LogicaCMG says it is on track to make the £60 million of annual cost savings it promised at the time of its merger.
The group says the full benefits of the tie-up will be seen next year after an estimated 1,400 jobs - equivalent to 6 per cent of the workforce - have been cut.
The firm, which does research in mobile phone technologies, said last month it would close a software unit in Cork and shed a substantial number of jobs in Dublin.
LogicaCMG will employ just 100 staff in the Republic, significantly below the 850 people the two firms employed in Dublin and Cork at the height of the technology bubble in 2000.
It is understood the firm has also decided to stop developing software in the Republic but will keep its finance function here to avail of low corporate tax rates.
LogicaCMG reports that the recent performance of the combined business had been in line with hopes, with margins maintained in the face of lower revenues.
The group, formed out of former blue-chip companies Logica and CMG in December, believes some of its key markets were "beginning to stabilise" and says the integration process is going to plan.
In its trading statement LogicaCMG confirms that conditions remain tough in its IT services division, with revenues in the six months to December 31st expected to be down 7 per cent on the previous half-year period.