IBM 2004 Annual Report Download - page 42

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International Business Machines Corporation and Subsidiary Companies
40
ibm annual report 2004
CONSOLIDATED STATEMENT OF EARNINGS
(Dollars in millions except per share amounts)
FOR THE YEAR ENDED DECEMBER 31: Notes 2004 2003 2002
Revenue:
Global Services $«46,213 $«42,635 $«36,360
Hardware 31,154 28,239 27,456
Software 15,094 14,311 13,074
Global Financing 2,608 2,826 3,232
Enterprise Investments/Other 1,224 1,120 1,064
Total Revenue 96,293 89,131 81,186
Cost:
Global Services 34,637 31,903 26,812
Hardware 21,929 20,401 20,020
Software 1,919 1,927 2,043
Global Financing 1,045 1,248 1,416
Enterprise Investments/Other 731 634 611
Total Cost 60,261 56,113 50,902
Gross Profit 36,032 33,018 30,284
Expense and Other Income:
Selling, general and administrative q19,384 17,852 18,738
Research, development and engineering r5,673 5,077 4,750
Intellectual property and custom development income (1,169) (1,168) (1,100)
Other (income) and expense (23) 238 227
Interest expense k &l139 145 145
Total Expense and Other Income 24,004 22,144 22,760
Income from Continuing Operations Before Income Taxes 12,028 10,874 7,524
Provision for income taxes p3,580 3,261 2,190
Income from Continuing Operations 8,448 7,613 5,334
Discontinued Operations:
Loss from discontinued operations c18 30 1,755
Net Income $«««8,430 $«««7,583 $«««3,579