{"id":41125,"date":"2020-07-21T09:40:17","date_gmt":"2020-07-21T09:40:17","guid":{"rendered":"http:\/\/icloud.pe\/blog\/?guid=14b5e6ac362da1d7285c4eae6e8995b9"},"modified":"2020-07-21T09:40:17","modified_gmt":"2020-07-21T09:40:17","slug":"ibm-q2-revenues-beat-analyst-estimates-with-cloud-boost","status":"publish","type":"post","link":"https:\/\/icloud.pe\/blog\/ibm-q2-revenues-beat-analyst-estimates-with-cloud-boost\/","title":{"rendered":"IBM Q2 revenues beat analyst estimates with cloud boost"},"content":{"rendered":"


\n Bobby Hellard<\/a><\/span>
\n <\/span><\/p>\n

\n
\n
21 Jul, 2020<\/span><\/div>\n<\/p><\/div>\n<\/div>\n

\n<\/a><\/p>\n

\n

IBM’s beat analyst expectations with an almost 30% jump in revenue from its cloud and data platforms in the second quarter.<\/p>\n

The company reported earnings of $2.18 per share, which was down 31% from the same period in 2019, along with $18.1 billion in revenue during the three months ending 30 June. Wall Street analysts had predicted slightly less – $2.07 per share and $17.7 billion in revenue.<\/p>\n

<\/p>\n

\nWith the\u00a0coronavirus pandemic<\/a>\u00a0forcing businesses to drastically change digital transformation strategies, IBM’s cloud business has become its big winner for revenue, with sales from its cloud and cognitive software division rising 3% year-on-year to $5.7 billion. About an hour after it released the report, shares in the company were up around 4%.<\/p>\n

“The trend we see in the market is clear. Clients want to modernise apps, move more workloads to the cloud and automate IT tasks,” IBM\u00a0CEO\u00a0Arvind Krishna<\/a>\u00a0said on a post-earnings call with analysts<\/p>\n

“Only 20% of the workloads have moved to the cloud. The other 80% are mission-critical workloads that are far more difficult to move. There is a massive opportunity in front of us to capture these workloads.”<\/p>\n

Krishna took over from\u00a0Ginni Rometty<\/a>\u00a0in April, just as the coronavirus really began to take hold. But, as the former head of its cloud business, he has proved to be a shrewd choice of leader during this time of mass digitisation.<\/p>\n

The firm has abandoned some of its legacy business to focus more on its cloud computing services. However, despite the success of its cloud unit, IBM’s total revenue fell 5.4% to $18.12 billion.<\/p>\n

Sales from IBM’s global business services segment fell 7%, for example,\u00a0while sales from global technology services\u00a0fell 8%.\u00a0<\/p>\n

In April, the firm\u00a0withdrew its full-year guidance for 2020<\/a>\u00a0in light of the coronavirus pandemic. At the time the firm reported a 3.4% drop in revenue for the first quarter of the year but, again, revenue for its cloud business was up 19% to $5.4 billion.\u00a0 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Bobby Hellard<\/p>\n

21 Jul, 2020 <\/p>\n

IBM’s beat analyst expectations with an almost 30% jump in revenue from its cloud and data platforms in the second quarter.
\nThe company reported earnings of $2.18 per share, which was down 31% …<\/p>\n","protected":false},"author":403,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-41125","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41125","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/users\/403"}],"replies":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/comments?post=41125"}],"version-history":[{"count":1,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41125\/revisions"}],"predecessor-version":[{"id":41126,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41125\/revisions\/41126"}],"wp:attachment":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/media?parent=41125"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/categories?post=41125"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/tags?post=41125"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}