IBM’s Q2 2024 Performance: A Comprehensive Analysis
IBM’s Q2 2024 financial results have been released, providing a detailed look at the company’s performance over the past quarter. The report highlights various aspects of IBM’s business, including revenue, net income, and cash flow.
Revenue Performance
IBM’s revenue for Q2 2024 was $15.3 billion, a decrease of 2.1 billion from the same quarter last year. This decline can be attributed to various factors, including the impact of the COVID-19 pandemic on the global economy.
| Segment | Q2 2024 Revenue | Q2 2023 Revenue | Change |
|---|---|---|---|
| Cloud & Cognitive Software | $6.3 billion | $6.5 billion | -3.1% |
| Global Business Services | $4.1 billion | $4.3 billion | -4.7% |
| Global Technology Services | $3.4 billion | $3.6 billion | -5.6% |
| Systems | $1.5 billion | $1.6 billion | -6.3% |
| Financing | $0.2 billion | $0.2 billion | -5.9% |
Net Income and Earnings Per Share
IBM’s net income for Q2 2024 was $1.3 billion, a decrease of $0.4 billion from the same quarter last year. Earnings per share (EPS) were $1.47, down from $1.63 in Q2 2023.
Cash Flow and Liquidity
IBM’s cash flow from operations for Q2 2024 was $2.5 billion, a decrease of $1.1 billion from the same quarter last year. The company’s free cash flow was $1.8 billion, down from $2.9 billion in Q2 2023.
Debt and Financing
IBM’s total debt at the end of Q2 2024 was $54.5 billion, an increase of $2.5 billion from the same quarter last year. The company’s debt-to-equity ratio was 2.5, up from 2.3 in Q2 2023.
Segment Performance
IBM’s Cloud & Cognitive Software segment reported revenue of $6.3 billion, down 3.1% from the same quarter last year. The Global Business Services segment reported revenue of $4.1 billion, down 4.7% from Q2 2023. The Global Technology Services segment reported revenue of $3.4 billion, down 5.6% from the same quarter last year.
Geographic Performance
IBM’s revenue from the Americas was $8.3 billion, down 2.5% from the same quarter last year. Revenue from Europe, the Middle East, and Africa was $4.2 billion, down 3.5% from Q2 2023. Revenue from Asia Pacific was $2.8 billion, down 1.4% from the same quarter last year.
Outlook
IBM’s full-year 2024 revenue is expected to be $61.5 billion, down 2.5% from 2023. The company’s full-year 2024 EPS is expected to be $6.10, down from $6.30 in 2023.
Conclusion
IBM’s Q2 2024 financial results reflect the challenges faced by the company in the current economic environment. While revenue declined, the company’s cash flow and liquidity remain strong. IBM’s focus on cloud, artificial intelligence, and other emerging technologies is expected to drive growth in the future.
Key Takeaways
- IBM’s Q2 2024 revenue was $15.3 billion, down 2.1 billion from the same quarter last year.
- The company’s net income was $1.3 billion, down $0.4 billion from Q2 2023.
- IBM’s cash flow from operations was $2.5 billion, down $1.1 billion from the same quarter last year.
- The company’s debt-to-equity ratio was 2.5, up from 2.3 in Q2 2023.
- IBM’s full-year 2024 revenue is expected to be $61.5 billion, down 2.5% from 2023.
Frequently Asked Questions
What was IBM’s Q2 2024 revenue?
IBM’s Q2 2024 revenue was $15.3 billion.
What was IBM’s Q2 2024 net income?
IBM’s Q2 2024 net income was $1.3 billion.
What is IBM’s full-year 2024 revenue outlook?
IBM’s full-year 2024 revenue is expected to be $61.5 billion.
What is IBM’s full-year 2024 EPS outlook?
IBM’s full-year 2024 EPS is expected to be $6.10.