IBM affirmed its full-year profit outlook Thursday and predicted growth in its services business in the first quarter, in sharp contrast to many technology companies that have lowered expectations. IBM chief financial officer Mark Loughridge said in New York City that January's results were consistent with the company's forecast for all of 2009. IBM's fourth-quarter profits, as well as its 2009 outlook, had exceeded market expectations. The company has credited its relative strength to its expansion from hardware to higher-margin businesses like software and services. Contract signings for business services have grown so far this year, Loughridge said at a Goldman Sachs technology conference. “On a quarter-to-date basis, our long-term signings are up double digits, and we would expect signings to be up for the quarter on a year-to-year basis and double digits on long-term,” he said. IBM's expansion overseas has helped its business. The company earns about two-thrids of its revenue from outside the United States.
