IBM's Profits Top Estimates

IBM (IBM Quote - Cramer on IBM - Stock Picks) said its fourth-quarter profits and sales were better than analysts expected thanks to strong results from its operations in Asia, Europe and emerging markets.

Shares of IBM rose 9.6% to $107.01 on the news.

The Armonk, N.Y., hardware and software giant said fourth-quarter earnings were $2.80 a share with revenue of $28.9 billion. For the full year, IBM earned $7.18 a share and had a top line of $98.8 billion.

Analysts surveyed by Thomson Financial were looking for a profit of $2.60 in the quarter and $6.97 for the year. As for revenue, the estimates were $27.8 billion for the quarter and $97.7 billion for the year.

"IBM is well-positioned as we begin 2008 as a result of our global business reach, solid recurring revenue stream and strong financial position," the company said in a press release Monday. "We are on track to achieve our long-term earnings-per-share roadmap objective in 2010."

IBM will provide more detailed information about its fourth-quarter and full-year results on Thursday.