SAN FRANCISCO (AP) — IBM raised its full-year guidance again on Monday, offering fresh evidence of the company’s ability to wring profit from technology services and software contracts.
But questions about growth reared up as IBM’s third-quarter revenue missed Wall Street’s target — something rare for the company.
Net income was $3.84 billion, or $3.19 per share, up 7 percent from $3.59 billion, or $2.82 per share, a year ago. Excluding special items, earnings were $3.28 per share, 6 cents per share better than average estimate by analysts surveyed by FactSet.
Revenue rose 8 percent to $26.16 billion, slightly less than the $26.26 billion that analysts had expected.
The company now expects adjusted earnings of at least $13.35 per share for the year. The previous forecast was for at least $13.25 per share.