IBM Earnings: Stock Drops as Legacy IT Unit Drags on Revenue – Bloomberg

International Business Machines Corp. reported revenue that missed analysts’ estimates, highlighting the challenge of fulfilling its pledge to return to growth this year as it prepares to spin off its low-growth legacy computer services unit. The shares dropped in extended trading.
Sales rose 0.3% to $17.6 billion in the three months ending Sept. 30, the Armonk, New York-based technology company said Wednesday in a statement. Analysts were expecting $17.8 billion, on average, according to data compiled by Bloomberg.