IBM (IBM) will post third-quarter earnings above analysts' expectations, but revenue will come up short - and neither figure changes the tech giant's full-year profit outlook.

IBM said late Wednesday that continuing operations profit rose 22% to $2.05 a share, while net income grew 20% to $2.8 billion.

Revenue added 5% to $25.3 billion, helped by 3 percentage points of currency benefit.

Gross profit margin rose to 43.3% from 41.3% in they year-ago quarter.

"Our results demonstrate that the combination of a steady base of recurring revenue and profits, investments for growth in emerging markets, a range of products and services that deliver value to clients, and a strong and flexible financial foundation give IBM a competitive edge in good times and tough times," said Samuel J. Palmisano, IBM chairman, president and chief executive officer. "We remain confident in our full-year outlook."

IBM said it continues to expect full-year 2008 earnings of at least $8.75 a share, or year-to-year growth of 22%.

Shares of IBM rose 4.3% in recent after-hours trading to $94.40.

This article was written by a staff member of TheStreet.com.

More from Technology

FANG Stocks Get Swept Up in Broader Market Selloff

FANG Stocks Get Swept Up in Broader Market Selloff

Snap Shares Plunge After Cowen Cuts Price Target

Snap Shares Plunge After Cowen Cuts Price Target

3 Warren Buffett Stock Picks That Could Be Perfect for Your Retirement Portfolio

3 Warren Buffett Stock Picks That Could Be Perfect for Your Retirement Portfolio

It's Not Over Yet: Keep an Eye on FANG Stocks

It's Not Over Yet: Keep an Eye on FANG Stocks

Apple Buys Tesla? Amazon Buys Sears? 3 Dream Mergers That Just Make Sense

Apple Buys Tesla? Amazon Buys Sears? 3 Dream Mergers That Just Make Sense