“Our revenue growth drives operating leverage with software pre-tax margin expected to expand 1.5 points to 2 points year-to-year.”

In context

“ur productivity initiatives. That's consistent with our view 90-days ago and in line with our model. We're also maintaining our view of our tax rate for the year, which is in the mid-to-high teens range. And then finally, while there has been some volatility in currency rates over the last couple of weeks, at current spot rates, currency translation is still expected to be fairly neutral to our revenue growth for the year. I'll remind you that our profit and cash dynamics this year are impacted by the rap on last year's hedging gains, which is about 1 point of headwind to our pre-tax margin expansion. In terms of segment dynamics, in software, we had a good first half and now expect revenue growth at the high end of software's mid-single-digit model. This is all-in including acquisitions. Our revenue growth drives operating leverage with software pre-tax margin expected to expand 1.5 points to 2 points year-to-year. In consulting, we’ve reposition our business to address today's clients' needs. What we saw in the second quarter didn't change our view of the year. We continue to expect consulting revenue growth in the range of 6% to 8%. And to expand consulting pre-tax margin by at least 1 point. And then for infrastructure, as I described in the past, revenue is roughly flat over the mid-term model horizon, with performance in any year reflecting product cycle dynamics. In the second quarter, we have wrapped on the z16 introduction in a seasonally strong quarter. For the year as you expect 2023 infrastructure revenue will decline, impacting IBM's overall revenue growth by over 1 point. We continue to expect pre-tax margin in the low-teens. Our expectations for 2023 reflect a higher-growth, higher-val”