IBM’s sales dropped for the 13th consecutive quarter, the world’s largest technology services company has reported.

According to the company, revenue fell 13.5% to $20.8 billion, while net profit fell 17% to $3.5 billion.

The strong US dollar and IBM’s decision to move away from its hardware business to focus on higher-margin operations both hit its performance.

CEO Ginni Rometty said that the second-quarter results reflected the company’s ongoing transformation.

“We continue to transform our business to higher value and return value to shareholders,” she said.

US sales fell 8%, while European, Middle East and African sales dropped 17%.

However, its worst performance was in Brazil, Russia, India and China where sales fell 35%.

IBM said much of the fall was due to the impact of the strong US dollar and the sale of its System x business. Excluding that unit, sales were down by just 18%.

In contrast, IBM said revenues from its new areas of focus – cloud computing, analytics and engagement – had risen by more than 20% this year.

IBM shares fell 4.9% in after-hours trading in New York.

They closed at $173.25, valuing the company at almost $170 billion.