IBM Q4 results boosted by exchange rates
Ongoing weakness in the dollar, global sales help boost bottom line
January 14, 2008 (IDG News Service) -- IBM today said its fourth-quarter revenue, aided by exchange rates and sales outside the U.S., stood at $28.9 billion, an increase of 10% over the same period a year ago.
The figure, which topped predictions of $27.82 billion by analysts polled by Thomson First Call, was helped by the ongoing weakness in the dollar, IBM said.
Samuel J. Palmisano, IBM's chairman, president and CEO, said in a statement that the results were also helped by strong sales in Asia, Europe and emerging markets.
IBM said it earned $2.80 per share in the quarter, handily beating the analysts' forecast of $2.60 per share. The results represent a 24% increase over the same period in 2006, when IBM earned $2.26 per share.
Total revenue for 2007 was $98.6 billion, an 8% from 2006. Overall earnings for 2007 were $7.18 per share, a rise of 18% over 2006, according to IBM.
The company also said it had more than $16 billion in cash on hand at the end of 2007.
Shares of IBM shot up nearly 8% on the news in premarket trading Monday, to $105.36.
IBM plans to provide a full earnings report during a webcast on Thursday.