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IBM third-quarter revenue hurt by strong dollarUS-IBM-RESULTS:IBM third-quarter revenue hurt by strong dollar
(Reuters) - IBM reported third-quarter revenue below analyst expectations and earnings per share that barely beat estimates as demand for its software services and tight cost management offset the effect of a stronger dollar on the technology and consulting company.
International Business Machines Corp, which has shifted its focus to higher-margin software and services from tech products, said on Tuesday that earnings per share, excluding items, were $3.62, just beating average analysts' estimates of $3.61.
Revenue eased 5 percent to $24.7 billion due to a negative currency impact of almost $1 billion. Wall Street had expected a decline in revenue by about 3 percent to $25.36 billion.
Revenues from IBM's EMEA region, which includes Europe, Middle East and Africa were $7.2 billion, down 9 percent, without adjusting for foreign exchange effects.
In the Americas revenue declined 4 percent to $10.4 billion while Asia-Pacific revenues rose 1 percent to $6.5 billion.
IBM reiterated its outlook for the year, targeting earnings per share of at least $15.10.
IBM stock lost 3.6 percent to $203.41 in after hours trading. It closed up 1 percent at $211 on Tuesday.
(Reporting By Nicola Leske; Editing by Phil Berlowitz)
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