IBM (IBM.US) Q3 revenue exceeds expectations, but after-hours stock price falls by 5%.
IBM (IBM.US) announced third-quarter adjusted earnings per share of $2.65, up 15% year-on-year, above market expectations of $2.45. Revenue grew 9% to $16.3 billion, beating expectations of $16.1 billion. Even though the company raised its annual guidance, the stock price fell 5% after the IPO.
Software revenue grew by 10% to $7.21 billion in the year, which is in line with expectations. The current model for Artificial Intelligence Business is over US$9.5 billion.
IBM now expects revenue growth of more than 5% for the full yearfree cash flowThe forecast is about $14 billion, while the previous forecast was $13.5 billion.
