“In terms of profit, we now expect a little over 1/3 of our operating net income in the first half and just under 2/3 in the second half.”

In context

“er, the dollar has strengthened over the last 90 days. We now expect currency translation to be fairly neutral to our revenue growth for the year, which is about 0.5 point worse than 90 days ago. I'll remind you that our profit and cash dynamics this year are impacted by the unwinding of last year's hedging gain, which is about 1 point of headwind to our pre-tax margin expansion. Looking at the second quarter, we expect first to second quarter revenue seasonality to be fairly consistent with last year. That's up about $1.3 billion, though the underlying dynamics are different due primarily to z Systems' product cycle and currency. I'll remind you, we had a successful launch of our z16 in the second quarter of last year, and that creates a year-to-year headwind to growth of about 3 points. In terms of profit, we now expect a little over 1/3 of our operating net income in the first half and just under 2/3 in the second half. This reflects a first half headwind from currency and workforce rebalancing dynamics, both of which flip to a tailwind in the second half. I mentioned the workforce rebalancing activity we have underway. Between the first and second quarter, the charge should be in the range of $300 million, maybe a little more. We still expect this action to pay back by the end of the year. In closing, we entered the year as a more focused business with solid fundamentals. We had a good start to 2023 and are positioned to deliver revenue growth, expand margins and grow free cash flow for the year. I'm happy to provide more color on the quarter and our expectations in the Q&A. Patricia, let's get started. Patricia Murphy: Thank you, Jim. Before we begin the Q&A, I'd like to mention a couple of items. Firs”