IBM raises its profit forecast

Marion Dakers
IBM has raised its profit forecast for the year for the second time in three months, despite falling revenues in the second quarter.

The firm fell short of Wall Street’s predictions with quarterly revenues of $25.8bn, down three per cent on a year ago due to a $1bn currency hit.

But the computing giant last night revealed a six per cent jump in net income to $3.9bn, and said its focus on higher margin products such as business analytics had helped push up its earnings per share forecast for the year by $0.10 to $15.10.

Analysts welcomed the sign that tech spending is holding up well.