Related News

First-ever image captures two black holes orbiting each other |

For the first time in history, scientists have captured an image of two black holes orbiting each other, confirming a long-held astronomical theory. Researchers from the University of Turku in

Navan sets price range for IPO, expects market cap up to $6.5 billion

FILE PHOTO: Ariel Cohen during a panel at DLD Munich Conference 2020, Europe’s big innovation conference, Alte Kongresshalle, Munich. Picture Alliance for DLD | Hubert Burda Media | AP Navan,

How Sora 2 by OpenAI is challenging Hollywood

The launch of OpenAI’s updated Sora 2 AI video service kicked off another round of anxiety among musicians, actors and other content creators. Sora allows users to generate short videos

Applied Digital stock climbs 16% as AI demand fuels data center growth

Applied Digital shares jumped 16% on Friday after the company posted strong first-quarter revenue that was boosted by artificial intelligence data center demand, putting the stock up more than 350%

Rocket Lab stock set for 25% weekly gain after flurry of launch deals

Rocket Lab shares have added more than a quarter in value this week as the aerospace company inked new launch deals in the burgeoning space tech industry. The stock gained

Qualcomm shares fall after China opens antitrust probe into chip giant

Microchip and Qualcomm logo displayed on a phone screen are seen in this multiple exposure illustration photo taken in Krakow, Poland on April 10, 2023. Jakub Porzycki | Nurphoto |

IBM Q2 earnings report 2025

Word Count: 260 | Estimated Reading Time: 2 minutes

IBM CEO Arvind Krishna appears at the World Economic Forum in Davos, Switzerland, on Jan. 16, 2024.

Stefan Wermuth | Bloomberg | Getty Images

IBM shares fell as much as 5% in extended trading on Wednesday after the tech conglomerate issued second-quarter results that topped Wall Street projections.

Here’s how the company did in comparison with LSEG consensus:

Earnings per share: $2.80 adjusted vs. $2.64 expected
Revenue: $16.98 billion vs. $16.59 billion

IBM’s revenue increased nearly 8% year over year in the quarter, according to a statement. Growth in the first quarter was below 1%. Net income, which includes costs related to acquisitions, rose to $2.19 billion, or $2.31 per share, from $1.83 billion, or $1.96 per share, a year ago.

Software revenue climbed about 10% to $7.39 billion, exceeding the $7.43 billion consensus among analysts surveyed by StreetAccount. The unit’s gross margin of 83.9%, barely narrower than StreetAccount’s 84.0% consensus.

Revenue from consulting rose almost 3% to $5.31 billion, higher than StreetAccount’s $5.16 billion consensus. Infrastructure revenue went up 14% to $4.14 billion, above the $3.75 billion StreetAccount average estimate.

During the quarter, IBM announced the next-generation z17 mainframe computer and the acquisition of data and artificial intelligence consulting firm Hakkoda.

IBM called for over $13.5 billion in 2025 free cash flow, similar to a projection from April. The company still sees at least 5% revenue growth at constant currency for the year.

As of Wednesday’s close, IBM shares were up 28% so far in 2025, while the S&P 500 index has gained around 8% in the same period.

Executives will discuss the results with analysts on a conference call starting at 5 p.m. ET.

This is breaking news. Please check back for updates.

WATCH: Cramer’s Stop Trading: IBM