IBM 2Q 2011 Earnings: Revenue Up 12%, Net Income Up 11%
IBM’s earnings for second quarter 2011 just came across the wire.
Here’s the topline:
- Diluted EPS: GAAP: $3.00, up 15 percent; Operating (non-GAAP): $3.09, up 18 percent
- Revenue: $26.7 billion, up 12 percent, up 5 percent adjusting for currency
- Net income: GAAP: $3.7 billion, up 8 percent; Operating (non-GAAP): $3.8 billion, up 11 percent
- Pre-tax income: GAAP: $4.9 billion, up 7 percent; Operating (non-GAAP): $5.0 billion, up 10 percent
- Gross profit margin: GAAP: 46.4 percent, up 0.9 points
- Operating (non-GAAP): 46.8 percent, up 1.2 points
- Software revenue up 17 percent, 10 percent adjusting for currency
- Systems and Technology revenue up 17 percent, 12 percent adjusting for currency
- System z mainframe revenue up 61 percent; MIPS up 86 percent; Power Systems up 12 percent
- Services revenue up 10 percent, 2 percent adjusting for currency
- Services backlog of $144 billion, up $15 billion
- Growth markets revenue up 23 percent, 13 percent adjusting for currency
- Business analytics revenue up more than 20 percent in the first half
- Smarter Planet revenue up more than 50 percent in the first half
- Cloud revenue on track to double in 2011
- Full-year 2011 Operating (non-GAAP) EPS expectations raised to at least $13.25 from at least $13.15.
“In the second quarter our long-term strategic investments in the company’s growth initiatives again helped drive strong revenue performance,” said Samuel J. Palmisano, IBM chairman, president and chief executive officer. “Hardware, software and services revenue grew at double digits, and we achieved strong profit and free cash flow growth.
“As IBM begins its second century, we continue a process of transformation, positioning the company to lead in the future and deliver higher value to our clients and our shareholders. Given our strong start to 2011, we are raising our full-year operating earnings per share expectations to at least $13.25.”