International Business Machines Corporation IBM

225.51 (1.55) (0.68%) as of 25 Sep
Market cap
$214.4B
P/E
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International Business Machines Corporation (IBM) Gross margin

International Business Machines Corporation's gross margin over the twelve months to 30 June 2026 was 58.1%, down 0.1 percentage points from fiscal 2025 (58.2%). Over the past ten years it has ranged from 46.4% (fiscal 2018) to 58.2% (fiscal 2025) — the current reading is the highest in ten years. That is above the Information Technology Services industry median of 31.1% and above the Technology sector median of 47.2%.

Gross margin, annual

Annual

Period Gross margin Change (points)
FY2025 58.2% 1.54
FY2024 56.7% 1.20
FY2023 55.5% 1.45
FY2022 54.0% (0.90)
FY2021 54.9% (1.04)
FY2020 55.9% 1.30
FY2019 54.6% 8.23
FY2018 46.4% (0.27)
FY2017 46.7% (1.52)
FY2016 48.2% (1.57)

Quarterly

Period Gross margin Change (points)
Jun 2026 57.7% 1.50
Mar 2026 56.2% (4.36)
Dec 2025 60.6% 3.27
Sep 2025 57.3% (1.45)
42 more quarters

Against its own ten years

Low 46.4% High 58.2%
Ten-year median 54.6%
Current reading's percentile 100

Gross margin against peers

Company Gross margin
IBM International Business Machines Corporation 58.1%
FISV Fiserv, Inc. compare 55.4%
FIS Fidelity National Information Services, Inc. compare 36.0%
CTSH Cognizant Technology Solutions Corporation compare 33.4%
ACN Accenture PLC compare 32.0%
BR Broadridge Financial Solutions, Inc. compare 31.8%
INFY American Noble Gas Inc. compare 30.3%
WIT Wipro Limited compare 29.0%
CDW CDW Corporation compare 21.4%
Information Technology Services industry median 31.1%
Technology sector median 47.2%
Market median 46.3%

What Gross margin is

Gross Margin tells an investor how much of each sale a company keeps after paying the direct costs of making or buying what it sells.

Gross Profit ÷ Revenue

The full definition of Gross margin →

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