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International Business Machines (IBM) FY2017 results: revenue $79.1 billion, down 1.0% on the year

International Business Machines Corp. (IBM) reported revenue of $79.1 billion for fiscal 2017, the year ended 31 December 2017, down 1.0% on the year before. Net income was $5.8 billion, down 51.5%, and diluted earnings per share $6.14. The figures are the company's own, from the 10-K it filed with the SEC on 27 February 2018.

Revenue
$79.1 billion
-1.0% on the year
FY2010FY2017
Operating margin
n/a
FY2010FY2017
Net income
$5.8 billion
-51.5% on the year
FY2010FY2017
Diluted EPS
$6.14
-50.4% on the year
FY2010FY2017

this yearthe year beforeHover a bar for its figure.

The year in brief

Income statement (profit and loss)

$ millionFY2017FY2016FY2015On the yearLast 8 years
Revenue79,13979,91981,741-1.0%
Cost of revenue42,19641,40341,057+1.9%
Gross profit36,94338,51640,684-4.1%
Gross margin46.7%48.2%49.8%
Research and development5,5905,7265,247-2.4%
Selling, general and administrative19,68020,86920,430-5.7%
Interest expense615630468-2.4%
Pre-tax income11,40012,33015,945-7.5%
Income tax5,6424492,581+1,156.6%
Effective tax rate49.5%3.6%16.2%
Net income5,75311,87213,190-51.5%
Net margin7.3%14.9%16.1%
Diluted EPS$6.14$12.38$13.42-50.4%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2017FY2016FY2015On the yearLast 8 years
Operating cash flow16,72417,08417,255-2.1%
Capital expenditure3,2293,5673,579-9.5%
Free cash flow13,49513,51713,676-0.2%
Free cash flow margin17.1%16.9%16.7%
Cash from investing-7,081-10,928-8,159
Cash from financing-6,418-5,917-9,413
Depreciation and amortisation4,5414,3813,855+3.7%
Share-based compensation534544468-1.8%
Buybacks4,3403,5024,609+23.9%
Dividends paid5,5065,2564,897+4.8%
Dividend per share$5.90$5.50n/a+7.3%
Diluted shares, weighted937m959m983m-2.2%
Shares outstanding at period end922m946m966m-2.5%

Balance sheet

$ millionFY2017FY2016FY2015On the yearLast 8 years
Shareholders' equity17,59418,24614,262-3.6%
Non-controlling interest131146162-10.3%
Debt46,82442,16839,889+11.0%
Other liabilities60,80756,91056,182+6.8%
Total liabilities and equity125,356117,470110,495+6.7%
Fixed assets11,11610,83010,727+2.6%
Goodwill36,78836,19932,021+1.6%
Intangible assets3,7424,6883,487-20.2%
Investments619709516-12.7%
Cash and equivalents11,9727,8267,686+53.0%
Receivables8,9289,1828,333-2.8%
Inventory1,5831,5531,551+1.9%
Other assets50,60846,48346,174+8.9%
Total assets125,356117,470110,495+6.7%

10-K for the year ended 31 December 2017, filed 27 February 2018: the filing.