IBM’s revenue fell in the second quarter of 2016, but the company recorded growth in some of its strategic initiatives such as Cloud Computing and Analytics. The company stated that revenue from Cloud, Analytics and security rose by 12 per cent year on year, reaching $8.3 billion. This increase was, however, lower than in the first quarter.
In the second quarter, revenue in the public, private and hybrid Cloud segment grew by 30 per cent, in the analytics segment by 4 per cent, in mobile by 43 per cent and in the security segment by 18 per cent.
“Over the last 12 months – said Martin Schroeter, Senior Vice President and CFO of IBM – strategic imperatives have come close to $31 billion in revenue, and now represent 38 per cent of our revenue”.
The gains from the new businesses did not offset declines in other segments. As a result, IBM’s global revenue for the quarter, amounting to $20 billion, fell by 3 per cent. Profit was $2.5 billion, down 29 per cent year on year.
