By @SiliconANGLE
Publication Date: 2026-04-22 22:56:00
IBM Corp. reported revenue and earnings that topped analysts’ expectations, but its stock price dropped more than 7% in early after-hours trading as the firm declined to raise full-year estimates.
Revenue rose 6%, to $15.9 billion, at constant currency, ahead of analysts’ estimates of $15.62 billion. Earnings per share grew 19%, to $1.91, beating analyst estimates of $1.81. Gross profits of $9.2 billion rose 12%, and gross profit margin inched up 1.1 points, to 57.7%.
Chief Financial Officer James Kavanaugh said first-quarter revenue growth was the strongest in a decade. “This is an extremely strong start to the year,” he said.
Even so, executives declined to raise full-year forecasts, choosing instead to restate earlier estimates of more than 5% constant currency revenue growth and an increase of about $1 billion in year-over-year free cash flow in 2026.
That appears to have disappointed investors, despite the fact that IBM makes it a practice not to raise estimates…
