IBM entered 6,200 million dollars with the hybrid cloud in the last three months of 2021

IBM entered 6,200 million dollars with the hybrid cloud in the last three months of 2021

In its first earnings call after spinning off its Managed Services division and turning it into Kyndryl , an independent company, IBM confirmed that it made $6.2 billion in revenue from its hybrid cloud business alone between October and December 2019. 2021 , 16% more than in the last three months of 2020. Throughout the year, the company has entered 20.2 billion thanks to the hybrid cloud, 20% more than in 2020.

In total, in the fourth quarter of 2021, IBM reported revenue of $16.7 billion, up 6.5% year-over-year, and earned $3.35 per share.

The company has changed information about its divisions. Thus, from now on it will reveal its results grouped into Software, which includes the areas of Solutions and Hybrid Platform and Transaction Process; Consulting, which groups Business Transformation, Technological Consulting and Application Operations; Infrastructure, which includes Infrastructure Support and Hybrid Infrastructure; and Finance, which includes company and client financing.

In the last quarter of 2021, Software has entered 7.30 million dollars, 8.2% more. Within this division, the Hybrid Platform and Solutions area is up 7% in revenue, with Red Hat improving 19%, Automation 13% and Data & Artificial Intelligence 1%. Additionally, Transaction Processing improved 11% and Hybrid Cloud Software improved 22%. Meanwhile, the Security area had 3% less income.

Between October and December 2021, the IBM Consulting division entered 4,700 million dollars, 13.1% more. Within this category, the Business Transformation area improved revenue by 18%, and the Technology Consulting area by 14%. Application operations entered 6% and the consulting segment corresponded to the hybrid cloud had revenues higher by 31% than in the same period of 2020.

In total, infrastructure revenues reached 4.4 billion dollars, 0.2% less. In this category, the Hybrid Infrastructure area maintained the same level of revenue as in the last quarter of 2020. As for IBM Z sales, its revenue fell by 65%. Lastly, Distributed Infrastructure revenues rose 5%. In addition, Infrastructure Support grew 1% in revenue, while Hybrid Cloud Infrastructure segment revenue fell 12%. Finally, the IBM Finance area recorded revenues of 200 million dollars, 29.4% less.

IBM CEO Arvind Krishna noted that the company increased “ revenue in the fourth quarter, with hybrid cloud adoption driving growth in software and consulting. Our fourth quarter results give us confidence in our ability to reach our targets for sustained revenue growth of between 4% and 6% and strong cash flow in 2022. ”

For his part, IBM’s CFO, James Kavanaugh , has pointed out that ” in 2021, we continue to invest for the future by increasing investment in research and development, expanding our ecosystem and buying 15 companies to strengthen our Artificial Intelligence and hybrid cloud capabilities “.

Rachel Maga
Rachel Maga is a technology journalist currently working at Globe Live Media agency. She has been in the Technology Journalism field for over 5 years now. Her life's biggest milestone is the inside tour of Tesla Industries, which was gifted to her by the legend Elon Musk himself.