IBM says its quarterly earnings jumped 26 percent, way past Wall Street forecasts. The company also is telling analysts to increase their earnings forecasts to $8.50 per share this year, up from $8.25.

The technology company showed strength in the U.S., which was surprising considering the faltering economy. IBM credited that largely to its customers’ recurring contracts. Those are less vulnerable to short-term economic dips.

In the first quarter, IBM earned $2.32 billion, or $1.65 per share. Analysts were expecting $1.45 per share.

Revenue rose 11 percent to $24.5 billion.