IBM (IBM) reported $19.69 billion in revenue for the quarter ended December 2025, representing a year-over-year increase of 12.2%. EPS of $4.52 for the same period compares to $3.92 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $19.2 billion, representing a surprise of +2.53%. The company delivered an EPS surprise of +4.39%, with the consensus EPS estimate being $4.33.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how IBM performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Revenue- Financing: $179 million compared to the $175.71 million average estimate based on six analysts.
- Revenue- Other: $-5 million versus $32.55 million estimated by six analysts on average. Compared to the year-ago quarter, this number represents a -117.2% change.
- Revenue- Infrastructure: $5.13 billion compared to the $4.67 billion average estimate based on six analysts. The reported number represents a change of +20.6% year over year.
- Revenue- Consulting: $5.35 billion versus the six-analyst average estimate of $5.42 billion. The reported number represents a year-over-year change of +3.4%.
- Revenue- Software: $9.03 billion versus $8.89 billion estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +14% change.
- Revenue- Data: $2.1 billion compared to the $1.98 billion average estimate based on four analysts.
- Revenue- Hybrid Infrastructure: $3.8 billion versus $3.36 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +26.7% change.
- Revenue- Transaction Processing: $2.6 billion versus $2.55 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +8.3% change.
- Revenue- Automation: $2.3 billion versus the four-analyst average estimate of $2.25 billion.
- Revenue- Hybrid Cloud: $2 billion versus $2.13 billion estimated by four analysts on average.
- Revenue- Intelligent Operations: $2.4 billion versus the four-analyst average estimate of $2.45 billion.
- Revenue- Strategy and Technology: $2.9 billion compared to the $2.97 billion average estimate based on four analysts.
View all Key Company Metrics for IBM here>>>
Shares of IBM have returned -2.7% over the past month versus the Zacks S&P 500 composite's +0.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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International Business Machines Corporation (IBM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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