Income Statement
Quarterly Data

The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.

International Business Machines Corp., consolidated income statement (quarterly data)

US$ in millions

3 months ended:	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021
Services	8,028)	7,724)	7,682)	7,280)	7,483)	7,454)	7,405)	7,471)	7,760)	7,541)	7,553)	7,524)	7,497)	7,366)	7,640)	7,703)	7,677)	7,251)	7,201)	7,096)
Sales	11,478)	8,407)	9,129)	7,070)	9,902)	7,334)	8,196)	6,799)	9,449)	7,025)	7,739)	6,532)	9,021)	6,565)	7,748)	6,339)	8,844)	5,814)	6,808)	5,880)
Financing	180)	200)	166)	191)	168)	180)	169)	192)	172)	186)	183)	196)	173)	176)	147)	155)	173)	186)	209)	211)
Revenue	19,686)	16,331)	16,977)	14,541)	17,553)	14,968)	15,770)	14,462)	17,381)	14,752)	15,475)	14,252)	16,691)	14,107)	15,535)	14,197)	16,694)	13,251)	14,218)	13,187)
Services	(5,467)	(5,225)	(5,280)	(5,002)	(5,114)	(5,049)	(5,127)	(5,240)	(5,229)	(5,217)	(5,294)	(5,311)	(5,146)	(5,168)	(5,399)	(5,349)	(5,132)	(4,650)	(4,721)	(4,644)
Sales	(2,190)	(1,637)	(1,630)	(1,404)	(1,911)	(1,404)	(1,607)	(1,381)	(1,799)	(1,419)	(1,587)	(1,322)	(1,820)	(1,389)	(1,750)	(1,415)	(1,943)	(1,363)	(1,499)	(1,379)
Financing	(100)	(109)	(90)	(104)	(89)	(95)	(86)	(99)	(86)	(93)	(93)	(110)	(93)	(120)	(96)	(98)	(118)	(132)	(146)	(137)
Cost	(7,757)	(6,971)	(7,000)	(6,510)	(7,114)	(6,548)	(6,820)	(6,720)	(7,114)	(6,729)	(6,974)	(6,743)	(7,059)	(6,677)	(7,245)	(6,862)	(7,193)	(6,145)	(6,366)	(6,160)
Gross profit	11,929)	9,360)	9,977)	8,031)	10,439)	8,420)	8,950)	7,742)	10,267)	8,023)	8,501)	7,509)	9,632)	7,430)	8,290)	7,335)	9,501)	7,106)	7,852)	7,027)
Selling, general and administrative	(5,462)	(4,748)	(5,027)	(4,886)	(4,865)	(4,911)	(4,938)	(4,974)	(4,792)	(4,458)	(4,900)	(4,853)	(4,766)	(4,391)	(4,855)	(4,597)	(4,902)	(4,306)	(4,849)	(4,688)
Research and development	(2,187)	(2,082)	(2,097)	(1,950)	(1,967)	(1,876)	(1,840)	(1,796)	(1,748)	(1,685)	(1,687)	(1,655)	(1,604)	(1,611)	(1,673)	(1,679)	(1,625)	(1,606)	(1,641)	(1,616)
Intellectual property and custom development income	277)	219)	215)	253)	301)	238)	241)	216)	242)	190)	248)	180)	245)	121)	176)	121)	180)	153)	133)	146)
Operating income	4,557)	2,749)	3,068)	1,448)	3,908)	1,871)	2,413)	1,188)	3,969)	2,070)	2,162)	1,181)	3,507)	1,549)	1,938)	1,180)	3,154)	1,347)	1,495)	869)
Other income and (expense)	64)	173)	39)	165)	(178)	(2,244)	233)	318)	195)	215)	261)	244)	118)	(5,755)	81)	(246)	19)	(244)	(303)	(345)
Interest expense	(478)	(492)	(510)	(455)	(424)	(429)	(427)	(432)	(405)	(412)	(423)	(367)	(313)	(295)	(297)	(311)	(304)	(290)	(281)	(280)
Income (loss) from continuing operations before income taxes	4,143)	2,430)	2,597)	1,158)	3,306)	(802)	2,219)	1,074)	3,759)	1,873)	2,000)	1,058)	3,312)	(4,501)	1,722)	623)	2,869)	813)	911)	244)
(Provision for) benefit from income taxes	1,437)	(686)	(404)	(104)	(379)	485)	(389)	501)	(474)	(159)	(419)	(124)	(443)	1,287)	(257)	39)	(407)	224)	(101)	159)
Income (loss) from continuing operations	5,580)	1,744)	2,193)	1,054)	2,927)	(317)	1,830)	1,575)	3,285)	1,714)	1,581)	934)	2,869)	(3,214)	1,465)	662)	2,462)	1,037)	810)	403)
Income (loss) from discontinued operations, net of tax	20)	—)	1)	1)	(13)	(13)	4)	30)	3)	(10)	2)	(7)	(159)	18)	(73)	71)	(129)	93)	515)	552)
Net income (loss)	5,600)	1,744)	2,194)	1,055)	2,914)	(330)	1,834)	1,605)	3,288)	1,704)	1,583)	927)	2,710)	(3,196)	1,392)	733)	2,333)	1,130)	1,325)	955)

The financial performance presented exhibits considerable fluctuation over the observed period. Revenue demonstrates an overall upward trajectory, though not consistently. Gross profit generally follows revenue trends, indicating a relatively stable gross margin. However, operating income and net income display significant volatility, influenced by substantial swings in other income and expenses, and tax provisions.

Revenue Trends: Revenue increased from US$13,187 million in March 2021 to US$19,686 million in September 2023, before reaching US$11,478 million in December 2023 and peaking at US$19,686 million in September 2025. The largest single-quarter revenue occurred in December 2023 and September 2025. Revenue from Services remained relatively stable, fluctuating between approximately US$7,366 million and US$8,028 million. Sales revenue experienced more pronounced quarterly variations, with peaks in December 2021 and December 2023, and a decline in the first half of 2022. Financing revenue remained consistently the smallest contributor to overall revenue.
Profitability Analysis: Gross profit mirrored revenue trends, increasing from US$7,027 million in March 2021 to US$11,929 million in September 2025. Operating income experienced substantial volatility. A significant increase was observed in December 2021, followed by a sharp decline in September 2022, largely attributable to a substantial negative adjustment in 'Other income and (expense)'. Net income followed a similar pattern, with a peak in December 2023 and a significant loss in September 2022. The impact of discontinued operations, while present, was relatively minor compared to the fluctuations in continuing operations.
Cost Structure: Cost of revenue generally increased alongside revenue, remaining a significant portion of overall revenue. Selling, general, and administrative expenses remained relatively consistent throughout the period, averaging around US$4.7 billion per quarter. Research and development expenses exhibited a gradual increase over time, reaching approximately US$2.187 billion in September 2025. Intellectual property and custom development income provided a consistent, though smaller, offset to overall costs.
Key Expense Impacts: Interest expense remained relatively stable, averaging around US$400 million per quarter. However, 'Other income and (expense)' demonstrated extreme variability, significantly impacting operating income and net income. The large negative value in September 2022 (-US$5,755 million) particularly skewed the results for that quarter. The provision for income taxes also exhibited considerable fluctuation, shifting from a benefit to an expense and vice versa across different quarters.

In summary, the financial performance demonstrates revenue growth, but profitability is highly sensitive to fluctuations in 'Other income and (expense)' and tax provisions. While core revenue streams from Services show stability, Sales revenue experiences more volatility. Continued monitoring of these key areas is recommended to understand the underlying drivers of profitability and to manage financial risk.

AI Ask an analyst for more

Download chart

International Business Machines Corp. (NYSE:IBM)

Income Statement Quarterly Data

Income Statement
Quarterly Data