IBM Corp.'s first-quarter results fell as all its major business units suffered declines. IBM reported that its profit was US$2.30 billion, compared to $2.32 billion last year.
Sales fell 11% to $21.7 billion. IBM said the revenue drop would have been 4% were it not for the effects of a strengthening dollar.
The company pointed to its better profit margins in services and software, which together contribute more than 80% of IBM's revenue. However, services revenue was $13.2 billion, down 10%. Software sales were $4.5 billion, a 6% decline. Hardware sales fell 24%, while sales of both high-end mainframe computers and industry-standard servers showed double-digit declines.
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