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International Business Machines Corporation (IBM)

  • Jul. 17, 2013, 4:13 PM
    IBM (IBM): Q2 EPS of $3.91 beats by $0.14. Revenue of $24.92B (-4.2% Y/Y) misses by $450M. $1B restructuring charge recorded. Expects 2013 EPS (exc. restructuring charge) of at least $16.90, above consensus of $16.64 and prior guidance of $16.70. Shares +3.6% AH. CC at 4:30PM ET (webcast). (PR)
  • Jul. 17, 2013, 12:10 AM
    Notable earnings after Wednesday’s close: ALB, AXP, CCK, CLB, CVA, EBAY, EPB, IBM, INTC, KMP , NE, PLXS, RLI, SCSS, SLM, SNDK,STLD, VMI, XLNX
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  • Jul. 16, 2013, 5:35 PM
    Notable earnings after Wednesday’s close: ALB, AXP, CCK, CLB, CVA, EBAY, EPB, IBM, INTC, KMP , NE, PLXS, RLI, SCSS, SLM, SNDK,STLD, VMI, XLNX
  • Jun. 27, 2013, 7:07 PM
    IBM -1.4% AH after outsourcing/consulting rival Accenture posts a May quarter revenue miss and lowers guidance below consensus. Mentioned during Accenture's call: Consulting book-to-bill was 1.0, below a target of 1.1; outsourcing was at 1.3. $100M+ worth of bookings were recorded for 12 clients. Outsourcing revenue growth will slow in FQ4 (clients are slowing spending pace/levels), and consulting will show a low-single-digit Y/Y drop on a local currency basis. The U.S. and several major emerging markets are growing well; Europe remains weak. CEO Pierre Nanterme says competition is "stable," but adds a soft market will lead to price pressure. The company now expects FY13 free cash flow of $2.7B-$2.9B. ACN -6.9% AH.
  • Jun. 20, 2013, 4:19 PM
    More on Oracle:  New software license/cloud subscription growth only 1% Y/Y in FQ4 (was -2% in FQ3 and +17% in FQ2), at low end of guidance of 1%-11% (cloud competition to blame?). Software license/product support sales +6% (+7% prior), hardware product sales -13% (-23% prior), at high end of guidance of -13% to -23%. Engineered systems sales +45%, Oracle claims share gains against IBM's System p line. ERP/HR/CRM cloud app sales +50% Y/Y, total cloud business on $1B/year run rate. $2.8B spent on buybacks, limiting EPS miss. Company moving to NYSE. ORCL -6.3% AH. CC at 5PM ET (webcast), guidance should be provided. (PR)
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  • Apr. 19, 2013, 9:55 AM
    IBM (IBM -6.5%) would've missed Q1 EPS estimates by $0.34, rather than $0.05, if not for a lower tax rate, says BMO's Keith Bachman. Like others, Bachman is skeptical Big Blue's woes are solely due to execution, given weak results from peers (one can now add SAP to the list). "We think demand was perhaps weaker than we and the companies thought." Sterne Agee, however, is staying bullish precisely because it doesn't consider IBM's issues company-specific. Meanwhile, the WSJ is backing up CRN's report about the relatively low-margin x86 server unit being on sale. Morgan Stanley estimates the unit had 2012 sales of $4.9B. (previous) (transcript)
  • Apr. 18, 2013, 6:18 PM
    More on IBM's CC: Management stressed execution (particularly related to closing deals), rather than macro, is the main culprit for the Q1 miss. However, U.S. federal sales (a problem for many) fell 13% Y/Y, and China was also weak (leadership transition blamed). Free cash flow was $1.7B, down $200M Y/Y partly due to tax issues. $1B in "workforce rebalancing charges" are expected this year, mostly outside the U.S. IBM refuses to comment on CRN's x86 server sale report, but does say it's evaluating asset sales. IBM is counting on expanded Linux support to lift slumping Power server sales. Over 4K PureSystems sold thus far. Update: The WSJ is now also reporting the x86 server unit is on the block.
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  • Apr. 18, 2013, 5:11 PM
    More on IBM: Hardware was weak, division sales -17% Y/Y in Q1 (was -1% in Q4). On the CC (webcast), IBM partly blames a failure to close deals, while promising Q2 closings. System z (mainframes) +7% Y/Y, boosted by refresh. Power systems -32%. System x (reportedly on the block) -9%, storage -11%, chips -16%. Software was flat, also saw deal push-outs (Oracle can sympathize). Services -4% Y/Y, but backlog rose 1% Y/Y to $141B. Growth markets only +1% (+7% prior). Gross margin +100 bps to 46.7%. Weak yen hurt results. $2.6B in buybacks ($3B in Q4), lifting EPS. IBM -4.1% AH. (PR)
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  • Apr. 18, 2013, 4:09 PM
    IBM (IBM): Q1 EPS of $3.00 misses by $0.05. Revenue of $23.41B (-5.1% Y/Y) misses by $1.28B. Continues to guide for 2013 EPS of at least $16.70 vs. consensus of $16.77. Shares -3.7% AH. CC at 4:30PM ET (webcast). (PR)
  • Apr. 18, 2013, 7:49 AM
    It's set to be a heavyweight late afternoon for the tech sector, with Google (GOOG), IBM (IBM) and Microsoft (MSFT) due to release quarterly results. Google's Q1 EPS is expected to have risen to $10.69 from $10.08 while revenue is seen surging 72.5% to $14.04B. IBM's Q1 EPS is estimated to have increased to $3.05 from $2.78 as revenue edged up 0.1% to $24.69B. Microsoft's FQ3 EPS is seen growing to $0.68 from $0.60 and its revenue 18.1% to $20.56B.
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  • Apr. 18, 2013, 12:10 AM
    Notable earnings after Thursday’s close: ACTG, ALGN, AMD, BGS, CBST, CE, CMG, COF, CPHD, ETFC, GOOG, IBM, ISRG, LSCC, MSFT, RMBS, VMI, WIT
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  • Apr. 17, 2013, 5:35 PM
    Notable earnings after Thursday’s close: ACTG, ALGN, AMD, BGS, CBST, CE, CMG, COF, CPHD, ETFC, GOOG, IBM, ISRG, LSCC, MSFT, RMBS, VMI, WIT
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  • Apr. 12, 2013, 9:32 AM
    IBM (IBM -1.1%) and Wipro (WIT -5.7%) join the list of stocks affected by Infosys' (INFY -17.7%) revenue miss and light FY14 (ends March '14) guidance. In addition to forecasting soft revenue, the Indian outsourcing giant says it expects its pricing and margins to be pressured over the near-term, though the company's deal pipeline is said to be slightly better than what it was a year ago. Is the weakness simply a result of macro and government budget issues, or are cloud services also taking a toll?
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  • Jan. 22, 2013, 6:12 PM
    Margin improvements and buybacks will fuel another year of solid EPS growth for IBM, execs promised during the company's earnings call. Buybacks lifted Q4 EPS by $0.24 and 2012 EPS by $0.73. Margin gains are expected to come from mid-single-digit software growth and efforts to focus on higher-margin services. Still, there were some pointed questions about soft top-line growth in certain segments. Execs chose to focus on areas of strength such as middleware (gaining share) and cloud solutions (+80% in 2012). Shares +4.2% AH. (Q4: I, II) (slides)
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  • Jan. 22, 2013, 4:43 PM
    More on IBM: Gross margin hit 52.3% (+210bps Y/Y), contributed to EPS beat. Also helping is another $3B in buybacks. Services backlog was $140B, up $2B Q/Q and flat Y/Y. Services revenue -2% Y/Y (-6% in Q3), software +3% (-1% in Q3), hardware -1% (-13% in Q3). Free cash flow of $9.5B, above net income of $6.1B. Hardware boosted by 56% increase in system Z mainframe sales thanks to refresh, hurt by 19% drop in Power servers in spite of refresh. Middleware +4% with strength in WebSphere, Lotus, and Rational. IBM +2.8% AH. CC underway (webcast). (PR)
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  • Jan. 22, 2013, 4:11 PM
    IBM (IBM): Q4 EPS of $5.39 beats by $0.14. Revenue of $29.30B (-0.6% Y/Y) beats by $210M. Expects 2013 EPS of at least $16.70, above consensus of $16.63. Shares +4.1% AH. (PR)
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Company Description
International Business Machines Corp is an Information Technology (IT) company. It creates business value for clients and solves business problems through integrated solutions that leverage information technology & knowledge of business processes.