The tech giant reported modest mid-single digit growth across segments, which was offset by slightly lower gross margins. While revenue growth was in line with our expectations, profit margins were lower than our estimates as well as market estimates. In terms of positives, IBM reported growth in mature revenue streams such as Global Business Services and Technology Services & Cloud Platforms. As a result of high operating expenses through the quarter and lower gross margins, both operating income (non-GAAP) and net income were flat over the comparable prior year period. If you think differently, you can change expected segment revenue, EBITDA margin and net income margin for IBM to gauge how changes will impact its expected EPS.

Source: Forbes April 18, 2018 16:30 UTC