International Business Machines Corp IBM shares are trading higher in Wednesday's after-hours session after the company reported mixed first-quarter financial results.
What Happened: IBM said first-quarter revenue increased 0.4% year-over-year to $14.25 billion, which missed average analyst estimates of $14.35 billion, per Benzinga Pro. Software revenue was up 3% and consulting revenue was up 3%, while infrastructure revenue fell 4%.
The company reported first-quarter earnings of $1.36 per share, beating consensus estimates of $1.26 per share.
IBM said it focused on increasing productivity and generating operating leverage in the quarter. Free cash flow from operating activities totaled $3.8 billion. Free cash flow came in at $1.3 billion.
"Our first quarter results demonstrate that clients continue turning to IBM for our unique combination of an open hybrid cloud platform, enterprise-focused AI, and business expertise to unlock productivity and drive efficiency in their operations," said Arvind Krishna, chairman and CEO of IBM.
IBM expects full-year constant currency growth to be in a range of 3% to 5%. The company reiterated that it expects full-year free cash flow of approximately $10.5 billion.
IBM will hold a conference call to discuss these results at 5 p.m. ET.
From Last Week: IBM Eyes Sale Of Weather Business Worth $1B: Report
IBM Price Action: IBM has a 52-week high of $143.18 and a 52-week low of $115.57, according to Benzinga Pro.
The stock was up 2.15% after hours at $129 at the time of writing.
Photo: courtesy of IBM.
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