International Business Machines Corporation (IBM) reports Q1 revenue growth after four quarters of declining figures. The technology giant reported an adjusted EPS of $1.77 per share versus $1.63 per share as expected by analysts. Revenue of $17.73 billion was recorded, a little ahead of market estimates of $17.35 billion. The company reiterated previous guidance of revenue growth for the full year.
“This quarter, we saw an improved trajectory in project activity and client-based business volumes including in some of the industries most affected by the pandemic such as retail and consumer products,” stated Jim Kavanaugh, IBM’s finance chief.
Key earning highlights:
- IBM’s Global Technology Services segment, handling managed services, outsourcing, and support, contributed $6.37 billion in revenue.
- The Company’s Cloud and Cognitive Software division including Red Hat stood at $5.44 billion in revenue, which was up 4% and ahead of the $5.30 billion estimates by FactSet consensus.
- IBM reported $529 million in capital expenditures in the quarter, a 28% decline.
- Global Business Services, the unit that includes consulting, contributed $4.23 billion in revenue, a 2% increase and higher than the $4.03 billion estimates.
- Systems revenue stood at $1.43 billion, from sales of mainframe computers and other hardware, which was up 4% and above the $1.29 billion consensus estimate.
Dow 30 component International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. To learn more about International Business Machines Corp (IBM) and to track its ongoing progress please visit the Vista Partners IBM Coverage Page.
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