What is International Business Machines's weighted-average discount rate?

International Business Machines (IBM) reported weighted-average discount rate of $0.05 in Q4 2025.

What is the long-term trend for International Business Machines's weighted-average discount rate?

Over 3 years (2022 to 2025), International Business Machines's weighted-average discount rate has grown at a 12.4% compound annual growth rate (CAGR), from $0.04 to $0.05.

What does weighted-average discount rate mean?

The average interest rate applied to calculate the present value of the company's lease obligations.

Discontinued — last reported Q2 '20

Weighted-Average Discount Rate

Other

International Business Machines Weighted-Average Discount Rate increased by 3.3% to $0.05 in Q4 2025 compared to the prior quarter. Over 3 years (FY 2022 to FY 2025), Weighted-Average Discount Rate shows an upward trend with a 12.4% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementBalance Sheet Statement

SectionOther

CategoryProfitability

SignalLower is better

VolatilityModerate

First reportedQ4 2019

Last reportedQ2 2020

How to read this metric

An increase in this rate may reflect higher market interest rates or a change in the company's credit risk profile, increasing the cost of new leases.

Detailed definition

This is the average interest rate used to calculate the present value of lease liabilities. It reflects the company's in...

Peer comparison

Reflects broader market interest rate environments and the company's specific creditworthiness.

Metric ID: weighted_average_discount_rate

Historical Data

4 periods

	Q4 '22	Q4 '23	Q4 '24	Q4 '25
Value	$0.04	$0.04	$0.05	$0.05
QoQ Change	—	+24.9%	+10.1%	+3.3%
YoY Change	—	+24.9%	+10.1%	+3.3%

Range$0.04 – $0.05

Avg YoY Growth+12.8%

Median YoY Growth+10.1%

Current Streak3+ quarters growth

Frequently Asked Questions

What is International Business Machines's weighted-average discount rate?: International Business Machines (IBM) reported weighted-average discount rate of $0.05 in Q4 2025.
What is the long-term trend for International Business Machines's weighted-average discount rate?: Over 3 years (2022 to 2025), International Business Machines's weighted-average discount rate has grown at a 12.4% compound annual growth rate (CAGR), from $0.04 to $0.05.
What does weighted-average discount rate mean?: The average interest rate applied to calculate the present value of the company's lease obligations.