IBM revenue falls more than expected, cuts profit forecast

Bengaluru, India

INTERNATIONAL Business Machines Corp (IBM) posted a bigger-than-expected drop in revenue and cut its full-year profit forecast, as a stronger US dollar accentuated weakness in demand from China and emerging markets.

It was the 14th quarter in a row that IBM has posted a reduction in revenue, as the world's largest technology services company gets rid of low-margin businesses, but has so far failed to make up the shortfall with newer initiatives in the more lucrative area of cloud computing.