IBM has reported a drop in revenue for the 14th straight quarter, due to declines in hardware sales and the stronger US dollar affecting sales in emerging economies.
Total revenues from continuing operations declined 14% to $19.3bn in Q3, when compared to $22.4bn in the year-ago period.
Net income from continuing operations also dropped 14% to $3bn, compared to $3.5bn in the third quarter of 2014.
Revenue from the company’s strategic imperatives increased 17%, and grew 27% excluding currency impacts and divestitures.
Total cloud revenues grew over 45% year-to-date, amounting to $9.4bn over the last 12 months. The annual run rate for cloud delivered as a service increased to $4.5bn in Q3.
Revenues from business analytics increased 9%, and global technology services segment revenues declined 10% to $7.9bn.
The software segment revenues dropped 10% to $5.1bn, and revenues from the systems hardware segment were $1.5bn, down 39%.
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IBM expects full-year 2015 GAAP diluted earnings per share of $13.25 to $14.25. The company lowered its operating profit forecast to a range of $14.75 to $15.75 per share.
IBM chairman, president and CEO Ginni Rometty said: "In the third quarter we again made progress in the transformation of our business to higher value, with strong growth in our strategic imperatives and expanded operating margins.
"We are continuing to make significant investments to build platforms around analytics, cloud, mobility and security that lay the foundation for a new era of cognitive business — where we see long-term value for our clients and shareholders."
Earlier this month, IBM agreed to acquire Cleversafe to strengthen its hybrid cloud capabilities.
