IBM profits up six per cent

Third quarter financial results are in line with analyst expectations

Revenues are up seven per cent

IBM's quarterly results are in line with analyst expections with revenues up seven per cent to $24.1 billion (£11.8bn) and profits up six per cent to $2.4bn (£1.2bn).

Global business services sales rose 16 per cent year-on-year, and earnings from technology services jumped 13 per cent. Together these figures represent the company's highest global services revenue growth in four years.

Big Blue also reported earnings of $1.68 (£0.82) per share, up 16 percent on the $1.45 (£0.71) 2006 value.

"Our outstanding services results this quarter enabled us to stay on track toward our objective of accelerated earnings per share growth through 2010, while we work through a transition in our hardware business," said IBM chief executive Sam Palmisano.