IBM posts first revenue miss in five quarters; shares tumble

New York

INTERNATIONAL Business Machines Corp (IBM) reported a bigger-than-expected decline in revenue for the first time in five quarters due to weak demand in its IT services business, a sign that the company's turnaround could take longer than expected.

Shares of IBM, whose revenue has now fallen for 20 quarters in a row, tumbled 4.7 per cent to US$162 in trading after the bell on Tuesday. At current levels, the stock is set to more than erase its roughly 2.5 per cent gain this year.