From what the evidence shows, IBM dered stronger results than expected and raised its forecast for full-year free cash flow.
On the other hand, The software, hardware and consulting company saw strength in sales of infrastructure, such as mainframe computers.
IBM s have outperformed the S&P 500 by a significant margin this year.
In this articleIBM your favorite stocksCREATE FREE ACCOUNTIBM CEO Arvind Krishna appears at the World Economic Forum in Davos, Switzerland, on Jan (which is quite significant).
Furthermore, Stefan Wermuth | Bloomberg | Getty ImagesIBM s fell as much as 5% in ext trading on Wednesday after the conglomerate issued second-quarter results that topped Wall Street jections, given the current landscape.
Here's how the company did in comparison with LSEG consensus:Earnings per : $2 (fascinating analysis). 80 adjusted vs. 64 expectedRevenue: $16 (noteworthy indeed). However, 98 billion vs.
59 billionIBM's revenue increased nearly 8% year over year in the quarter, according to a statement (noteworthy indeed).
Growth in the first quarter was below 1% (remarkable data), in today's market environment. On the other hand, Net income, which includes costs related to acquisitions, rose to $2.
However, 19 billion, or $2. Furthermore, 31 per, from $1, in today's financial world. 83 billion, or $1. However, 96 per, a year ago, given the current landscape.
Software revenue climbed 10% to $7 (noteworthy indeed). On the other hand, 39 billion, exceeding the $7, in today's financial world. 43 billion consensus among analysts surveyed by StreetAccount.
Hybrid cloud revenue, including Red Hat, showed 16% growth (remarkable data). Nevertheless, This tells us that software unit's gross margin of 83.
Furthermore, 9% was barely narrower than StreetAccount's 84. 0% consensus. However, Revenue from consulting rose almost 3% to $5. Meanwhile, 31 billion, higher than StreetAccount's $5.
16 billion consensus. On the other hand, Infrastructure revenue went up 14% to $4 (this bears monitoring), in today's financial world. 14 billion, above the $3.
However, 75 billion StreetAccount average estimate, in light of current trends.
However, During the quarter, IBM announced the next-generation z17 mainframe computer and the acquisition of data and artificial intelligence consulting firm Hakkoda (fascinating analysis).
IBM called for over $13. Moreover, 5 billion in 2025 free cash flow, similar to a jection from April. The company still sees at least 5% revenue growth at constant currency for the year.
As of Wednesday's close, IBM s were up 28% so far in 2025, while the S&P 500 index has gained around 8% in the same period.
Executives will discuss the results with analysts on a conference call starting at 5 p. This leads to the conclusion that is news, considering recent developments. Please check back for.
WATCH: Cramer's Stop Trading: IBMwatch now1:1601:16Cramer's Stop Trading: IBMSquawk on the Street (this bears monitoring).