IBM CEO Arvind Krishna arrives at the Russell Building on Capitol Hill to attend the inaugural AI Insights Forum on Wednesday, September 13, 2023.
Tom Williams | Cq-roll Call Inc | Getty Images
International Business Machines Corporation Shares of the company rose 5% in after-hours trading on Wednesday after the company reported second-quarter results that beat analysts’ expectations.
Here are the key numbers.
- Earnings per share: Adjusted to $2.43, vs. $2.20 expected, according to LSEG
- income: According to LSEG, the figure was $15.77 billion, compared with expectations of $15.62 billion.
IBM said in a report that revenue increased 1.9% from US$15.48 billion in the same period last year. statement. Net income was $1.83 billion, or $1.96 a share, up from $1.58 billion, or $1.72 a share, a year ago.
The company provides hardware, software and consulting services and currently expects free cash flow to exceed $12 billion in 2024. In April, executives called for raising about $12 billion.
The statement quoted CEO Arvind Krishna as saying that the company’s generative artificial intelligence business now exceeds $2 billion. In April the figure exceeded $1 billion.
IBM said its software business brought in $6.74 billion in revenue, up 7% and beating StreetAccount’s consensus forecast of $6.49 billion.
The consulting segment contributed $5.18 billion in revenue. The figure fell 0.9% and was below the StreetAccount consensus of $5.23 billion.
IBM’s infrastructure unit, which includes mainframe computers, reported revenue of $3.65 billion, up 0.8% and above market expectations of $3.51 billion.
This quarter, IBM announced its intention to acquire HashiCorp in a deal with an enterprise value of $6.4 billion. IBM also stated Palo Alto Networks has agreed to purchase IBM’s QRadar cloud software and migrate customers to Cortex Xsiam products. Additionally, IBM announced plans for data center infrastructure in montreal.
Despite Wednesday’s post-hours volatility, IBM shares are still up 14% year to date, in line with the S&P 500 Index.
Executives will discuss the results with analysts on a conference call beginning at 5 p.m. ET.
This is breaking news. Please check back for updates.
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