IBM reports 2008 first-quarter results

Armonk, Apr 17: IBM announced first-quarter 2008 diluted earnings of 1.65 per dollars share from continuing operations compared with diluted earnings of 1.21 per dollars share in the first quarter of 2007, an increase of 36 percent as reported. First- quarter income from continuing operations was $2.3 billion compared with $1.8 billion in the first quarter of 2007, an increase of 26 percent. Total revenues for the first quarter of 2008 of $24.5 billion increased 11 percent (4 percent, adjusting for currency) from the first quarter of 2007.

"IBM had a very good quarter, and a good start to 2008. These results reinforce our confidence in IBM's ability to perform well in a dynamic global economy. Our performance is a tribute to the way we have repositioned our company over the past several years, as well as the hard work of IBMers across the globe," said Samuel J. Palmisano, IBM chairman, president and chief executive officer.

"IBM is a different company today, with a number of unique advantages: our global reach and scale, our strength in profitable growth segments, strong recurring revenue and profit streams, products and services that create real value for clients, and the discipline and financial strength and flexibility that enables us to adjust our business model as conditions require. We feel good about the rest of the year," Palmisano added.

Financial Results Below (certain amounts may not add due to use of rounded numbers; percentages presented are calculated from the underlying whole-dollar amounts).

-- -- Diluted earnings of $1.65 per share, up 36 percent;

-- Total revenues of $24.5 billion, up 11 percent;

-- Global Technology Services revenues up 17 percent; pre-tax income up 45 percent;

-- Global Business Services revenues up 17 percent; pre-tax income up 23 percent;

-- Software revenues up 14 percent; pre-tax income up 22 percent;

-- 65 percent of revenues from outside the U.S.; E/ME/A revenues up 16 percent; Asia Pacific up 14 percent; U.S. up 6 percent;

-- Services signings of $10.8 billion at constant currency; $12.6 billion at actual rates.

ANI