IBM, (IBM: chart), announced that cost cuts and the sell-off of the company''s personal-computer business boosted profit margins, while positive trends in chips and mainframes helped the hardware division. The results were pulled down 10 cents per share by a $267 million charge stemming from IBM''s recent decision to freeze its pension plan for U.S. workers in 2008, and by 2 cents per share because of an accounting change.

Yahoo Inc., (YHOO: chart), Internet company, reported Q4 net earnings of 46 cents per share, up 83% from 25 cents per share at the same time in 2004. The 2005 results incorporate a $310 million gain triggered by a complex deal that left Yahoo with a 40 % stake in Alibaba.com, China''s largest e-commerce company. Excluding the gain and other accounting items unrelated to its ongoing operations, Yahoo would have earned 16 cents per share. That figure falls a penny below the analyst estimate.

CIT Group Inc., (CIT: chart), leasing company, posted Q4 net profit of $1.21 a share, up 21.8% from the year-ago period, beating analyst estimate of $1.04 a share. Q4 finance income, which excludes revenue from fees and sales of leasing equipment, advanced 23.5%. The company stated that Q4 included several items, including the sale of its micro-ticket leasing unit and a reduction in Q4 income tax expense, which resulted in a 24 cents a share increase in earnings.

ASML, (ASML: chart), Dutch chip equipment maker, announced that Q4 net income fell to 51.6 million euros from 109 million euros, with sales down to 548 million euros from 785 million. Both profit and sales were higher than analysts’ forecasts. On a sequential basis, Q4 profit and sales advanced, and the company booked 55 systems compared to 46 systems in Q3.

SunTrust Bank Inc., (STI: chart), bank company, reported that Q4 net profit advanced to $1.41 a share, up from the comparable period last year on tight cost controls and improving credit quality trends. Income excluding expenses from the acquisition of National Commerce Financial Corp. came to $1.43 a share, in line with the analysts’ forecasts. Revenue increased 7%.

Mellon Financial Corp, (MEL: chart), financial company, reported Q4 net income of 50 cents a share, up from 46 cents a share in the prior year on revenue growth, topping analyst estimate by a penny. Assets under management rose 11% to a record $781 billion.

J.P. Morgan Chase & Co, (JPM: chart), banking services, reported Q4 net income of 76 cents a share, up from 46 cents a share in the year-earlier period. Excluding non-operating items, earnings were 73 cents a share, beating on that basis analysts’ expectations by a penny. Investment banking fees continued to be strong; deposits and accounts in retail banking increased.

Southwest Airlines, (LUV: chart), airline company, reported that Q4 net income advanced to 10 cents a share, up 53.6% from the year-ago period. If not for the effects of unsettled derivatives transactions, net income rose 44% to 12 cents a share. Operating revenue for the quarter increased 20.1%. The company missed analysts’ expectations for earnings of 13 cents a share.

State Street Corp, (STT: chart), provider of products and services for global investors, reported Q4 net income of 74 cents a share, up 35% from 55 cents a share in the year-ago period on revenue growth, beating analyst estimate by a penny. Return on stockholders'' equity from continuing operations was 15.9% in Q4, up from 11.9%.

Ethan Allen Interiors Inc., (ETH: chart), home furnishings retailer, reported that Q2 profit increased to 77 cents a share, up from 63 cents in the year-ago period. Sales for Q2 rose to $276 million from $245.3 million in last year''s Q2.

Northern Trust Corp, (NTRS: chart), commercial banking and investment management services company, reported Q4 earnings were 67 cents a share, compared with 60 cents a share in the year-ago period, a penny shy of analyst estimate of 68 cents a share.