NEW YORK -- IBM's first-quarter net income fell 1 percent due to delays in several of the technology company's large software and mainframe computer deals. The results fell short of Wall Street's expectations, sending IBM's stock lower in after-hours trading.

IBM said Thursday that it earned $3.03 billion, or $2.70 per share, in the January-March period. That's down from $3.07 billion, or $2.61 per share, in the same period a year earlier. Last year's quarter had more outstanding shares, which lowers per-share results.

Earnings excluding one-time items were $3 per share in the latest quarter, below Wall Street's expectations of $3.05 per share.

Revenue fell 5 percent, to $23.41 billion from $24.67 billion. Analysts polled by FactSet had expected revenue to be nearly unchanged, at $24.65 billion.

"Despite a solid start and good client demand we did not close a number of software and mainframe transactions that have moved into the second quarter," IBM CEO Ginni Rometty said in a statement. "The services business performed as expected with strong profit growth and significant new business in the quarter."

Chief Financial Officer Mark Loughridge said on a conference call that weakness in the Japanese yen hurt the quarter's results. A weak yen translates to fewer dollars for IBM on sales in Japan.


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IBM kept its full-year guidance intact. It still expects adjusted, per-share earnings of at least $16.70 for 2013. Analysts predict $16.77.

Shares of the Armonk, N.Y.-based company fell $7.15, or 3.5 percent, to $200 in after-hours trading following the earnings announcement. The stock had closed down $2.52, or 1.2 percent, at $207.15.