IBM: Fiscal 3Q19 Financial Results
Storage hardware revenue inexorably declining, for 5 quarters in a row
This is a Press Release edited by StorageNewsletter.com on October 17, 2019 at 2:23 pmIBM Corp. reports 3Q19 financial results ended September 30, 2019.
Total revenue of $18.0 billion was down 3.9% Y/Y, even with the addition of acquired company Red Hat.
It was about the same decrease in systems storage hardware business: -4% Y/Y at around $434 million (-6% GAAP), declining during five quarters in a row.
It was down 21% Y/Y for the former quarter, worst figure since 1FQ14.
Big Blue’s only comment: “In storage, revenue was down 4%. This is an improvement in the Y/Y performance compared to recent quarters, driven by our high-end, and growth in all-flash array. We’re focused on continued innovation in storage, and we announced the next generation high-end system, DS8900, together with the mainframe in mid-September.”
For the year, IBM’s storage sales will be not be much higher than revenue of a company like Pure Storage, in AFA only. Big Blue entered in storage in the fiftieth and Pure was founded only ten years ago.
Revenue Growth of IBM Storage Products
| Fiscal period |
Y/Y growth |
| 4Q11 | -1% |
| 1Q12 | -4% |
| 2Q12 |
-4% |
| 3Q12 | -10% |
| 4Q12 | -5% |
| 1Q13 | -11% |
| 2Q13 | -7% |
| 3Q13 | -11% |
| 4Q13 | -13% |
| 1Q14 | -23% |
| 2Q14 | -12% |
| 3Q14 | -6% |
| 4Q14 | -8% |
| 1Q15 | -4% |
| 2Q15 | -10% |
| 3Q15 | -19% |
| 4Q15 | -11% |
| 1Q16 | -6% |
| 2Q16 | -13% |
| 3Q16 | -9% |
| 4Q16 | -10% |
| 1Q17 | 7% |
| 2Q17 | 8% |
| 3Q17 | 4% |
| 4Q17 | 8% |
| 1Q18 | -15% |
| 2Q18 |
2% |
| 3Q18 | -6% |
| 4Q18 |
-7% |
| 1Q19 |
-11% |
| 2Q19 |
-21% |
| 3Q19 |
-4% |
To read the earnings call transcript
Subscribe to our free daily newsletter
