IBM posted 8 percent increase in revenue to $14.2 billion during the first quarter of 2022 as demand for hybrid cloud and AI drove growth in both Software and Consulting.
IBM’s Hybrid cloud revenue increased 14 percent to $5 billion in Q1 2022. In the last 12 months, IBM’s Hybrid cloud revenue rose 17 percent to $20.8 billion.
“Demand for hybrid cloud and AI drove growth in both Software and Consulting. We’re a more focused business and our results reflect the execution of our strategy,” said Arvind Krishna, IBM chairman and chief executive officer. “We are off to a solid start for the year, and we now see revenue growth for 2022 at the high end of our model.”
Segment Results for First Quarter
Software (includes Hybrid Platform & Solutions, Transaction Processing)— revenues of $5.8 billion, up 12.3 percent
— Red Hat up 18 percent, up 21 percent
— Automation up 3 percent, up 5 percent
— Data & AI up 2 percent, up 4 percent
— Security up 5 percent, up 8 percent
– Transaction Processing up 26 percent
– Software segment hybrid cloud revenue up 22 percent
Consulting (includes Business Transformation, Technology Consulting and Application Operations)— revenues of $4.8 billion, up 13.3 percent
– Business Transformation up 15 percent
– Technology Consulting up 14 percent
– Application Operations up 10 percent
– Consulting segment hybrid cloud revenue up 24 percent
Infrastructure (includes Hybrid Infrastructure, Infrastructure Support)— revenues of $3.2 billion, down 2.3 percent
– Hybrid Infrastructure down 5 percent
— IBM z Systems down 19 percent
— Distributed Infrastructure up 5 percent
– Infrastructure Support flat, up 4 percent
– Infrastructure segment hybrid cloud revenue down 20 percent
Financing (includes client and commercial financing)— revenues of $0.2 billion, down 26.2 percent.
