Computer giant IBM's chief executive officer Ginni Rometty and senior managers have decided to forgo their bonuses for 2013 as the company suffered a fall in sales and net profit last year.

The company's revenue slipped 5 per cent to US$27.7 billion in the three-month period ended December 31. Analysts had expected the company to report revenue of US$28.25 billion.

Revenue from the system & technology division fell 26.1 per cent to US$4.26 billion. Revenue from its global technology services slipped 3.6 per cent to US$9.92 billion. Net profit for 2013 dropped 1 per cent year-on-year.

IBM CEO Ginni Rometty said in a statement, "In view of the company's overall full year results, my senior team and I have recommended that we forgo our personal annual incentive payments for 2013."

The company's performance was dented by dropping profits in emerging economies, where sluggish economic growth last year hurt demand.

In the so-called Bric countries, which include Brazil, Russia, India and China, the company's sales fell 14 per cent during the year through December 31.

IBM shares shed 3.5 per cent to US$181.68 apiece in the after-hours trade on Tuesday.