MAAT INDEX

CLAIM #31024 · IBM (IBM) · 2023Q1 earnings call · Apr 19, 2023 · due Dec 31, 2023

For the full year, we think of our mid-single-digit model might be a couple of points.

James J. Kavanaugh · CFO

PENDING
graded after results covering Dec 31, 2023 are reported

In context

get a sticker shock right away. But over time, that is, I think, the nature of inflation, if I remember my college economics lessons. James Kavanaugh : I would just add one thing. It goes without saying as Arvind continues to coach me, pricing optimization is always a direct reflection of the value that you have and the differentiation you have within your offering portfolio overall. So we talked about the consulting side. By the way, fourth consecutive quarter of nice improvement on price margins. You're seeing that play out in the gross margin up 90 basis points. But our software-based portfolio, where we do have differentiation overall, we talked about 90 days ago, right, we had some price optimization. You're seeing some of that play. And in the first quarter, probably about 1 point. For the full year, we think of our mid-single-digit model might be a couple of points. So somewhere in that ballpark, David. Patricia Murphy: Let’s take one more question, Sheila. Operator: Our last question will come from Kyle McNealy with Jefferies. Kyle McNealy : I wonder if you could talk a little bit about your opportunity with AI, whether you're doing anything different with your business now versus the past few years. Do you have any new standalone AI products that you're launching that you could use to help reaccelerate in data and AI? I know that products go across the whole business, but some reacceleration in data and AI software products would be great. And what areas of the business do you see the most near-term opportunity, whether it's end-to-end applications or foundational models or infrastructure like the Vela cloud-native supercomputer you just announced

Verify independently

SEC filings for IBM · Claim quote is verbatim from the 2023Q1 earnings call.