IBM has announced first-quarter 2022 earnings results.
“Demand for hybrid cloud and AI drove growth in both Software and Consulting in the first quarter. Today we’re a more focused business and our results reflect the execution of our strategy,” said Arvind Krishna, IBM chairman and chief executive officer. “We are off to a solid start for the year, and we now see revenue growth for 2022 at the high end of our model.”
First-Quarter Highlights
• Revenue
– Revenue of $14.2 billion, up 8 percent, up 11 percent at constant currency (over 5 points from incremental sales to Kyndryl)
– Software revenue up 12 percent, up 15 percent at constant currency (over 8 points from incremental sales to Kyndryl)
– Consulting revenue up 13 percent, up 17 percent at constant currency
– Infrastructure revenue down 2 percent, flat at constant currency (over 8 points from incremental sales to Kyndryl)
• – Hybrid cloud revenue:
— First Quarter: $5.0 billion, up 14 percent, up 17 percent at constant currency
— Last 12 months: $20.8 billion, up 17 percent
“In the first quarter we continued to strengthen the fundamentals of our business, consistent with our medium-term model,” said James Kavanaugh, IBM senior vice president and chief financial officer. “We are a faster growing, more profitable company with a higher-value business mix, a significant recurring revenue base and strong cash generation.”