On Jan. 19th 2017, IBM released financial statements for the fourth quarter and full year of 2016.
"In 2016, our strategic imperatives grew to represent more than 40 percent of our total revenue and we have established ourselves as the industry's leading cognitive solutions and cloud platform company," said Ginni Rometty, IBM chairman, president and chief executive officer.
"IBM Watson is the world's leading AI platform for business, and emerging solutions such as IBM Blockchain are enabling new levels of trust in transactions of every kind. More and more clients are choosing the IBM Cloud because of its differentiated capabilities, which are helping to transform industries, such as financial services, airlines and retail."
Total revenue produced by IBM in the fourth quarter of 2016 was $21.8 billion, down from $22.1 billion in the fourth quarter of 2015.
Technology Services & Cloud Platforms generated the highest revenue at $9.3 billion, up from $9.1 billion in the same quarter of 2015. Cognitive Solutions produced $5.3 billion, from $5.2 billion in the fourth quarter of 2015.
Gross profit for the fourth quarter was $10.9 billion, down from $11.4 billion in the same period of last year. Net income was $4.50 billion, up from $4.46 billion in the fourth quarter of 2015.
Diluted earnings per share (EPS) was $4.72, up from $4.59 in the fourth quarter of 2015.
Total revenue generated by IBM during the full year of 2016 was $79.9 billion, up from $81.7 billion in 2015.
Technology Services & Cloud Platforms made $35.3 billion, up slightly from $35.1 billion in 2015. Cognitive Solutions revenue totalled $18.2 billion, up from $17.8 billion in 2015.
Gross profit for the full year of 2016 was $38.3 billion, down slightly from $40.7 billion in the previous year. Net income totalled $11.9 billion in 2016, compared with $13.2 billion in 2015.
Diluted earnings per share (EPS) was $12.38, versus $13.42 in 2015.
The Stock Market
AS of 10:00 GMT on Feb. 17th 2017, IBM stock (NYSE: IBM) is trading at 181.43 USD per share after a fall of 0.14%. The highest weekly close was 182.79 USD.
Analysts at top brokerage, GSI Markets, recommend trading IBM stock during this period. IBM stock jumped in value from 166.81 on Jan. 19th to 178.66 on Jan. 26th after releasing earnings. Speak to a professional trader at GSI Markets to learn how they make the most profits on their trades.
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