More on IBM's Q2: Forex impacted revenue by $1B. Free cash flow was $3.7B, below net income of...

|By:, SA News Editor

More on IBM's Q2: Forex impacted revenue by $1B. Free cash flow was $3.7B, below net income of $4.1B. Services backlog closed at $136B, down from $139B at end of Q1. Software revenue growth flat Y/Y (+5% in Q1), services -3%, and hardware -9%, with server, storage, and chip sales all declining. EMEA revenue -9%, offsetting slight growth in Americas and Asia-Pac. EPS beat fueled by 120 bps Y/Y increase in gross margin to 47.6%, and $3B worth of stock buybacks. IBM +1.7% AH. (PR)