Parts of the company's infrastructure business showed a slowdown.IBM Chairman and CEO Arvind Krishna appears on a panel session at the World Economic Forum in Davos, Switzerland, on Jan. 17, 2023.issued stronger-than-expected first-quarter earnings on Wednesday even as the technology and consulting company reported disappointing revenue.$1.36 per share, adjusted, vs. $1.26 per share as expected by analysts, according to Refinitiv.IBM's revenue increased 0.
Net income was about $200 million lower because of various changes in the company's portfolio. Last year IBMRevenue in the company's software segment rose about 3% to $5.92 billion, higher than the $5.83 billion consensus among analysts polled by StreetAccount. IBM's consulting unit delivered $4.96 billion in revenue, up almost 3% but lower than the StreetAccount consensus of $5.01 billion.
Sales in the infrastructure segment, which includes IBM's mainframes, fell 4% to $3.1 billion, trailing the $3.19 billion StreetAccount consensus. Declines came in the distributed infrastructure and infrastructure support categories, even as sales of Z mainframe computer systems increased by 7% following the release in May of the Z16 model.In terms of guidance, IBM called for full-year revenue growth of 3% to 5% in constant currency.
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