IBM BEATS Q1 ESTIMATES, STOCK FALLS 6%

AI DESK■ 1 MIN READ

WED, APR 22, 2026

■ AI-SUMMARIZED FROM 1 SOURCE ▸ TIMELINE

IBM reported first-quarter revenue of $15.92 billion, exceeding analyst estimates of $15.62 billion, with software revenue climbing 11% to $7.05 billion. Despite the beat and maintained full-year guidance, shares dropped 6% in after-hours trading.

The hardware, software, and consulting giant posted a 9% year-over-year revenue increase for the quarter. Software revenue growth of 11% outpaced overall company growth, reflecting IBM's ongoing pivot toward higher-margin business segments. The company maintained its forward guidance for fiscal year 2026, signaling confidence in its strategic direction. However, investors reacted negatively to the results, with the stock declining in extended trading following the announcement. The after-hours decline suggests market expectations may have extended beyond the reported beat on revenue estimates. IBM's ability to sustain software momentum and meet full-year targets will be closely watched by analysts and investors in coming quarters.

■ SOURCES

► Techmeme

■ SUMMARY WRITTEN BY AI FROM THE LINKS ABOVE

■ MORE FROM THE BIG TECH DESK

P698US BLOCKS FOREIGN DRONES, BUT CHINA'S SCALE SHIFTS COMPETITION

The U.S. is tightening restrictions on foreign-made drones and robots to protect domestic interests. China's manufacturing advantage means restricted markets may simply relocate elsewhere rather than shift to American producers.

4H AGO— Industry Desk

P691MARKIPLIER BECOMES GOPRO'S LARGEST SHAREHOLDER

YouTube creator Markiplier has acquired a controlling stake in GoPro, making him the company's largest shareholder. The move signals the content creator's confidence in the camera manufacturer's potential.

8H AGO— Industry Desk

P682ABBOTT FREEZES FLOCK CAMERA FUNDING IN TEXAS

Texas Governor Greg Abbott has halted state spending on Flock's AI surveillance cameras amid growing bipartisan backlash. The freeze comes as a Texas Tribune investigation revealed the state spent over $30 million on the technology.

15H AGO— Industry Desk

P681GOOGLE MAPS RELABELS LAKE ONTARIO AS 'LAKE AMERICA'

Google Maps has changed the label for Lake Ontario to "Lake America" for US users following President Donald Trump's proposal to rename the lake during trade negotiations with Canada.

16H AGO— Industry Desk

◄ BACK TO NEWS

IBM BEATS Q1 ESTIMATES, STOCK FALLS 6%

■ MORE FROM THE BIG TECH DESK

■ SUBSCRIBE TO THE DAILY BRIEF