IBM's Hongkong office plans no redundancies despite the company's announcement of the worst financial performance in American corporate history, including a loss of nearly US$5 billion last year. But Mr Bob Savage, managing director of IBM's operations in China and Hongkong, said yesterday that the company was re-directing resources in Hongkong and restructuring the local operation to improve productivity and better address the computer industry's faster growing sectors. Mr Savage said that despite the poor overall results, IBM's Hongkong and China operations remained profitable, both producing record revenues in 1992. Total revenues for Hongkong had grown by about 20 per cent last year, with an increase of more than 30 per cent in the software and services sector, Mr Savage said. IBM on Tuesday announced losses of $5.46 billion for the fourth quarter and $4.97 billion for the year. Without a $1.9 billion benefit from accounting rules changes, IBM would have posted a $6.87 billion loss for 1992. Worldwide sales fell for the second year, and 40,000 employees were axed. A further 25,000 are expected to go this year. Cathay Pacific and Hongkong Bank, IBM's largest customers in Hongkong, both of which use large IBM proprietary mainframe systems as their strategic computing platform, played down the local significance of the disastrous results. ''We don't get jittery about it,'' said Mr Alan Jebson, Hongkong Bank assistant general manager of technical services. Mr Willie Boulter, Cathay's information systems general manager, said the company had been through a similar stage two years with its other principal mainframe supplier, when Unisys Corporation was producing. ''They seem to be able to dig their way out of these problems,'' Mr Boulter said. He said the results ''were not too much of a surprise to us. They will continue to be around for a long time, so we are really not too concerned at this stage about making [strategic] platform decisions.'' Mr Savage said the IBM China and Hongkong operation was increasingly focused on software and services, following the establishment of a new consulting division late last year. ''We have been progressively trying to redirect ourselves in Hongkong where we think we have the best opportunities and I think that is reflected by our growth in software and services,'' Mr Savage said. IBM also plans to rapidly expand its operation in China, where it established a wholly owned subsidiary last year, replacing the representative office that had been managed out of Hongkong. Mr Savage said IBM wanted to improve its market share of personal computers (PC) in China, where it performed poorly compared with companies such as AST Research and Compaq Computer. IBM has a PC manufacturing joint venture in Tianjin, which it established in 1991, although Mr Savage conceded that its performance had so far been ''disappointing''. Hongkong-based information technology consultants agreed that IBM remained a basically sound operation in Hongkong and China, and said continued movement toward the software and services sector - coupled with a more aggressive involvement in the PC sector - should allow the company to remain so. ''As with so many of these companies that are in trouble, they seem to be doing better in this part of the world than elsewhere, and the same is true for IBM,'' said Mr Graham Mead, managing director of research firm Graham Mead Associates.