Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

International Business Machines Corp., consolidated balance sheet: liabilities and stockholders’ equity

US$ in millions

	Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Taxes	2,033)	2,270)	2,196)	2,289)	3,301)
Short-term debt	5,089)	6,426)	4,760)	6,787)	7,183)
Accounts payable	4,032)	4,132)	4,051)	3,955)	4,908)
Compensation and benefits	3,605)	3,501)	3,481)	3,204)	3,440)
Deferred income	13,907)	13,451)	12,032)	12,518)	12,833)
Current operating lease liabilities	768)	820)	874)	974)	1,357)
Other accrued expenses and liabilities	3,708)	3,522)	4,111)	3,892)	6,847)
Current liabilities	33,142)	34,122)	31,505)	33,619)	39,869)
Long-term debt, excluding current maturities	49,884)	50,121)	46,189)	44,917)	54,355)
Retirement and nonpension postretirement benefit obligations	9,432)	10,808)	9,596)	14,435)	18,248)
Deferred income	3,622)	3,533)	3,499)	3,577)	4,301)
Noncurrent operating lease liabilities	2,655)	2,568)	2,190)	2,462)	3,574)
Income tax reserves	6,865)	6,916)	6,404)	6,179)	5,274)
Deferred taxes	815)	1,146)	2,292)	3,956)	5,472)
Excess Savings Plan	1,445)	1,437)	1,307)	1,686)	1,635)
Disability benefits	274)	308)	303)	359)	452)
Derivative liabilities	463)	299)	488)	103)	40)
Workforce reductions	445)	526)	524)	752)	956)
Environmental accruals	204)	206)	243)	224)	246)
Other	537)	638)	682)	736)	822)
Other liabilities	11,048)	11,476)	12,243)	13,995)	14,897)
Noncurrent liabilities	76,641)	78,506)	73,717)	79,386)	95,375)
Total liabilities	109,783)	112,628)	105,222)	113,005)	135,244)
Common stock, par value $.20 per share, and additional paid-in capital	61,380)	59,643)	58,343)	57,319)	56,556)
Retained earnings	151,163)	151,275)	149,825)	154,209)	162,717)
Treasury stock, at cost	(169,967)	(169,624)	(169,484)	(169,393)	(169,339)
Accumulated other comprehensive loss	(15,269)	(18,761)	(16,740)	(23,234)	(29,337)
Total IBM stockholders’ equity	27,307)	22,533)	21,944)	18,901)	20,597)
Noncontrolling interests	86)	80)	77)	95)	130)
Total equity	27,393)	22,613)	22,021)	18,996)	20,727)
Total liabilities and equity	137,176)	135,241)	127,243)	132,001)	155,971)

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

The annual financial data reveals several trends in liabilities, equity, and key expense categories over the five-year period.

Taxes: Tax expenses display a gradual decrease from 3,301 million US$ in 2020 to 2,033 million US$ in 2024, with minor fluctuations in intermediate years.
Short-term Debt: Short-term debt declines steadily over the period with a notable drop from 7,183 million US$ in 2020 to 5,089 million US$ in 2024, though there is a temporary increase in 2023.
Accounts Payable: The accounts payable figures largely stabilize around the 4,000 million US$ mark after a decline from 4,908 million US$ in 2020 to approximately 4,032 million US$ in 2024.
Compensation and Benefits: Compensation and benefits increase gradually, rising from 3,440 million US$ in 2020 to 3,605 million US$ in 2024, indicating steady growth in employee-related costs.
Deferred Income: Reported deferred income demonstrates a decline from 12,833 million US$ in 2020 to 12,032 million US$ in 2022, followed by a recovery to 13,907 million US$ by 2024.
Current Operating Lease Liabilities: This liability decreases consistently from 1,357 million US$ in 2020 to 768 million US$ in 2024, reflecting reduced short-term lease commitments.
Other Accrued Expenses and Liabilities: These liabilities show a significant drop from 6,847 million US$ in 2020 to 3,708 million US$ in 2024, with some minor fluctuations in the years in between.
Current Liabilities: Overall current liabilities fall from 39,869 million US$ in 2020 to 33,142 million US$ in 2024, with a slight rebound in 2023.
Long-term Debt Excluding Current Maturities: Long-term debt trends downward from 54,355 million US$ in 2020 to 44,917 million US$ in 2021, but then rises steadily again to reach 49,884 million US$ in 2024.
Retirement and Postretirement Benefit Obligations: There is a marked decrease from 18,248 million US$ in 2020 to 9,432 million US$ in 2024, indicating a reduction in these long-term benefit obligations.
Income Tax Reserves: Income tax reserves increase progressively, starting at 5,274 million US$ in 2020 and reaching 6,865 million US$ in 2024.
Deferred Taxes: Deferred taxes experience a considerable decline from 5,472 million US$ in 2020 to just 815 million US$ in 2024.
Derivative Liabilities: These liabilities rise notably from 40 million US$ in 2020 to a peak of 488 million US$ in 2022, then fluctuate and settle at 463 million US$ in 2024.
Workforce Reductions: Liabilities related to workforce reductions decrease over the period from 956 million US$ in 2020 to 445 million US$ in 2024.
Other Liabilities: Other liabilities diminish from 14,897 million US$ in 2020 to 11,048 million US$ in 2024, showing a continuous downward trend.
Noncurrent Liabilities: Noncurrent liabilities decrease from 95,375 million US$ in 2020 to 76,641 million US$ in 2024, although a rebound is observed in 2023.
Total Liabilities: Total liabilities display a declining trend from 135,244 million US$ in 2020 to 109,783 million US$ in 2024, with a minor increase in 2023.
Common Stock and Additional Paid-in Capital: This equity component shows steady growth, rising from 56,556 million US$ in 2020 to 61,380 million US$ in 2024.
Retained Earnings: Retained earnings decline from 162,717 million US$ in 2020 to 149,825 million US$ in 2022, followed by modest recovery to 151,163 million US$ in 2024.
Treasury Stock: Treasury stock holdings increase slightly in cost (more negative) from -169,339 million US$ in 2020 to -169,967 million US$ in 2024, indicating additional share repurchases.
Accumulated Other Comprehensive Loss: This loss decreases in magnitude from -29,337 million US$ in 2020 to -15,269 million US$ in 2024, suggesting improved comprehensive income components or reduced losses.
Total Stockholders’ Equity: Total equity fluctuates but shows an overall increase from 20,597 million US$ in 2020 to 27,307 million US$ in 2024, implying strengthening equity base.
Noncontrolling Interests: These interests decline from 130 million US$ in 2020 to 77 million US$ in 2022, before increasing slightly again to 86 million US$ in 2024.
Total Equity: Total equity follows a similar pattern to stockholders’ equity, increasing from 20,727 million US$ in 2020 to 27,393 million US$ in 2024.
Total Liabilities and Equity: This total decreases from 155,971 million US$ in 2020 to 127,243 million US$ in 2022, but then rises to 137,176 million US$ in 2024, indicating overall asset growth after an earlier contraction.

Download chart

International Business Machines Corp. (NYSE:IBM)

Balance Sheet: Liabilities and Stockholders’ Equity