IBM reported earnings for the second quarter that met Wall Street’s expectations.

Analysts expected earnings per share of $4.29 and revenues of $24.13 billion. IBM came in with $4.32 a share in earnings, excluding one-time items, and revenues of $24.36 billion.

Non-GAAP revenues were down 2 percent from a year ago. Non-GAAP net income was up 34 percent from a year ago.

“In the second quarter, we made further progress on our transformation.  We performed well in our strategic imperatives around cloud, big data and analytics, security and mobile,” said Ginni Rometty, IBM chairman, president and chief executive officer.  “We will continue to extend and leverage our unique strengths to address the emerging trends in enterprise IT and transform our business, positioning ourselves for growth over the long term.”

Previously, IBM reported a decline in first-quarter revenues ($22.48 billion, down 3.9 percent) because of currency fluctuations and weaker demand in growth markets. The system and technology vision also had a weaker quarter.

IBM said that its cloud revenue was up more than 50 percent year-to-date, and that cloud-delivered-as-a-service is up 100 percent to $2.8 billion compared to a year ago. Business analytics was up 7 percent year-to-date, mobile was up more than 100 percent year-to-date, and security was up more than $20 percent year-to-date. IBM expects full-year operating earnings per share (non-GAAP) to be at least $18 a share.

Business was down 1 percent in the Americas, up 1 percent in the Europe-Middle-East-Africa, and down 9 percent in Asia. Growth market revenue was down 7 percent, while revenues in Brazil, Russia, India, and China were down 2 percent. Global services revenue was down 1 percent to $13.9 billion, while software was up 1 percent. Hardware revenues in the systems and technology group were down 11 percent. IBM is investing heavily in cloud, analytics, and mobile.

IBM ended the quarter with $9.7 billion in cash. In after-hours trading, IBM is down slightly, dropping $1.58 a share to $191.25. IBM spent $600 million on acquisitions during the quarter.

Power architecture revenue is down 20 percent. IBM is rolling out its Power 8 hardware systems during 2014, but a lot of the market is shifting to Intel-standard architecture. IBM said is trying to stabilize the traffic base.