IBM Shares Drop 6.5% Despite Q3 Beat and Higher Free Cash Flow Outlook
Photo: TokenPost
IBM shares fell 6.5% in premarket trading Thursday after the company beat third-quarter estimates and raised its free-cash-flow outlook, though some transaction-processing revenue came from deals delayed from the previous quarter. The decline followed a 3.96% gain Wednesday, when shares closed at $251.49. For the quarter ended Sept. 30, IBM booked $17.103 billion in revenue, 5% more than a year earlier and 6% higher after currency effects are excluded. Operating non-GAAP diluted earnings were $2.95 per share, above the $2.86 estimate. Revenue also topped the $16.82 billion estimate. Software generated $7.804 billion, an 8% year-over-year increase. Transaction-processing revenue grew 9%.
Source: TokenPost
