IBM has reported fourth consecutive quarter of revenue decline in its last results before it has to include Red Hat.
Sales for the three months ending 30 June 2019 declined 4.2 percent year on year, with IBM’s systems division taking the most significant income drop at 19.5 percent.
Global Business Services, along with Cloud and Cognitive Software, were the only two of IBM’s six units to report an increase in sales. Revenue generated from Cloud and Cognitive Software was up 3.2 percent year on year, with Global Business Services up 0.5 percent.
IBM CEO Ginni Rometty said that the results are proof of IBM’s continuing transition away from its legacy hardware business and towards emerging technologies.
“In the second quarter, we continued to grow in the high-value areas of the business, led by a strong performance across our Cloud and Cognitive Software segment. With the completion of our acquisition of Red Hat, we will provide the only true open hybrid multi-cloud platform in the industry, strengthening our leadership position and uniquely helping clients to succeed in chapter two of their digital reinventions.”
