IBM raises guidance, beats Street estimates
SAN FRANCISCO (AP) — IBM has raised its full-year profit guidance and says its quarterly earnings rose 8 percent on increases in each of its three major product categories.
The results show the strength of the 100-year-old company's efforts to link its mainframes and other computing hardware with the software and services that now bring in the bulk of IBM's profits.
Net income was $3.66 billion, or $3 per share, compared with $3.39 billion, or $2.61 per share, a year ago.
Excluding items, IBM earned $3.09 per share, ahead of the $3.02 per share analysts expected.
Revenue increased 12 percent to $26.7 billion, ahead of the $25.4 billion analyst estimate.
Guidance for 2011 calls for at least $13.25 per share, excluding items, up from the previous estimate of $13.15 per share.