Two technology bellwethers, International Business Machines Corp. (NYSE: IBM) and Intel (Nasdaq: INTC), the No. 1 chipmaker, both reported third-quarter financial results that exceeded estimates in a gloomy quarter.
IBM, the No. 2 computer company, reiterated prior goals of reporting record earnings of “at least $15.10 a share” for the year. The Armonk, N.Y., company said third-quarter net income of $3.8 billion, of $3.33 per share, was flat with a year ago. Revenue fell 5 percent to $24.7 billion.
Intel reported third-quarter net income slipped 14 percent to $2.97 billion, or 58 cents per share, as revenue fell 5.4 percent to $13.5 billion. The Santa Clara, Calif., chipmaker forecast fourth-quarter revenue will range between $13.1 billion and $14.1 billion.
Shares of IBM fell 3 percent after hours to $203.99, while Intel shares eased 1 percent to $22.06. Executives of both technology companies are scheduled to speak with investors later on Tuesday.