IBM (International Business Machines Corporation) Stock Financials & Earnings

Company Info & Key Metrics

Technology Information Technology Services

International Business Machines Corporation provides integrated solutions and services worldwide. The company operates through four business segments: Software, Consulting, Infrastructure, and Financi...

CEOArvind Krishna

Country🇺🇸 United States

ExchangeNYSE

IPOSep 24, 1915

www.ibm.com

Revenue$19.7B

YoY Growth+12.2%

QoQ Growth+20.5%

Net Income$5.6B

EPS$5.88

Free Cash Flow$3.1B

Gross Margin61.6%

Op. Margin21.2%

Net Margin28.4%

FCF Margin15.9%

Rev Multiple (TTM)3.5x

P/E Ratio (TTM)22.1x

Revenue & Profitability

Quarter	Revenue	Gross Profit	Op. Income
Q1 23	$14.3B	$7.5B	$1.4B
Q2 23	$15.5B	$8.5B	$2.3B
Q3 23	$14.8B	$8.0B	$2.1B
Q4 23	$17.4B	$10.3B	$4.0B
Q1 24	$14.5B	$7.7B	$1.6B
Q2 24	$15.8B	$8.9B	$2.4B
Q3 24	$15.0B	$8.4B	$2.2B
Q4 24	$17.6B	$10.4B	$3.9B
Q1 25	$14.5B	$8.0B	$1.8B
Q2 25	$17.0B	$10.0B	$3.1B
Q3 25	$16.3B	$9.6B	$2.7B
Q4 25	$19.7B	$12.1B	$4.2B

Revenue Breakdown

Valuation

Quarter	P/S	P/E
Q1 23	3.9x	127.4x
Q2 23	3.9x	115.4x
Q3 23	3.8x	33.7x
Q4 23	3.8x	31.1x
Q1 24	3.8x	28.6x
Q2 24	3.7x	27.7x
Q3 24	3.7x	36.5x
Q4 24	3.7x	38.8x
Q1 25	3.7x	42.7x
Q2 25	3.6x	40.1x
Q3 25	3.6x	29.6x
Q4 25	3.5x	22.1x

Operating Cash Flow

Quarter	Operating CF	Free CF
Q1 23	$3.8B	$3.3B
Q2 23	$2.6B	$2.1B
Q3 23	$3.1B	$2.7B
Q4 23	$4.5B	$4.0B
Q1 24	$4.2B	$3.8B
Q2 24	$2.1B	$1.6B
Q3 24	$2.9B	$2.5B
Q4 24	$4.3B	$3.9B
Q1 25	$4.4B	$4.0B
Q2 25	$1.7B	$1.5B
Q3 25	$3.1B	$3.7B
Q4 25	$4.0B	$3.1B

Capital Expenditures

CapEx

Quarter	CapEx
Q1 23	$468M
Q2 23	$501M
Q3 23	$393M
Q4 23	$448M
Q1 24	$373M
Q2 24	$444M
Q3 24	$424M
Q4 24	$444M
Q1 25	$395M
Q2 25	$210M
Q3 25	$605M
Q4 25	$908M

OpEx vs Revenue Growth (YoY)

Quarter	Revenue Growth	OpEx Growth
Q1 23	+0.4%	-1.5%
Q2 23	-0.4%	-2.8%
Q3 23	+4.6%	+0.8%
Q4 23	+4.1%	+1.5%
Q1 24	+1.5%	+0.6%
Q2 24	+1.9%	+1.0%
Q3 24	+1.5%	+1.1%
Q4 24	+1.0%	+2.0%
Q1 25	+0.6%	-0.9%
Q2 25	+7.7%	+4.2%
Q3 25	+9.1%	+6.9%
Q4 25	+12.2%	+13.7%

Stock-Based Compensation

Quarter	SBC ($)	% of Revenue
Q1 23	$268M	1.9%
Q2 23	$288M	1.9%
Q3 23	$287M	1.9%
Q4 23	$290M	1.7%
Q1 24	$320M	2.2%
Q2 24	$316M	2.0%
Q3 24	$330M	2.2%
Q4 24	$345M	2.0%
Q1 25	$401M	2.8%
Q2 25	$441M	2.6%
Q3 25	-$842M	-5.2%
Q4 25	$0	0.0%

OpEx Breakdown

Quarter	R&D	G&A	S&M
Q1 23	$1.7B	$4.0B	$314M
Q2 23	$1.7B	$4.2B	$372M
Q3 23	$1.7B	$3.9B	$303M
Q4 23	$1.7B	$4.3B	$248M
Q1 24	$1.8B	$4.1B	$279M
Q2 24	$1.8B	$4.3B	$354M
Q3 24	$1.9B	$4.0B	$279M
Q4 24	$2.0B	$4.3B	$261M
Q1 25	$1.9B	$4.0B	$238M
Q2 25	$2.1B	$4.3B	$349M
Q3 25	$2.1B	$4.5B	$270M
Q4 25	$2.2B	$5.5B	$305M

Revenue Segments

Quarter	Consulting	Financing	Infrastructure Services	Other	Software	Segment Reconciling Items	Infrastructure
Q1 23	$5.0B	$196M	$3.1B	$75M	$5.9B	—	—
Q2 23	$5.0B	$185M	$3.6B	—	$6.6B	$51M	—
Q3 23	$5.0B	$186M	$3.3B	—	$6.3B	$66M	—
Q4 23	$5.0B	$174M	—	$233M	$7.3B	—	$4.6B
Q1 24	$5.2B	$193M	$3.1B	—	$5.9B	$108M	—
Q2 24	$5.2B	$169M	$3.6B	—	$6.7B	$38M	—
Q3 24	$5.2B	$181M	$3.0B	—	$6.5B	$68M	—
Q4 24	$5.2B	$170M	$4.3B	—	$7.9B	$29M	—
Q1 25	$5.1B	$191M	$2.9B	—	$6.3B	$61M	—
Q2 25	$5.3B	$166M	$4.1B	—	$7.4B	—	—
Q3 25	$5.3B	$200M	$3.6B	—	$7.2B	$38M	—
Q4 25	$5.3B	$180M	$5.1B	—	$9.0B	—	—

Revenue by Geography

Quarter	Americas	Asia Pacific	E M E A
Q1 23	$7.1B	$2.8B	$4.3B
Q2 23	$8.0B	$2.8B	$4.6B
Q3 23	$7.7B	$2.8B	$4.2B
Q4 23	$8.9B	$3.2B	$5.3B
Q1 24	$7.3B	$2.9B	$4.3B
Q2 24	$8.0B	$3.1B	$4.7B
Q3 24	$7.5B	$2.9B	$4.6B
Q4 24	$8.5B	$3.2B	$5.8B
Q1 25	$7.2B	$2.8B	$4.6B
Q2 25	$8.5B	$3.1B	$5.4B
Q3 25	$8.1B	$2.9B	$5.3B
Q4 25	$9.5B	$3.2B	$7.0B

War Chest

Quarter	Cash	Short-term Investments	Total
Q1 23	$9.3B	$8.1B	$17.4B
Q2 23	$9.4B	$6.9B	$16.3B
Q3 23	$7.3B	$3.7B	$11.0B
Q4 23	$13.1B	$373M	$13.4B
Q1 24	$14.6B	$4.5B	$19.1B
Q2 24	$12.2B	$1.5B	$13.7B
Q3 24	$13.2B	$505M	$13.7B
Q4 24	$13.9B	$644M	$14.6B
Q1 25	$11.0B	$6.4B	$17.5B
Q2 25	$11.9B	$3.5B	$15.4B
Q3 25	$11.6B	$3.3B	$14.9B
Q4 25	$13.6B	$830M	$14.5B

Shares Outstanding

Quarter	Shares (Diluted)	QoQ Change
Q1 23	918M	+0.2%
Q2 23	919M	+0.2%
Q3 23	924M	+0.5%
Q4 23	927M	+0.4%
Q1 24	933M	+0.7%
Q2 24	934M	+0.1%
Q3 24	924M	-1.2%
Q4 24	942M	+2.0%
Q1 25	945M	+0.3%
Q2 25	947M	+0.1%
Q3 25	949M	+0.2%
Q4 25	952M	+0.4%

Revenue Per Employee

Revenue / Employee

Year	Revenue/Employee	Employees
FY 14	$244K	380K
FY 15	$216K	378K
FY 16	$210K	380K
FY 17	$216K	367K
FY 18	$227K	351K
FY 19	$164K	353K
FY 20	$160K	346K
FY 21	$203K	282K
FY 22	$30M	2K
FY 23	$219K	282K
FY 24	$232K	270K
FY 25	$34M	2K