russia grew 30 per cent.By contrast, revenues in the Americas were up eight per cent, while Europe/Middle East/Africa region was flat adjusting for currency.Overall hardware revenues were up 12 per cent, or nine per cent adjusting for currency to US$7,5 billion.Software revenues were up five per cent or one per cent adjusting for currency to US$3,6 billion.IBM’s global financing revenues declined by 11 per cent.Year-to-date, IBM has earned US$5,39 billion or US$3,14 per share on revenues of US$68,83 billion.A year ago, the company had earned US$4,87 billion or US$2,77 per share on revenues of US$63,22 billion.-Nampa-APExcluding a charge of US$320 million related to a pension lawsuit filed by retirees, the company earned US$2 billion or US$1,17 per share.Analysts surveyed by Thomson First Call had predicted US$1,14 per share.Portions of that retiree lawsuit are still unresolved, and the company said in September, when it announced the US$320 million charge, that it could face additional payments.The results were announced after the markets closed.IBM shares had ended the regular trading session up US$1,07 or 1,3 per cent at US$85,92 on the New York Stock Exchange.In the extended session, the shares rose another US$1,45.Third-quarter revenues were US$23,43 billion compared to US$21,52 billion for the same period last year.The company said revenue from emerging markets, such as Brazil, China, India and Russia grew 30 per cent.By contrast, revenues in the Americas were up eight per cent, while Europe/Middle East/Africa region was flat adjusting for currency.Overall hardware revenues were up 12 per cent, or nine per cent adjusting for currency to US$7,5 billion.Software revenues were up five per cent or one per cent adjusting for currency to US$3,6 billion.IBM’s global financing revenues declined by 11 per cent.Year-to-date, IBM has earned US$5,39 billion or US$3,14 per share on revenues of US$68,83 billion.A year ago, the company had earned US$4,87 billion or US$2,77 per share on revenues of US$63,22 billion.-Nampa-AP