IBM's profit rose 9 percent, earnings growth resume

IBM Corp. said Monday that it successfully 9 percent increase in profit last kuartal technology companies grow as income for the first time in one and a half years.

It also offers a slightly better estimates for the year 2010, although IBM has said that investors were "well ahead" of the measures will be needed to achieve the target first. IBM's stock dipped in extended trading.

Kuartal recent increase in income, which ended December 31 is just under 1 percent. And is aided by currency fluctuations. Constant value for the dollar, IBM's revenue will be down 5 percent. But even a slight increase was recorded because IBM has changed the income rise is kuartal year from July to September 2008. Some analyst have been concerned that IBM will continue to have trouble using the cost reduction flash to squeeze higher profits.

However, shares slipped $ 2.68, or 2 percent to $ 132.00 in extended trading, perhaps because investors expect better. IBM shares rose 1.8 percent to close at $ 134.14 before the earnings report.

"I think IBM is really shocking. Because it is very difficult to get that rating was enthusiastic - we are talking single-digit earnings growth company," said Brian Marshall, an analyst with Broadpoint.AmTech. "When I see the environment improved, there would be far more leverage in other companies."

IBM says earned $ 4.8 billion, or $ 3.59 per share in the last three months of 2009, up from $ 4.4 billion, or $ 3.27 per share, a year earlier. Analyst who disurvei by Thomson Reuters expected $ 3.47 per share.

Income was $ 27.2 billion, versus $ 27.0 billion in the fourth kuartal year 2008. The analyst had expected flat revenue of $ 27.0 billion.

IBM's earnings in services and software to increase, while the hardware falls. However, the device division is not hard decline as steep as in previous kuartal.

IBM's results are not always track with the direction of the economy as a whole, but higher income is the corporation that pattern to continue normal production technology. IBM also said he signed $ 18.8 billion in new services contracts in kuartal, up 9 percent from the previous year. Income from these contracts will reserve a large part in the years ahead.

Intel Corp. offers production this season's first indication there is recovery technology last week. Intel posted a higher income and the company's highest-ever gross margin gains, largely driven by sales of a better microprocessor for server computers. Shows that companies spend more on their computer system over a firm budget for the recession.

IBM said they expect profits at least $ 11 per share in 2010. Higher than IBM's previous projection of $ 10 to $ 11 per share in the profits.

In the first kuartal, income is expected to be $ 22.8 billion to $ 23.0 billion. Analyst predicts $ 22.3 billion.

IBM, based in Armonk, NY, has impressed investors with a squeeze profit-ramas even get a worse time. To do this, IBM has been based on the ability to crop your own expense and sell technology services to other companies as a way to save money. IBM stock has increased more than 50 percent last year.

For all of 2009, IBM's net income increased 9 percent to $ 13.4 billion, while income down 8 percent to $ 95.8 billion.