Business InsiderTop News

IBM Earnings, Revenue Beat in Q2 on Rising Cloud Demand

imageStock Markets8 hours ago (Jul 20, 2020 04:25PM ET)

IBM Earnings, Revenue Beat in Q2

By Yasin Ebrahim

Investing.com – IBM (NYSE:IBM) on Monday reported second-quarter earnings and revenue that topped consensus expectations as strong demand for cloud services underpinned performance.

IBM shares gained 6.4% in after-hours trading following the report.

The company announced earnings per share of $2.18 on revenue of $18.12B. Analysts polled by Investing.com anticipated EPS of $2.08 on revenue of $17.42B.

The Armonk, New York-based technology services giant’s beat on both the top and bottom lines was helped by a boost from Linux maker Red Hat, which was acquired last year in an effort to bolster the company’s cloud offering.

Total cloud revenue jumped 30% to $6.3 billion for the quarter on-year.

The cloud & cognitive software division grew revenue 3% to $5.7 billion, with growth in cloud & data platforms rising 29%, led by Red Hat, where revenue was up 17% for the quarter.

Global technology services, which includes infrastructure & cloud services and technology support services, saw revenue fall 8% to $6.3 billion.

Global business services revenue slipped 7% to $3.9 billion, driven by declines in application management and consulting.

IBM shares are up 49% from the beginning of the year, still down 20% from its 52-week high of $158.75 set on February 6. They are outperforming the S&P 500 which is up 0.66% from the start of the year.

Stay up-to-date on all of the upcoming earnings reports by visiting Investing.com’s earnings calendar.

IBM Earnings, Revenue Beat in Q2 on Rising Cloud Demand

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Related Articles

Back to top button
Close
Close

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!