IBM(IBM) - 2024 Q1 - Earnings Call Presentation

Financial Performance - IBM's Q1 2024 revenue grew by 3% to $14.5 billion[31], with Americas revenue at $7.3 billion[31], Europe/ME/Africa at $4.3 billion[31], and Asia Pacific at $2.9 billion[31] - The company's operating gross profit margin expanded by 100 basis points to 54.7%[31], and operating pre-tax margin expanded by 130 basis points[18] - Free cash flow for the quarter was $1.9 billion[18], a year-over-year increase of $0.6 billion[18] - Adjusted EBITDA reached $3.0 billion[31], a 7% increase year-over-year[31] Segment Performance - Software revenue increased by 6% to $5.9 billion[20], driven by Hybrid Platform & Solutions which grew by 7%[20] and Transaction Processing which grew by 4%[20] - Consulting revenue grew by 2% to $5.2 billion[22], with a book-to-bill ratio of over 1.15 for the last year[21] - Infrastructure revenue was flat at $3.1 billion[23], with Hybrid Infrastructure growing by 6%[23] Strategic Initiatives - IBM announced its intent to acquire HashiCorp to strengthen its hybrid cloud and AI platform[6] - The book of business for watsonx and generative AI has surpassed $1 billion since its launch in mid-2023[6] Outlook - IBM expects full-year revenue growth in line with its mid-single-digit model and free cash flow of approximately $12 billion[6]