IBM Revenue Up, Profit Down

International Business Machines Corp., the world’s largest computer company, said today that its second-quarter earnings fell 7.7% from a year earlier despite a 7.3% revenue gain.

IBM’s profit of $1.31 billion, or $2.12 a share, was below the projections of many Wall Street analysts. IBM Chairman John Akers warned that without an improvement in capital spending in North America, the company’s biggest market, “it will be difficult to show earnings growth in 1986.”