IBM Shares Fall After Earnings; Sales Come In Flat

International Business Machines Corp. shares fell late Monday after the company reported third-quarter earnings above Wall Street expectations but flat sales. IBM said it earned $2.85 billion, or $2.98 a share, in the quarter, compared with $2.95 billion in the third quarter of 2015. Adjusted for one-time items, IBM said it earned $3.29 a share in the quarter. Revenue reached $19.2 billion, flat compared to the year-ago quarter. Analysts polled by FactSet had expected IBM to report adjusted earnings of $3.23 a share on sales of $19 billion. IBM kept its 2016 expectations of adjusted earnings of at least $13.50 a share. Shares fell 1.4% in the extended session after ending the regular trading day up 0.2%.