April 17 (Reuters) – IBM raised its full year
outlook after it posted a 15 percent rise in first quarter
earnings on strong demand for its software services and growth
in emerging markets.
The company said on Tuesday that revenue was flat at $24.7
billion compared with the previous year and net earnings were up
7 percent at $3.1 billion in the first three months of the year.
International Business Machines, which has been shifting its
focus from hardware to higher-margin services and software over
the past decade, said that earnings per share, excluding items,
was $2.78 — beating average analysts’ earnings per share
estimates of $2.65 and in line with revenue expectations of
$24.78 billion.
IBM raised its full year target to at least $15 adjusted
earnings per shape from previously at least $14.85.
Sterne Agee analyst Shaw Wu wrote in a recent note that
there was a “fair likelihood” IBM would “modestly raise” its
outlook.
IBM competes with business software makers Oracle Corp
and SAP AG as well as outsourcing company
Accenture and computing giant Hewlett Packard.
