An organization which believes in the value of being dedicated to every client’s success now has the chance of cherishing its own success. IBM boasts of high revenue earnings for the year 2010 with an impressive Q – III Result. These revenues are a result of IBM’s fantastic business performers like IBM services, IBM mainframes, IBM analytics, etc.
The net income as per the company’s reports came up to 3.6 billion dollars (2.82 dollar per share on revenue of 24.3 billion dollars) which is apparently 3% above last year’s statistics. This has beat Wall Street Journal’s expected estimation of 2.75 dollar per share on 24.13 billion dollars. Speaking on the various sources of revenue, IBM CEO Samuel Palmisano said “we grew revenue in our hardware, software and services businesses, expanded margins and again increased earnings per share at double digits.”
Revenues from the US were 10.2 billion dollars which is 3% higher than last year’s figures. Business from Europe, Middle East, and Africa stands at 7.4 billion dollars and this in comparison with the previous year’s data is 6% on the lower side. Asia-Pacific revenue was up 14 percent to $5.9 billion.
One of the major factors that has boosted IBM’s net income is the strong sales performance shown in Brazil, Russia, India and China. Revenue in BRIC was up 29 percent in the third quarter. The income from services as a whole was up 2% as against previous year’s results, in that the global technology service and global service revenues were 1% and 5% on the higher side.
Software, Middleware and Hardware revenue were also up 1%, 7% and 10% respectively from a year ago. Growth markets revenues for both servers and storage increased by more than 20 percent in the quarter. In addition to BRIC, there are 28 other nations that have portrayed double-digit revenue growth.
Power Systems – A Disappointment
Power Systems from IBM haven’t yet generated huge sales, hence not reflecting major revenues in the third quarter. The anticipations from Power Systems in terms of sales is quite high and it seems as though these anticipations will only be met in the fourth quarter, wherein IBM will showcase a complete lineup of Power7 systems.
With this and IBM’s ever-so-reliable range of services, IBM is set to see a rise in fourth quarter revenues; a rise that hopefully is higher than its third quarter income.