Technology companies have begun releasing their earnings reports for the latest quarter. The reports come as consumers shift their spending toward tablets. Here is a summary of recent earnings and reports for selected technology companies and what they reveal about the state of spending and the overall economy.
— July 5: Samsung Electronics Co. estimates its April-June operating profit at a record high of 9.5 trillion won ($8.3 billion). That is a 47 percent jump from a year earlier and 8 percent growth from the previous quarter. But it fell short of forecasts by analysts. Its stock fell on doubts that Samsung's smartphone business can maintain rapid growth. Analysts say high marketing costs probably weighed on Samsung's mobile business despite the robust sales in the first month. Samsung says it will release full results on July 26.
— July 10: Research firms IDC and Gartner report that worldwide shipments of personal computers fell 11 percent in the April-June period, as people continue to migrate to tablets and other mobile devices. Gartner's Mikako Kitagawa said inexpensive tablets are displacing low-end computers in "mature" markets such as the United States. IDC says the numbers "reflect a market that is still struggling with the transition to touch-based systems running Windows 8." Microsoft Corp.'s latest operating system launched in October and sales have disappointed analysts.
— July 16: Yahoo Inc. says earnings climbed 46 percent, thanks to a major boost from an investment in Chinese Internet company Alibaba. But Yahoo's revenue fell 7 percent from last year, highlighting a recurring problem despite other signs of progress under CEO Marissa Mayer as she marks a year with the company.
— July 17: Intel Corp., the world's largest maker of chips for PCs, backtracks on sales projections. After saying it expected its own sales to grow despite declines on global PC sales, Intel now says sales will be flat. Intel is hoping that sales of chips for servers, tablets and smartphones will compensate for the drop-off in PC sales. The downward revision of the company's outlook is an admission that Intel chips haven't made it into many mobile devices.
IBM Corp. says net income in the latest quarter fell 17 percent as revenue slipped and it absorbed the cost of layoffs. IBM raises its annual profit outlook. It now expects to earn an adjusted $16.90 per share for the full year, above the $16.66 analysts expected.
A challenging overseas market weighs on eBay's outlook. Though he calls the quarter's results strong, CEO John Donahoe says economic weakness in Europe and Korea will "continue to be a challenge" in the second half of the year. Revenue rises by 14 percent in the April-June period, as its PayPal business and namesake online marketplace continues to grow. But net income declines amid higher expenses.