Shares of International Business Machines fell 3.3 percent to $182.25, the biggest loser in the Dow Jones Industrial Average.
The drop extended the shares’ woeful performance: IBM was the only member of the Dow to fall in 2013, after a series of disappointing results raised questions about the company’s ability to prosper in a fast-changing sector.
In the fourth quarter, IBM reported especially weak sales in its hardware division and in some growth economies, especially China, where government reforms of state enterprise procurement hit some of the company’s biggest customers.
Chief executive Ginni Rometty announced that the senior executive team would forgo annual bonuses “in view of the company’s overall full year results.”
Fourth-quarter earnings of $6.2 billion equated to $6.13 per share, 14 cents above estimates. Net income for 2013 came in at $16.5 billion, a hair below the 2012 level of $16.6 billion.
Read more at: Phys.org