International Business Machines released its latest earnings report after closing bell tonight, posting non-GAAP earnings of $3.84 per share, a 15% year over year decline, and revenue of $20.8 billion, a 1% year over year decline after adjusting for currencies and the divesture of the System x business. Analysts had been expecting earnings of $3.78 per share on $20.95 billion in revenue.
Key metrics from International Business Machines earnings report
GAAP earnings were $3.58 per share, a 15% year over year increase. Gross margin was 50.9% on a non-GAAP basis, a 20 basis point increase, and 49.9% on a GAAP basis, a 20 basis point decline. Revenue from continuing operations was $40.4 billion.
IBM’s strategic imperatives revenue climbed more than 30% on an adjusted basis and more than 20% on a reported basis. The company’s cloud revenue increased by over 70% on an adjusted basis and more than 50% on a reported basis. Cloud delivered as a service brought a $4.5 billion annual run rate compared to $2.8 billion in last year’s second quarter.
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