IBM sales dip 12 percent despite lift from new mainframe
IBM reported a 12 percent drop in revenue for the last quarter despite a big boost from its new z13 mainframe, which went on sale last month.Revenue for the quarter ended March 31 was $19.6 billion, with profit down 5 percent to $2.4 billion, IBM announced Monday.Two-thirds of the company’s business comes from overseas, and the strong U.S. dollar weighed on its results. Without the currency impact, and adjusting for businesses that IBM recently sold off, revenue would have been flat from a year ago, CFO Martin Schroeter said on IBM’s earnings call.Like its rival Hewlett-Packard, IBM has been watching its business shrink for several quarters as customers spend less on expensive hardware and IT services and devote more to cloud computing and mobile.To read this article in full or to leave a comment, please click here
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