International Business Machines Corporation · NYSE:IBM
International Business Machines — Q2 2019 Earnings Presentation
8 slides from International Business Machines's earnings presentation, Jul 18, 2019
Slide 1: IBM 2Q 2019 Earnings Non-GAAP Supplemental Material
IBM 2Q 2019 Earnings July 17, 2019 ibm.com/investor 1 Non-GAAP Supplemental Material
Slide 2: Reconciliation of Operating Earnings Per Share
2019 Full-Year Expectations (as of second quarter 2019, prior to the completion of Red Hat acquisition) GAAP Diluted EPS at least $12.45 Operating EPS (Non-GAAP) at least $13.90 Adjustments Acquisition-Related Charges* $0.76 Non-Operating Retirement-Related Items $0.45 Tax Reform Enactment Impacts $
Slide 3: Reconciliation of Revenue Performance - 2Q 2019
3 GAAP @CC Global Technology Services (7%) (4%) Infrastructure & Cloud Services (7%) (4%) Technology Support Services (5%) (2%) Cloud 2% 5% Systems (19%) (18%) Systems Hardware (24%) (23%) IBM Z (42%) (41%) Power 1% 3% Storage (22%) (21%) Operating Systems Software 1% 3% Cloud (17%) (16%) Global Fin
Slide 4: Reconciliation of Revenue Performance - 2Q 2019 & Last 12 Months
4 GAAP @CC Americas (4%) (3%) Europe/ME/Africa (4%) 1% Asia Pacific (4%) (2%) 2Q19 Yr/Yr Reconciliation of Revenue Performance - 2Q 2019 & Last 12 Months Non-GAAP Supplemental Materials The above reconciles the Non-GAAP financial information contained in the “Additional Revenue Information” and “2Q
Slide 5: Reconciliation of Expense Summary - 2Q 2019
5 Non-GAAP Operating GAAP Adjustments (Non-GAAP) SG&A Currency 3 pts 0 pts 3 pts Acquisitions 0 pts 0 pts 0 pts Base * (15 pts) 0 pts (15 pts) RD&E Currency 1 pts 0 pts 1 pts Acquisitions 0 pts 0 pts 0 pts Base * (4 pts) 0 pts (4 pts) Operating Expense & Other Income Currency 4 pts 0 pts 4 pts Acqui
Slide 6: Reconciliation of Free Cash Flow - Last 12 Months
6 12 Months Ended Jun 2019 Net Cash from Operating Activities per GAAP: $16.1 Less: change in Global Financing (GF) Receivables $0.5 Net Cash from Operating Activities (Excluding GF Receivables) $15.6 Capital Expenditures, Net ($2.9) Free Cash Flow (Excluding GF Receivables) $12.7 Reconciliation of
Slide 7: Reconciliation of Free Cash Flow Realization - Last 12 Months
7 LTM Excluding LTM Tax Reform* Free Cash Flow Realization 146% 118% Reconciliation of Free Cash Flow Realization-Last 12 Months Non-GAAP Supplemental Materials The above reconciles the Non-GAAP financial information contained in the “Key Metrics”, “Cash Flow and Balance Sheet Highlights” and “2Q Pr
Slide 8: ibm.com/investor
8 ibm.com/investor
International Business Machines — Q2 2019 Earnings Presentation on 6ix