International Business Machines (IBM) FY2020 results: revenue $55.2 billion, down 4.4% on the year
International Business Machines Corp. (IBM) reported revenue of $55.2 billion for fiscal 2020, the year ended 31 December 2020, down 4.4% on the year before. Net income was $5.6 billion, down 40.7%, and diluted earnings per share $6.23. The figures are the company's own, from the 10-K it filed with the SEC on 23 February 2021.
Revenue
$55.2 billion
-4.4% on the year
FY2013FY2020
Operating margin
n/a
FY2013FY2020
Net income
$5.6 billion
-40.7% on the year
FY2013FY2020
Diluted EPS
$6.23
-41.0% on the year
FY2013FY2020
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Revenue
55,179
57,714
79,591
-4.4%
Cost of revenue
24,314
26,181
42,655
-7.1%
Gross profit
30,865
31,533
36,936
-2.1%
Gross margin
55.9%
54.6%
46.4%
Research and development
6,262
5,910
5,379
+6.0%
Selling, general and administrative
20,561
18,724
19,366
+9.8%
Interest expense
1,288
1,344
723
-4.2%
Pre-tax income
2,572
7,206
11,342
-64.3%
Income tax
-1,360
60.0
2,619
Effective tax rate
-52.9%
0.8%
23.1%
Net income
5,590
9,431
8,728
-40.7%
Net margin
10.1%
16.3%
11.0%
Diluted EPS
$6.23
$10.56
$9.52
-41.0%
$ 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
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Operating cash flow
18,197
14,770
15,247
+23.2%
Capital expenditure
2,618
2,286
3,395
+14.5%
Free cash flow
15,579
12,484
11,852
+24.8%
Free cash flow margin
28.2%
21.6%
14.9%
Cash from investing
-3,028
-26,936
-4,913
Cash from financing
-9,721
9,042
-10,469
Depreciation and amortisation
6,695
6,059
4,480
+10.5%
Share-based compensation
937
679
510
+38.0%
Buybacks
n/a
1,361
4,443
Dividends paid
5,797
5,707
5,666
+1.6%
Dividend per share
$6.51
$6.43
$6.21
+1.2%
Diluted shares, weighted
897m
893m
916m
+0.4%
Shares outstanding at period end
893m
887m
892m
+0.6%
Balance sheet
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Shareholders' equity
20,597
20,841
16,796
-1.2%
Non-controlling interest
129
144
134
-10.4%
Debt
61,333
62,899
45,812
-2.5%
Operating lease liabilities
2,720
3,879
n/a
-29.9%
Finance lease liabilities
60.0
n/a
n/a
Other liabilities
71,132
64,423
60,640
+10.4%
Total liabilities and equity
155,971
152,186
123,382
+2.5%
Fixed assets
6,205
10,010
10,792
-38.0%
Goodwill
53,765
52,471
36,265
+2.5%
Intangible assets
13,739
15,235
3,087
-9.8%
Investments
600
696
618
-13.8%
Cash and equivalents
13,212
8,172
11,379
+61.7%
Receivables
5,790
7,870
7,432
-26.4%
Inventory
1,812
1,619
1,682
+11.9%
Other assets
60,848
56,113
52,127
+8.4%
Total assets
155,971
152,186
123,382
+2.5%
10-K for the year ended 31 December 2020, filed 23 February 2021: the filing.