Skip to content
Subscriber Only

IBM Revenue Beats Estimates on Boost From Cloud Demand

Video player cover image
Coronavirus Lockdown Drives Demand for Cloud Services
Updated on

International Business Machines Corp. beat analysts’ estimates for second-quarter revenue, with cloud sales helping offset coronavirus-fueled declines in the consulting services business. The shares gained in late trading.

Cloud revenue increased 30% to $6.3 billion in the period ended June 30, the Armonk, New York-based company said Monday in a statement. That helped offset revenue declines in the tech support units Global Business Services and Global Technology Services, which account for about 56% of IBM’s total revenue. Overall, sales fell 5.4% to $18.1 billion, beating the $17.62 billion analysts had expected, according to data compiled by Bloomberg.