IBM’s recent financial disclosures reveal impressive sales growth driven by its growing artificial intelligence (AI) segment. The company reported fourth-quarter revenue of $16.69 billion, a significant increase from the previous year’s $15.30 billion. With a net income of $2.33 billion or $2.61 per share, IBM’s earnings exceeded analysts’ expectations, which had predicted a profit of approximately $2.52 per share. CEO Arvind Krishna highlighted that the robust performance was largely attributed to the strong demand for AI-related products, with cloud and cognitive software revenue up by 13% year-over-year. ‘We are seeing unprecedented demand for our AI solutions and cloud offerings,’ Krishna stated. Additionally, IBM announced a 7% increase in its full-year dividend to $1.66 per share. The company’s stock saw a notable rise following the earnings report, closing at $151.37, up 4.7%. Overall, these results underscore IBM’s strategic shift toward AI technologies and its commitment to returning value to shareholders through increased dividends and robust investment in innovation.
IBM Reports Strong Sales Growth and Expanded AI Bookings Amid Positive Earnings Forecast
