Armonk (NY) - IBM today reported a solid increase of its revenues and earnings for the fourth quarter of last year. The firm's net income increased about 12% from $3.19 billion in Q4 2005 to $3.54 billion in Q4 2006; sales rose 7.5% from $24.4 billion to $26.3 billion in the same time frame.

IBM's Global Services business remained the most important division in terms of revenue. According to the company, services sales climbed 7% year-over-year to $8.6 billion. Q4 2006 Software revenues were $5.6 billion and the firm's systems and technology group reported sales of $7.1 billion.

Total 2006 revenues came in at $91.4 billion, up 4% over 2005. Net income was up 18% to $9.4 billion.