By Shashank Nayar
Publication Date: 2026-10-21 22:12:00
International Business Machines Corp. posted higher-than-expected third-quarter revenue and a recovery in delayed mainframe infrastructure contracts, prompting the firm to raise its full-year cash flow outlook.
- Third-quarter sales grew 5% to $17.1 billion, exceeding average analyst projections of $16.83 billion
- IBM recovered roughly two-thirds of the mainframe and related software deals that clients postponed earlier in the year.
- IBM expects full-year free cash flow to increase by more than $1 billion year-over-year.
International Business Machines Corp. (IBM) share price added 3% after-hours on Wednesday after the company reported third-quarter revenue and earnings that beat Wall Street expectations, bolstered by steady software expansion and a resurgence in big-ticket mainframe sales.
The firm posted revenue of $17.1 billion for the three months ended Sept. 30, up 5% from $16.33 billion in the prior-year period. Earnings came in at $2.95 per share, topping the average analyst…
