IBM’s revenue and profit both grew in the final quarter of last year

By: Trademagazin Date: 2026. 01. 29. 10:21

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The revenue of the American technology company International Business Machines (IBM) increased more strongly than analysts expected in the last quarter of last year, while its profit also increased.

According to data published on the company’s website, its revenue increased by 12 percent compared to a year earlier, to $19.69 billion. Analysts’ average expectations were for lower quarterly revenue of $19.23 billion.

IBM’s after-tax profit rose 91 percent to $5.6 billion, and its earnings per share rose 88 percent year-on-year to $5.86 billion.

Earnings per share excluding one-time items rose 15 percent year-on-year to $4.52 in the final quarter of last year, exceeding the average analyst expectation of $4.32.

The company’s website states that software segment revenue rose 14 percent to $9 billion, driven by a 10% increase in the infrastructure sector. It rose 21 percent to $5.1 billion, in consulting by 3 percent to $5.3 billion, and in the financial sector by 5 percent to $200 million.

IBM’s after-tax profit last year rose 76 percent to $10.6 billion, or 74 percent to $11.14 per share. Earnings per share excluding one-time items rose 12 percent to $11.59.

Last year’s revenue was $67.5 billion, up 8 percent from a year earlier. Revenue increased by 11 percent in the software segment, 12 percent in the infrastructure sector, and 2 percent in consulting.

IBM expects revenue growth of at least 5 percent excluding currency effects for this year after an 8 percent increase last year.