International Business Machines
IBM · NYSEComputer & office Equipment · Fiscal year ends Dec 31
International Business Machines reported revenue of $67.5B in the fiscal year ended Dec 2025, up 7.6% from the year before. Net income was $10.6B. Operating cash flow of $13.2B less capital expenditure of $1.1B left free cash flow of $12.1B. Net debt was $47.7B.
Last 5 fiscal years
Revenue and net income
Income statement
| Fiscal year | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Revenue | $57.4B | $60.5B | $61.9B | $62.8B | $67.5B |
| Cost of revenue | $25.9B | $27.8B | $27.6B | $27.2B | $28.2B |
| Gross profit | $31.5B | $32.7B | $34.3B | $35.6B | $39.3B |
| Research & development | $6.5B | $6.6B | $6.8B | $7.5B | $8.3B |
| Selling, general & admin | $18.7B | $18.6B | $19B | $19.7B | $20.1B |
| Interest expense | $1.2B | $1.2B | $1.6B | $1.7B | $1.9B |
| Pre-tax income | $4.8B | $1.2B | $8.7B | $5.8B | $10.3B |
| Income tax | $124M | −$626M | $1.2B | −$218M | −$242M |
| Net income | $5.7B | $1.6B | $7.5B | $6B | $10.6B |
| Diluted EPS | 6.35 | 1.80 | 8.14 | 6.43 | 11.17 |
| Diluted shares | 905M | 912M | 922M | 937M | 949M |
Balance sheet
| Fiscal year | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Cash & equivalents | $6.7B | $7.9B | $13.1B | $13.9B | $13.6B |
| Receivables | $6.8B | $6.5B | $7.2B | $6.8B | $8.1B |
| Inventory | $1.6B | $1.6B | $1.2B | $1.3B | $1.2B |
| Current assets | $29.5B | $29.1B | $32.9B | $34.5B | $36.9B |
| Net PP&E | $5.7B | $5.3B | – | – | – |
| Goodwill | $55.6B | $55.9B | $60.2B | $60.7B | $67.7B |
| Total assets | $132B | $127B | $135B | $137B | $152B |
| Payables | $4B | $4.1B | $4.1B | $4B | $4.8B |
| Deferred revenue | $12.5B | $12B | $13.5B | $13.9B | $16.1B |
| Current liabilities | $33.6B | $31.5B | $34.1B | $33.1B | $38.7B |
| Short-term debt | $6.8B | $4.8B | $6.4B | $5.1B | $6.4B |
| Long-term debt | $44.9B | $46.2B | $50.1B | $49.9B | $54.8B |
| Total liabilities | $113B | $105B | $113B | $110B | $119B |
| Shareholders' equity | $18.9B | $21.9B | $22.5B | $27.3B | $32.6B |
| Backlog (remaining obligations) | $62B | $59B | $60B | $63B | $71B |
Cash flow
| Fiscal year | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Operating cash flow | $12.8B | $10.4B | $13.9B | $13.4B | $13.2B |
| Capital expenditure | $2.1B | $1.3B | $1.2B | $1B | $1.1B |
| Free cash flow | $10.7B | $9.1B | $12.7B | $12.4B | $12.1B |
| Depreciation & amortisation | $3.9B | $2.4B | $2.1B | $2.2B | $2.3B |
| Stock-based compensation | $982M | $987M | $1.1B | $1.3B | $1.7B |
| Acquisitions | $3.3B | $2.3B | $5.1B | $3.3B | $8.3B |
| Dividends paid | $5.9B | $5.9B | $6B | $6.1B | $6.3B |
| Dividend per share | 6.55 | 6.59 | 6.63 | 6.67 | 6.71 |
Key ratios
| Fiscal year | Dec 2021 | Dec 2022 | Dec 2023 | Dec 2024 | Dec 2025 |
|---|---|---|---|---|---|
| Revenue growth (YoY) | – | 5.5% | 2.2% | 1.4% | 7.6% |
| EPS growth (YoY) | – | −71.7% | 352.2% | −21.0% | 73.7% |
| Gross margin | 54.9% | 54.0% | 55.4% | 56.7% | 58.2% |
| Net margin | 10.0% | 2.7% | 12.1% | 9.6% | 15.7% |
| Return on equityBlank when equity is negative | 30.4% | 7.5% | 33.3% | 22.1% | 32.4% |
| Free cash flow margin | 18.7% | 15.0% | 20.5% | 19.8% | 17.9% |
| Cash conversion (CFO ÷ net income) | 2.23x | 6.37x | 1.86x | 2.23x | 1.25x |
| Receivable days | 43 | 39 | 43 | 40 | 44 |
| Inventory days | 23 | 20 | 15 | 17 | 16 |
| Payable days | 56 | 53 | 55 | 54 | 61 |
| Debt ÷ equity | 2.74x | 2.32x | 2.51x | 2.01x | 1.88x |
| Net debtDebt − cash & equivalents; excludes investments; negative = net cash | $45.1B | $43.1B | $43.5B | $41B | $47.7B |
| Current ratio | 0.88x | 0.92x | 0.96x | 1.04x | 0.96x |
Recent filings
More in Computer & Office Equipment
Standardised figures from the company's XBRL filings with the SEC (10-K, 10-Q). Line items follow US GAAP tags, so a company's own statement layout may differ and some lines show “–” where the company does not report that item. Ratios are calculated from these figures. For education only; not investment advice or a recommendation.