IBM reported stronger-than-anticipated third-quarter 2025 outcomes, surpassing revenue, earnings, and free cash flow expectations.
The company’s revenue grew 9% year-over-year to $16.3 billion as it registered increases in all its large business segments, software by 10%, consulting by 3%, and infrastructure by 17%.
IBM’s book of business in AI has increased to $9.5 billion, reflecting strong global demand for its hybrid cloud and AI solutions.
Chairman and CEO Arvind Krishna said IBM’s performance shows the company’s leadership in helping businesses use AI to drive productivity and real business outcomes.
On the strength of the quarter, IBM raised its full-year guidance to more than 5% constant currency revenue growth and free cash flow of around $14 billion for 2025.
The company also announced a quarterly dividend of $1.68 per share, marking more than a century of consecutive dividend payments.
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