Source - SMW
IBM continues to expect operating (non-GAAP) diluted earnings per share of at least $13.80 and GAAP diluted earnings per share of at least $11.95. 

Operating (non-GAAP) diluted earnings per share exclude $1.85 per share of charges for amortisation of purchased intangible assets, other acquisition-related charges and retirement-related charges. 

IBM said it continued to expect free cash flow to be relatively flat year to year.

It said third quarter highlights included:

* Diluted EPS from continuing operations: GAAP of $2.92; Operating (non-GAAP) of $3.30

* Revenue of $19.2 billion

* Strategic imperatives revenue of $34.9 billion over the trailing 12 months, up 10 percent; represents 45 percent of IBM revenue

- Third-quarter revenue up 11% (up 10% adjusting for currency)

* Cloud revenue of $15.8 billion over the trailing 12 months, up 25% year to year (up 26% adjusting for currency)

*  As-a-service annual exit run rate of $9.4 billion in the quarter, up 25% year to year (up 24% adjusting for currency)

IBM chairman, president and chief executive Ginni Rometty said: 'In the third quarter we achieved double-digit growth in our strategic imperatives, extended our enterprise cloud leadership, and expanded our cognitive solutions business.

'There was enthusiastic adoption of IBM's new z Systems mainframe, which delivers breakthrough security capabilities to our clients.'