MAAT INDEX

CLAIM #31370 · IBM (IBM) · 2026Q1 earnings call · Apr 22, 2026 · due Dec 31, 2026

Since 2023, this has driven $4.5 billion of productivity savings, with an additional $1 billion expected in 2026.

James J. Kavanaugh · CFO

PENDING
graded after results covering Dec 31, 2026 are reported

How to check this claim

Look at: Cumulative internal productivity savings from enterprise transformation program, as disclosed by management (incremental savings for FY2026)

It came true if: Management-disclosed FY2026 incremental productivity savings >= $1 billion (i.e., cumulative since 2023 total >= $5.5 billion)

Where: Management commentary on earnings calls (Q4 2026 / FY2026 call) or investor presentations

In context

I is now firmly integrated across our consulting engagements, representing about 30% of our backlog. This reflects how generative AI has become embedded in the work we do. Our differentiated asset-led delivery model continues to drive productivity and speed to value, combining deep domain expertise with software automation and reusable assets to help clients deploy AI securely and at scale. Let me now discuss profitability. Several years ago, we set an ambitious objective to reinvent our enterprise operations for greater speed, lower friction and structurally lower cost. Through disciplined execution, eliminating manual touch points, simplifying processes and applying data, automation and AI at scale, we have built a proven repeatable AI-enabled transformation engine that is accelerating. Since 2023, this has driven $4.5 billion of productivity savings, with an additional $1 billion expected in 2026. Our success is enabling us to accelerate investments in innovation, strengthen our competitive advantage as [ client zero ] and fuel our growth flywheel while expanding our margins. You can see this in the results this quarter with productivity revenue scale and mix driving expansion of operating gross profit margin by 110 basis points, adjusted EBITDA margin by 170 basis points and operating pretax margin by 140 basis points, all ahead of expectations. Segment profit margins expanded by 720 basis points in infrastructure and 60 basis points in software. Consulting segment profit margin declined modestly, reflecting currency headwinds from geographic mix of the business and the reinvestment of productivity gains amid an improving demand environment. In the quarter, we generated $2.2 billi

Verify independently

SEC filings for IBM · Claim quote is verbatim from the 2026Q1 earnings call.