IBM happy with flat result

IBM Australia achieved group revenue of $3.3 billion, a result which matches the company's performance in 2000.

"We were able to do that despite the fall off in the PC market by growing services, servers and storage," said Philip Bullock, chief executive, IBM Australia. "Broadly speaking, we do mirror worldwide [results], seeing growth in the mainframe business, strong results in high-end Unix, a little down in the low-end Unix, and growth in the x-series Intel-based server range."

Bullock was constrained from offering a detailed breakout out of the local results, but said his "20,000-foot perspective" was that the local company "was pleased with a performance which saw local revenues flat at $3.3 billion."

He attributed the good zSeries mainframe results to customers building consolidated server environments in order to gain cost and management efficiencies.

Worldwide, IBM's net income for the year ended December 31, 2001 was $US7.7 billion, compared with a net income of $US8.1 billion in 2000. Revenues in 2001 totalled $US85.9 billion, a decline of 3 per cent.

According to a statement from IBM, highlights from 2001 included continued strength in core outsourcing services, growth in the infrastructure business and e-business implementation, competitive gains in e-Server xSeries (Intel-based servers) and strong performance from the e-Server zSeries (mainframe) and storage products. Noted deals were a three-year, $92 million contract to supply 40,000 Thinkpad notebook computers and services to the Victorian Department of Employment Education and Training, multiyear contracts for Lotus Software with The Department of Defence and The Australian Bureau of Statistics, and leaseback of Telstra computers and servers for a total of more than $200 million.

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