Business Segments · Segment profit

Software — Segment profit

International Business Machines Software — Segment profit increased by 13.6% to $2.10B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 13.6%, from $1.85B to $2.10B. This is a positive signal — higher values indicate stronger performance for this metric.

Analysis

StatementSegment
CategoryProfitability
SignalHigher is better
VolatilityModerate
First reportedQ1 2019
Last reportedQ1 2026
Rolls up toPre-Tax Income

How to read this metric

Higher profit indicates strong pricing power and effective cost management within the software division.

Detailed definition

The operating income generated by the software segment after deducting direct costs and allocated operating expenses. It...

Peer comparison

Standard 'Segment Operating Income' reported by most diversified public corporations.

Metric ID: ibm_segment_software_segment_profit

Historical Data

15 periods
 Q2 '21Q3 '21Q4 '21Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q1 '24Q2 '24Q3 '24Q1 '25Q1 '26
Value$1.06B$990.00M$2.02B$1.13B$1.38B$1.31B$2.35B$1.16B$1.50B$1.49B$1.50B$2.11B$1.97B$1.85B$2.10B
QoQ Change-6.5%+103.5%-43.7%+21.3%-5.0%+79.7%-50.4%+29.2%-1.2%+0.9%+40.9%-6.8%-6.2%+13.6%
YoY Change+29.8%+31.9%+16.5%+2.6%+9.4%+13.8%+28.9%+40.5%+32.5%+23.1%+13.6%
Range$990.00M$2.35B
CAGR+21.6%
Avg YoY Growth+22.1%
Median YoY Growth+23.1%

Frequently Asked Questions

What is International Business Machines's software — segment profit?
International Business Machines (IBM) reported software — segment profit of $2.10B in Q1 2026.
How has International Business Machines's software — segment profit changed year-over-year?
International Business Machines's software — segment profit increased by 13.6% year-over-year, from $1.85B to $2.10B.
What does software — segment profit mean?
The profit earned by the software business unit before corporate taxes and interest.