IBM (IBM) Q2 earnings: Taking a look at key metrics versus estimates

IBM (IBM) reported $17.16 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 1.1%. EPS of $2.93 for the same period compares to $2.80 a year ago.

The reported revenue represents a surprise of -0.03% over the Zacks Consensus Estimate of $17.17 billion. With the consensus EPS estimate being $2.93, the company has not delivered EPS surprise.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how IBM performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenue - Software: $7.76 billion compared to the $7.95 billion average estimate based on five analysts. The reported number represents a change of +5.1% year over year.
• Revenue - Consulting: $5.33 billion compared to the $5.38 billion average estimate based on five analysts. The reported number represents a change of +0.2% year over year.
• Revenue - Financing: $186 million compared to the $172.79 million average estimate based on five analysts. The reported number represents a change of +12.1% year over year.
• Revenue - Infrastructure: $3.84 billion compared to the $3.95 billion average estimate based on five analysts. The reported number represents a change of -7.4% year over year.
• Revenue - Other: $52 million compared to the $47.75 million average estimate based on four analysts. The reported number represents a change of -267.7% year over year.
• Revenue - Intelligent operations: $2.4 billion compared to the $2.41 billion average estimate based on three analysts. The reported number represents a change of 0% year over year.
• Revenue - Automation: $2 billion compared to the $2.03 billion average estimate based on three analysts. The reported number represents a change of +5.3% year over year.
• Revenue - Strategy and technology: $2.9 billion versus the three-analyst average estimate of $2.95 billion. The reported number represents a year-over-year change of 0%.
• Revenue - Hybrid cloud: $2 billion compared to the $2 billion average estimate based on three analysts. The reported number represents a change of +11.1% year over year.
• Revenue - Infrastructure support: $1.3 billion versus the three-analyst average estimate of $1.18 billion. The reported number represents a year-over-year change of 0%.
• Revenue - Data: $1.8 billion versus $1.87 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +20% change.
• Revenue - Transaction processing: $2 billion compared to the $2.19 billion average estimate based on three analysts. The reported number represents a change of -9.1% year over year.