IBM beats third quarter expectations as artificial intelligence sales grow

International Business Machines Corporation reported its third-quarter financial results on Wednesday, beating analyst estimates on earnings and revenue. CNBC Tech and Bloomberg Tech both report that IBM revenue grew by five percent year on year, reaching $17.1 billion according to Bloomberg Tech. CNBC Tech reported that company shares slipped in extended trading despite the overall beat. [1][2]

The company reported net income of $2.19 billion, or $2.30 per share, compared to $1.74 billion, or $1.84 per share, in the same period last year, according to CNBC Tech. Bloomberg Tech reports earnings of $2.95 per share, which includes adjusted calculations. Sales in the software unit also expanded over the quarter, Bloomberg Tech reported. [1][2]

Chief Executive Officer Arvind Krishna stated that artificial intelligence is serving as a tailwind for the business, CNBC Tech and Bloomberg Tech both report. CNBC Tech noted that Krishna highlighted client deployment of advanced artificial intelligence technologies that transform operating models. Krishna has served as the chief executive officer of IBM since April 2020 and became chairman in January 2021. [1][2][5]