IBM reported first-quarter adjusted earnings per share that topped Wall Street expectations, but revenue fell just short of estimates on Monday.
The technology company posted earnings of $2.91 per share, up 9 percent from $2.68 a share in the year-earlier period. Revenue fell to $19.59 billion, down 12 percent.
IBM's software and hardware segment sales dropped 8 and 23 percent from the year before, respectively. In the company's earnings call, Chief Financial Officer Martin Schroeter said a stronger dollar markedly affected sales, as about two-thirds of revenue comes from outside the U.S.
IBM shares were flat in extended trading, erasing a 2 percent jump shortly after results were reported. The stock closed Monday's regular trading session up more than 3 percent.
Wall Street had expected IBM to deliver quarterly earnings per share of $2.80 on $19.64 billion in revenue, according to a consensus estimate from Thomson Reuters.