International Business Machines (IBM) is scheduled to release its second-quarter results on Wednesday after the market closes. Here are the key details you need to know:
According to FactSet, IBM is expected to report $15.58 billion in revenue for the second quarter, a slight increase from the $15.54 billion reported in the same period last year.
Analysts predict that IBM will post adjusted earnings of $2.01 per share, down from $2.31 per share in the year-ago period.
FactSet forecasts IBM’s net income to be $1.26 billion for the second quarter, compared to $1.39 billion in the prior-year period.
What to Watch For
Deal Details: Investors should watch for additional information from IBM regarding its planned acquisition of Apptio for $4.6 billion. In June, IBM confirmed its definitive agreement with Vista Equity Partners for the acquisition, as reported by The Wall Street Journal.
AI Focus: Artificial intelligence remains a focal point for IBM, and shareholders will be interested in learning more about the company’s strategy and new opportunities for expansion in this field.
Other Changes: Analysts will be looking for any signs of how IBM performed in certain areas, such as whether demand continued to slow in its consulting segment. In the last quarter, CEO Arvind Krishna acknowledged this trend but noted that clients were still prioritizing digital transformation projects.