IBM announced its first-quarter 2016 earnings on April 18, 2016. IBM reported $18.7 billion of revenues and $2.0 billion of net income. This may be the worst quarterly performance for IBM top-line (revenues) and bottom-line (net income). The following three charts explain it.
1. Q1 2016 is the weakest first quarter for IBM in terms of revenues during the last 14 years. IBM’s first-quarter revenues during all the previous years since 2002 have been higher than Q1 2016 revenues.
2. IBM quarterly revenues have continued to witness negative year-on-year growth for the last 16 consecutive quarters.
3. Q1 2016 is the weakest first quarter for IBM in terms of net income during the last 9 years. IBM’s first-quarter net income during all the previous years since 2007 has been higher than Q1 2016 net income.
