International Business Machines Corp (IBM) 2019 Q1 法說會逐字稿

完整原文

使用警語:中文譯文來源為 Google 翻譯,僅供參考,實際內容請以英文原文為主

  • Operator

    Operator

  • Welcome, and thank you for standing by.

    歡迎,感謝您的支持。

  • (Operator Instructions) Today's conference is being recorded.

    (操作員說明)正在錄製今天的會議。

  • If you have any objections, you may disconnect at this time.

    如果您有異議,此時您可以斷開連接。

  • Now I will turn the meeting over to Ms. Patricia Murphy with IBM.

    現在我將會議轉交給 IBM 的 Patricia Murphy 女士。

  • Ma'am, you may begin.

    女士,您可以開始了。

  • Patricia Murphy - VP of IR

    Patricia Murphy - VP of IR

  • Thank you.

    謝謝。

  • This is Patricia Murphy, Vice President of Investor Relations for IBM, and I want to welcome you to our first quarter 2019 earnings presentation.

    我是 IBM 投資者關係副總裁 Patricia Murphy,歡迎大家觀看我們 2019 年第一季度的收益演示。

  • I'm here with Jim Kavanaugh, IBM's Senior Vice President and Chief Financial Officer.

    我和 IBM 的高級副總裁兼首席財務官 Jim Kavanaugh 一起來了。

  • We'll post today's prepared remarks on the IBM Investor website within a couple of hours, and a replay will be available by this time tomorrow.

    我們將在幾個小時內在 IBM Investor 網站上發布今天準備好的評論,明天這個時候將提供重播。

  • Some comments made in this presentation may be considered forward-looking under the Private Securities Litigation Reform Act of 1995.

    根據 1995 年《私人證券訴訟改革法案》,本演示文稿中的某些評論可能被視為前瞻性的。

  • Those statements involve factors that could cause our actual results to differ materially.

    這些陳述涉及可能導致我們的實際結果出現重大差異的因素。

  • Additional information about these factors is included in the company's SEC filings.

    有關這些因素的更多信息包含在公司提交給美國證券交易委員會的文件中。

  • Our presentation also includes non-GAAP measures to provide additional information to investors.

    我們的演示文稿還包括非 GAAP 措施,以向投資者提供額外信息。

  • We've provided reconciliation charts at the end of the presentation and in the 8-K submitted to the SEC.

    我們在演示文稿末尾和提交給 SEC 的 8-K 中提供了對帳圖表。

  • Before turning the call over to Jim, I want to remind you we've recently made changes to our management system and our organizational structure.

    在將電話轉給 Jim 之前,我想提醒您,我們最近對我們的管理系統和組織結構進行了更改。

  • Our segment reporting for 2019 has been updated to reflect this business structure.

    我們更新了 2019 年的分部報告以反映這種業務結構。

  • We provided 2 years of historical financial information by quarter on these segments a couple of weeks ago, and this can be found on our Investor website.

    幾週前,我們按季度提供了這些細分市場 2 年的歷史財務信息,這些信息可以在我們的投資者網站上找到。

  • And today, we'll be discussing our first quarter results in this new segment structure.

    今天,我們將討論我們在這個新的細分結構中的第一季度業績。

  • So with that, I'll turn the call over to Jim.

    因此,我會把電話轉給吉姆。

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Thanks, Patricia, and thanks to all of you for joining us.

    謝謝,Patricia,也感謝大家加入我們。

  • In the first quarter, we delivered $18.2 billion of revenue with significant operating leverage.

    第一季度,我們以顯著的運營槓桿實現了 182 億美元的收入。

  • We delivered $2.2 billion of operating pretax income and $2.25 of operating earnings per share, and we've now generated over $12 billion of free cash flow over the last year with realization well over 100%.

    我們實現了 22 億美元的稅前營業收入和 2.25 美元的每股營業收入,我們現在在去年產生了超過 120 億美元的自由現金流,實現率遠高於 100%。

  • We had strong performance in offerings that help clients with their digital transformations and journeys to cloud.

    我們在幫助客戶進行數字化轉型和雲之旅的產品方面表現出色。

  • At the same time, we continue to take actions to optimize our portfolio while investing to lead in the emerging, high-value areas of the IT industry.

    與此同時,我們繼續採取行動優化我們的產品組合,同時投資於 IT 行業新興的高價值領域。

  • You saw this play out in our results.

    您在我們的結果中看到了這一點。

  • Our cloud growth accelerated to 12% at constant currency.

    按固定匯率計算,我們的雲增長加速至 12%。

  • Our Cloud & Cognitive Software was up 2%, and our consulting revenue was up 9%, also both at constant currency.

    我們的雲和認知軟件增長了 2%,我們的諮詢收入增長了 9%,兩者均按固定匯率計算。

  • We had significant margin expansion with operating gross margin up 90 basis points driven by both services segments, and we had solid free cash flow.

    在這兩個服務部門的推動下,我們的利潤率顯著增長,營業毛利率上升了 90 個基點,並且我們擁有穩定的自由現金流。

  • Improving margin has been a focus for us, and our performance this quarter is the result of actions we've been taking not only our focus on higher value and portfolio optimization, but also driving productivity and operational efficiency, especially in our services business.

    提高利潤率一直是我們關注的焦點,我們本季度的業績是我們採取行動的結果,我們不僅關注更高的價值和投資組合優化,而且還提高生產力和運營效率,尤其是在我們的服務業務中。

  • With this start to the year, we are maintaining our full year expectations for operating earnings per share and free cash flow.

    今年年初,我們維持對每股營業收益和自由現金流的全年預期。

  • In the first quarter, our revenue was down less than a point year-to-year at constant currency, slightly better than our fourth quarter performance.

    第一季度,按固定匯率計算,我們的收入同比下降不到一個百分點,略好於第四季度的表現。

  • Our reported revenue, as expected, includes a significant currency headwind.

    正如預期的那樣,我們報告的收入包括重大的貨幣逆風。

  • As always, I'll focus on constant currency performance.

    一如既往,我將專注於持續的貨幣表現。

  • From a geographic perspective, our year-to-year revenue growth in the developed markets improved a couple of points sequentially, consistent with the expectations we discussed last quarter.

    從地域角度來看,我們在發達市場的同比收入增長連續提高了幾個百分點,與我們上個季度討論的預期一致。

  • That said, we had weaker performance in the emerging markets in Asia Pacific, which impacted our overall revenue performance.

    也就是說,我們在亞太地區新興市場的表現較差,這影響了我們的整體收入表現。

  • Looking at our results by segment, we had continued revenue growth in Global Business Services and in our Cloud & Cognitive Software.

    按細分來看我們的業績,我們在全球商業服務以及我們的雲和認知軟件方面的收入持續增長。

  • In GBS, as I said, we had another quarter of strong growth in consulting as we help clients with their digital reinventions, and we again expanded our margins in GBS.

    正如我所說,在 GBS 方面,我們在幫助客戶進行數字化改造的同時,在諮詢方面又實現了四分之一的強勁增長,並且我們再次擴大了在 GBS 方面的利潤率。

  • In our Software segment, growth was driven by our hybrid cloud offerings, security and solution areas like supply chain and Watson Health.

    在我們的軟件部門,增長是由我們的混合雲產品、安全和解決方案領域(如供應鍊和 Watson Health)推動的。

  • In Global Technology Services, we're continuing to help our clients implement and manage hybrid, multi-cloud environments.

    在全球技術服務中,我們將繼續幫助我們的客戶實施和管理混合、多雲環境。

  • This is evidenced in the increasing share of our backlog which is now cloud.

    我們的積壓工作越來越多,現在是雲,這證明了這一點。

  • At the same time, consistent with our high-value focus, we're continuing to take actions to optimize our GTS performance by exiting lower-value content.

    與此同時,根據我們對高價值的關注,我們將繼續採取行動,通過退出低價值內容來優化我們的 GTS 性能。

  • While this contributes to lower GTS revenue, we had higher profit, margin and cash contribution.

    雖然這有助於降低 GTS 收入,但我們有更高的利潤、利潤和現金貢獻。

  • Our Systems revenue declined, reflecting the IBM Z product cycle dynamics and weaker performance in storage.

    我們的系統收入下降,反映出 IBM Z 產品週期動態和存儲性能較弱。

  • Across our segments, clients continue to be focused on solutions that deliver innovation and growth.

    在我們的細分市場中,客戶繼續專注於提供創新和增長的解決方案。

  • Though as we mentioned last quarter, we're seeing an increasing bias towards engagements that provide productivity and predictability of spend.

    儘管正如我們上個季度提到的那樣,我們看到越來越多的人傾向於提供生產力和支出可預測性的參與。

  • And so our results this quarter reflect our ability to deliver both innovation and productivity, helping our clients transition their business models to hybrid cloud.

    因此,我們本季度的業績反映了我們提供創新和生產力的能力,幫助我們的客戶將他們的商業模式轉變為混合雲。

  • Our cloud revenue growth in the first quarter accelerated to 12% with our as-a-service offerings up 15%.

    第一季度,我們的雲收入增長加速至 12%,而我們的即服務產品增長了 15%。

  • With this, our cloud revenue has grown to $19.5 billion over the last year.

    有了這個,我們的雲收入在去年增長到 195 億美元。

  • Over the last several months, we've talked about the next chapter of cloud, which focuses on shifting mission-critical work to the cloud and optimizing everything from supply chains to core banking systems.

    在過去的幾個月裡,我們討論了雲的下一章,重點是將關鍵任務工作轉移到雲端,並優化從供應鏈到核心銀行系統的一切。

  • To address this opportunity, enterprises need to be able to move and manage data, services and workflows across multiple clouds and on-prem.

    為了抓住這個機會,企業需要能夠跨多個雲和本地移動和管理數據、服務和工作流。

  • And they need to be able to address security concerns, data protection and protocols, availability and cloud management.

    他們需要能夠解決安全問題、數據保護和協議、可用性和雲管理。

  • This requires a hybrid, multi-cloud open approach.

    這需要一種混合的、多雲的開放方法。

  • And so we have been reshaping our business to address this opportunity, investing heavily to build capabilities across our business like IBM Cloud, IBM Cloud Private and IBM Cloud Private for Data; the IBM Multicloud Manager; Cloud Garages; cloud migration services; and cloud optimized systems.

    因此,我們一直在重塑我們的業務以抓住這一機會,大力投資以構建我們整個業務的能力,例如 IBM Cloud、IBM Cloud Private 和 IBM Cloud Private for Data; IBM 多雲管理器;雲車庫;雲遷移服務;和雲優化系統。

  • These are the innovations that are driving our $19.5 billion of cloud revenue.

    這些創新推動了我們 195 億美元的雲收入。

  • In the first quarter, we introduced additional capabilities that will accelerate hybrid cloud adoption, including Watson Anywhere, which makes IBM Watson available on-premises as well as on any private or public cloud; and IBM Cloud Integration platform, which provides a standard way to integrate services and applications across multiple cloud environments.

    在第一季度,我們推出了將加速混合雲採用的其他功能,包括 Watson Anywhere,它使 IBM Watson 在本地以及任何私有或公共雲上可用; IBM Cloud Integration 平台,它提供了一種跨多個雲環境集成服務和應用程序的標準方法。

  • More broadly, we have built a framework of offerings to facilitate our clients' journey to the cloud.

    更廣泛地說,我們已經構建了一個產品框架,以促進我們客戶的雲之旅。

  • It is designed to help our clients across the 4 key stages of their cloud transformation journey: advise, move, build and manage.

    它旨在幫助我們的客戶跨越雲轉型之旅的 4 個關鍵階段:建議、遷移、構建和管理。

  • These offerings span our Cloud & Cognitive Software, Global Business Services and Global Technology Services, leveraging the integrated value of IBM.

    這些產品涵蓋我們的雲和認知軟件、全球商業服務和全球技術服務,充分利用了 IBM 的綜合價值。

  • And so we have a strong foundation for the addition of Red Hat.

    因此,我們為加入 Red Hat 奠定了堅實的基礎。

  • Together, we will be ideally positioned to help our clients shift their business applications to hybrid cloud while addressing the issues I just mentioned around portability, management consistency, security, remaining open, which avoids vendor lock-in.

    我們將一起理想地幫助我們的客戶將他們的業務應用程序轉移到混合雲,同時解決我剛才提到的關於可移植性、管理一致性、安全性、保持開放性的問題,從而避免供應商鎖定。

  • This will not only enhance the growth of Red Hat's business after closing, but lift all of IBM as we saw more of our data and AI software on Containers across multiple platforms and more of our services from app modernization to multi-cloud managed services.

    這不僅會促進 Red Hat 關閉後的業務增長,而且會提振整個 IBM,因為我們看到更多跨多個平台的容器數據和 AI 軟件,以及從應用程序現代化到多雲託管服務的更多服務。

  • At IBM, we're investing and building capabilities to be ready to drive these synergies.

    在 IBM,我們正在投資和建設能力,以準備好推動這些協同效應。

  • We're moving through the regulatory process and continue to expect to close in the second half of 2019.

    我們正在通過監管程序,並繼續期望在 2019 年下半年關閉。

  • Before getting into the financial metrics, I want to lay out the contributors to our year-to-year operating earnings per share performance, especially because there are a couple of larger items in last year's results that impact the dynamics.

    在進入財務指標之前,我想列出對我們每年的每股營業收入業績的貢獻者,特別是因為去年的業績中有幾個較大的項目影響了動態。

  • In fact, these larger items contributed a $0.32 benefit to last year's earnings per share, which of course creates a headwind to this year's growth.

    事實上,這些較大的項目為去年的每股收益貢獻了 0.32 美元的收益,這當然會對今年的增長造成不利影響。

  • And so looking at the drivers, as I said, our revenue was down less than 1% at constant currency, but with the stronger dollar, revenue was down 4.7%.

    因此,從驅動因素來看,正如我所說,按固定匯率計算,我們的收入下降了不到 1%,但隨著美元走強,收入下降了 4.7%。

  • At constant margin, revenue was a headwind to profit and earnings per share growth.

    以固定利潤率計算,收入對利潤和每股收益的增長構成不利影響。

  • Last year, we took pretax charges associated with the actions to realign our skills to key opportunities and better position our Systems cost structure.

    去年,我們收取了與調整我們的技能以適應關鍵機會並更好地定位我們的系統成本結構的行動相關的稅前費用。

  • These, together with the benefit of the actions and our ongoing operating efficiencies, resulted in strong pretax income growth and pretax margin expansion.

    這些,再加上行動的好處和我們持續的運營效率,導致了強勁的稅前收入增長和稅前利潤率擴張。

  • Last year, we also had a large discrete tax benefit associated with an audit settlement.

    去年,我們還獲得了與審計結算相關的大量離散稅收優惠。

  • With a much smaller discrete benefit this year, tax was a significant headwind to our net income.

    由於今年的離散收益要小得多,稅收對我們的淨收入構成了重大阻礙。

  • And finally, a lower share count contributed to growth.

    最後,較低的份額數量有助於增長。

  • Putting this altogether, we had solid operating leverage and margin expansion, offset by a $0.32 impact of last year's significant items, resulting in an operating EPS of $2.25.

    總而言之,我們擁有穩固的經營槓桿和利潤率擴張,被去年重要項目的 0.32 美元影響所抵消,導致經營每股收益為 2.25 美元。

  • So now getting into profit and margin metrics.

    所以現在進入利潤和利潤率指標。

  • We continue to drive operating leverage, expanding both gross and pretax margins.

    我們繼續推動經營槓桿,擴大毛利率和稅前利潤率。

  • Our operating gross margin was up 90 basis points.

    我們的營業毛利率上升了 90 個基點。

  • This was driven by strong performance in both services businesses, together, up 160 basis points.

    這是由兩項服務業務的強勁表現共同推動的,增長了 160 個基點。

  • We also had a year-to-year benefit from the charge we took last year in Systems, which was offset by the impact of the IBM Z product cycle.

    我們還從去年在系統方面的費用中獲得了同比收益,這被 IBM Z 產品週期的影響所抵消。

  • Our operating expense was better 11%, which resulted in a 2-point benefit in our expense-to-revenue ratio.

    我們的運營費用為 11%,這使我們的費用收入比提高了 2 個百分點。

  • Overall, we've been driving productivity in our business, including implementing new ways of working and leveraging automation and infusing AI into our processes.

    總的來說,我們一直在提高我們業務的生產力,包括實施新的工作方式和利用自動化以及將 AI 注入我們的流程。

  • This drives operating leverage and provides flexibility to increase investment in areas like hybrid cloud, AI and blockchain.

    這推動了運營槓桿並提供了靈活性,以增加對混合雲、人工智能和區塊鍊等領域的投資。

  • But we have a few other drivers of our expense performance this quarter, including currency and lower workforce rebalancing charges, mitigated by our lower level of IP income.

    但我們本季度的費用表現還有其他一些驅動因素,包括貨幣和較低的勞動力再平衡費用,我們較低的 IP 收入水平減輕了這一影響。

  • Regarding currency, while a stronger dollar hurts the top line, it generally helps expense due both to translation and the benefit of hedging contracts.

    關於貨幣,雖然美元走強會損害收入,但由於換算和對沖合同的好處,它通常有助於支出。

  • In the first quarter, currency helped our year-to-year expense by nearly 6 points.

    在第一季度,貨幣使我們的同比支出增加了近 6 個百分點。

  • Much of this was reflected in other income and expense.

    其中大部分反映在其他收入和支出中。

  • In fact, the $200 million year-to-year change in other income and expense was entirely due to hedging benefits.

    事實上,其他收入和支出的 2 億美元同比變化完全是由於對沖收益所致。

  • Remember, these hedging gains mitigate the currency impacts throughout the P&L.

    請記住,這些對沖收益減輕了整個損益表中的貨幣影響。

  • Expense also includes a year-to-year reduction of over $500 million for workforce rebalancing driven by last year's charge.

    費用還包括因去年費用推動的勞動力再平衡而同比減少超過 5 億美元。

  • And finally, within expense, we absorbed a lower level of IP income as it hurts our PTI growth by over $200 million.

    最後,在費用方面,我們吸收了較低水平的 IP 收入,因為它損害了我們 PTI 增長超過 2 億美元。

  • Putting this expense performance together with our gross margin expansion, pretax margin was up over 300 basis points.

    將這一支出表現與我們的毛利率擴張相結合,稅前利潤率上升了 300 多個基點。

  • Our operating tax rate was 10%, including discretes.

    我們的營業稅率為 10%,包括分立器件。

  • This is right in line with our all-in first quarter expectation of 10% to 11% we provided in January.

    這與我們在 1 月份提供的第一季度 10% 至 11% 的整體預期一致。

  • And as I said earlier, this was a significant headwind to our net income growth year-to-year.

    正如我之前所說,這對我們的淨收入同比增長來說是一個重大的阻力。

  • Looking at our cash metrics, we generated $1.7 billion of free cash flow in the quarter, which is up about $350 million over last year.

    從我們的現金指標來看,我們在本季度產生了 17 億美元的自由現金流,比去年增加了約 3.5 億美元。

  • There's a lot of seasonality in our cash generation.

    我們的現金產生有很多季節性。

  • And so looking over the last 12 months, we generated over $12 billion of free cash flow.

    因此,回顧過去 12 個月,我們產生了超過 120 億美元的自由現金流。

  • That's 114% of our GAAP net income normalized.

    這是我們 GAAP 淨收入標準化後的 114%。

  • I'll touch on the cash drivers and uses of cash a little later.

    稍後我會談到現金驅動因素和現金的使用。

  • And so now before getting into the segment performance, I want to spend a minute on an overview of our 2019 segment structure.

    因此,在進入細分市場表現之前,我想花一分鐘時間概述一下我們 2019 年的細分市場結構。

  • As Patricia mentioned, we shared historical information on this new structure a couple of weeks ago.

    正如帕特里夏所說,幾週前我們分享了關於這個新結構的歷史信息。

  • As our clients become digital enterprises, they need tighter integration between hybrid cloud and their data and AI platforms to unlock value.

    隨著我們的客戶成為數字化企業,他們需要混合雲與其數據和 AI 平台之間更緊密的集成以釋放價值。

  • And so we recently made changes to our management system to more effectively address our clients' evolving needs and in preparation for the acquisition of Red Hat.

    因此,我們最近對我們的管理系統進行了更改,以更有效地滿足客戶不斷變化的需求,並為收購 Red Hat 做準備。

  • The changes also better align our portfolio to the market and to underlying business models.

    這些變化還使我們的產品組合更好地與市場和基礎業務模型保持一致。

  • The business changes resulted in 3 adjustments to our segment structure for 2019.

    業務變化導致我們在 2019 年對分部結構進行了 3 次調整。

  • First, we brought our Cloud & Cognitive Software together in one segment.

    首先,我們將雲和認知軟件整合到一個部分。

  • Second, we combined our security services with security software, consistent with the way we are running that integrated business.

    其次,我們將我們的安全服務與安全軟件相結合,這與我們運行該集成業務的方式一致。

  • And then finally, we moved the results for the businesses we're divesting to the Other category to provide better transparency to the ongoing operational performance of our software and GBS segments.

    最後,我們將我們正在剝離的業務的結果轉移到其他類別,以便為我們的軟件和 GBS 部門的持續運營績效提供更好的透明度。

  • This includes the pending sale of our collaboration and on-prem marketing and commerce software to HCL, the pending sale of the balance of our marketing and commerce software to Centerbridge and the just-completed sale of our Seterus mortgage servicing business.

    這包括即將向 HCL 出售我們的協作和本地營銷和商務軟件,即將向 Centerbridge 出售我們的營銷和商務軟件的餘額,以及剛剛完成的 Seterus 抵押貸款服務業務的出售。

  • And so looking at our new segments, we created the Cloud & Cognitive Software segment, bringing software platforms and solutions into one segment.

    因此,看看我們的新細分市場,我們創建了雲和認知軟件細分市場,將軟件平台和解決方案整合為一個細分市場。

  • Within this segment, we'll report cloud and data platforms, which brings together software for hybrid cloud management with data and AI platforms.

    在此部分中,我們將報告雲和數據平台,它將用於混合雲管理的軟件與數據和人工智能平台結合在一起。

  • Cognitive applications includes vertical and domain-specific solutions that are built on cloud and data platforms.

    認知應用程序包括構建在雲和數據平台上的垂直和特定領域的解決方案。

  • These offerings are increasingly being infused with AI.

    這些產品越來越多地融入了人工智能。

  • And then transaction processing platforms includes the middleware and database software that supports our clients' mission-critical workloads running on z/OS as well as storage software.

    然後事務處理平台包括支持我們客戶在 z/OS 上運行的關鍵任務工作負載的中間件和數據庫軟件以及存儲軟件。

  • Looking at our services segments.

    看看我們的服務部門。

  • The scope of Global Business Services segment overall is unchanged other than moving the divested mortgage servicing business to Other.

    除了將剝離的抵押貸款服務業務轉移到其他業務外,全球商業服務部門的範圍總體保持不變。

  • Global Technology Services is consistent with the services component of Technology Services & Cloud Platforms, excluding security services.

    全球技術服務與技術服務和雲平台的服務組件一致,不包括安全服務。

  • And then finally, our Systems and Global Financing segments are also unchanged.

    最後,我們的系統和全球融資部門也沒有變化。

  • So now let me get into the segment results, starting with our Cloud & Cognitive Software segment where revenue grew 2%.

    那麼現在讓我進入細分市場的結果,從我們的雲和認知軟件細分市場開始,該細分市場的收入增長了 2%。

  • Our clients' journey to cloud and AI is now turning to more mission-critical workloads.

    我們客戶的雲和 AI 之旅現在正在轉向更多的任務關鍵型工作負載。

  • As I just mentioned, linking the data, AI and applications together with hybrid cloud in a secure way is critical for any successful digital reinvention.

    正如我剛才提到的,以安全的方式將數據、人工智能和應用程序與混合雲連接在一起對於任何成功的數字化重塑都至關重要。

  • We are uniquely positioned to do this with our comprehensive cloud and data offerings, coupled with a deep understanding of our clients' workflows and security needs.

    我們憑藉全面的雲和數據產品以及對客戶工作流程和安全需求的深刻理解,在實現這一目標方面處於獨特的地位。

  • Within this segment, we had good growth in cloud and data platforms and cognitive applications while transaction processing platforms was flat.

    在這個細分市場中,我們在雲和數據平台以及認知應用程序方面取得了良好的增長,而交易處理平台則持平。

  • I'll break down some of the drivers behind these areas.

    我將分解這些領域背後的一些驅動因素。

  • Our cloud and data platforms grew 2%.

    我們的雲和數據平台增長了 2%。

  • We delivered growth this quarter by helping clients build across public and private clouds with IBM Cloud Private, which as you know, is built on Linux Containers and Kubernetes.

    本季度,我們通過幫助客戶使用 IBM Cloud Private 構建公共雲和私有云來實現增長,如您所知,IBM Cloud Private 是基於 Linux 容器和 Kubernetes 構建的。

  • We help them modernize and integrate applications and environments with our integration and digital business automation platforms and then collect and manage data with a hybrid data management platform, all of which grew this quarter.

    我們通過我們的集成和數字業務自動化平台幫助他們實現應用程序和環境的現代化和集成,然後使用混合數據管理平台收集和管理數據,所有這些都在本季度實現了增長。

  • This need for tighter integration across hybrid cloud, data and AI are also driving traction for our IBM Cloud Private for Data offering as well as Watson Assistant and Watson OpenScale that run on IBM Cloud Private for Data.

    這種跨混合雲、數據和 AI 更緊密集成的需求也推動了我們的 IBM Cloud Private for Data 產品以及在 IBM Cloud Private for Data 上運行的 Watson Assistant 和 Watson OpenScale 的吸引力。

  • We see the value of bringing together the hybrid cloud and data value propositions at a European tax authority, which is using our digital business automation platform to redesign their tax processes around their data lake and improve the taxpayer experience.

    我們看到了歐洲稅務機關將混合雲和數據價值主張結合在一起的價值,該稅務機關正在使用我們的數字業務自動化平台圍繞其數據湖重新設計稅務流程並改善納稅人的體驗。

  • In cognitive applications, revenue was up 4%.

    在認知應用方面,收入增長了 4%。

  • Growth was led by security as well as solution areas like health, supply chain and weather.

    安全以及健康、供應鍊和天氣等解決方案領域引領了增長。

  • In security, we delivered strong double-digit growth with our integrated software and services value proposition.

    在安全方面,我們通過集成軟件和服務價值主張實現了兩位數的強勁增長。

  • In particular, we continue to see good traction with our threat management software and services offerings, including QRadar and Resilient, and our security intelligence operations consulting services, which detect and respond to security threats for our clients.

    特別是,我們繼續看到我們的威脅管理軟件和服務產品(包括 QRadar 和 Resilient)以及我們的安全情報運營諮詢服務的良好吸引力,這些服務可以為我們的客戶檢測和響應安全威脅。

  • Panasonic, for example, is leveraging QRadar and related services to strengthen its threat management posture.

    例如,Panasonic 正在利用 QRadar 和相關服務來加強其威脅管理態勢。

  • Panasonic is also piloting our next-gen X-Force threat management offering.

    松下還在試用我們的下一代 X-Force 威脅管理產品。

  • In Watson Health, we had broad-based growth across areas including payer, provider and government as clients look to harness data to create actionable insights.

    在 Watson Health 中,我們在付款人、供應商和政府等領域取得了廣泛的增長,因為客戶希望利用數據來創造可操作的見解。

  • We also had good results from our weather offerings, which grew double digits this quarter and reached a new all-time high in the number of active users.

    我們的天氣產品也取得了不錯的成績,本季度增長了兩位數,活躍用戶數量創下歷史新高。

  • Transaction processing platforms revenue was consistent with last year as clients continue to commit to our platform for the longer term.

    交易處理平台收入與去年持平,因為客戶繼續長期致力於我們的平台。

  • Performance reflects the value we provide clients managing these vital workloads and their preference for predictability in IT spend.

    性能反映了我們為管理這些重要工作負載的客戶提供的價值,以及他們對 IT 支出可預測性的偏好。

  • Turning to profit for this segment.

    該細分市場正在扭虧為盈。

  • We expanded pretax margin by 2 points year-to-year.

    我們將稅前利潤率同比擴大了 2 個百分點。

  • This reflects a lower level of workforce rebalancing this year, mitigated by a headwind in IP income and continued investment in key strategic areas.

    這反映了今年較低水平的勞動力再平衡,知識產權收入的逆風和對關鍵戰略領域的持續投資緩解了這種情況。

  • As we look forward, essentially all of our software portfolio now runs on Linux Containers orchestrated by Kubernetes.

    正如我們所期待的,基本上我們所有的軟件組合現在都運行在由 Kubernetes 編排的 Linux 容器上。

  • We've introduced new offerings like IBM Cloud Integration platform, the digital business automation platform and Watson Anywhere to further accelerate hybrid cloud adoption, and we have ongoing activities to educate all of IBM's employees on the journey to cloud, which includes Red Hat skills.

    我們推出了 IBM Cloud Integration 平台、數字業務自動化平台和 Watson Anywhere 等新產品,以進一步加速混合雲的採用,並且我們正在進行持續的活動,對 IBM 的所有員工進行雲之旅教育,其中包括 Red Hat 技能。

  • All of this better prepares us for the Red Hat acquisition.

    所有這些都讓我們更好地為收購 Red Hat 做好準備。

  • Moving to Global Business Services.

    轉向全球商業服務。

  • We continued the momentum from last year and delivered another solid quarter.

    我們延續了去年的勢頭,又交付了一個穩健的季度。

  • Revenue grew 4%, and gross margin expanded 280 basis points.

    收入增長 4%,毛利率擴大 280 個基點。

  • We again had strong growth in consulting, which was up 9%.

    我們的諮詢業務再次強勁增長,增長了 9%。

  • As clients embark on their digital journey to a cognitive enterprise, they are turning to GBS to help them with their strategy and implementation, leveraging our deep industry expertise and innovative technology portfolio.

    隨著客戶踏上認知型企業的數字化之旅,他們求助於 GBS,利用我們深厚的行業專業知識和創新技術組合,幫助他們制定戰略和實施。

  • The growth this quarter was led by Digital Strategy and iX as well as consulting for cloud application migrations and our next-generation enterprise application practice.

    本季度的增長由數字戰略和 iX 以及雲應用程序遷移諮詢和我們的下一代企業應用程序實踐引領。

  • Within cloud application migration, GBS Cloud Advisory Services works with enterprises to plan and implement a clear strategy and road map for their hybrid cloud journey.

    在雲應用程序遷移中,GBS Cloud Advisory Services 與企業合作,為他們的混合雲之旅規劃和實施清晰的戰略和路線圖。

  • We are doing this with Tribune Publishing as they transform from a legacy print company to a digital company, helping them determine the right environment for each of their applications and optimizing their migration to the cloud.

    在 Tribune Publishing 從一家傳統印刷公司轉型為一家數字公司時,我們正在與他們合作,幫助他們為每個應用程序確定合適的環境,並優化他們向雲的遷移。

  • Our next-generation enterprise application offerings assist clients as they build and implement cloud-native applications in areas such as Workday, Salesforce and S/4HANA.

    我們的下一代企業應用程序產品可幫助客戶在 Workday、Salesforce 和 S/4HANA 等領域構建和實施雲原生應用程序。

  • IBM is now leading the market with over 200 S/4HANA impact assessments, over 200 implementations and more than 125 go-lives.

    IBM 現在以超過 200 項 S/4HANA 影響評估、超過 200 項實施和超過 125 項上線引領市場。

  • In application management, we are shifting our business to cloud-based offerings and continue to have good momentum in our Cloud Migration Factory and cloud application development.

    在應用程序管理方面,我們正在將業務轉向基於雲的產品,並在雲遷移工廠和雲應用程序開發方面繼續保持良好勢頭。

  • Overall, application management revenue was flat due to ongoing declines in the traditional application management engagements.

    總體而言,由於傳統應用程序管理業務的持續下降,應用程序管理收入持平。

  • And then Global Process Services had solid performance in first quarter.

    然後全球流程服務在第一季度表現穩定。

  • Revenue was up 5% with strong performance in risk and compliance, along with financial process services.

    由於在風險和合規性以及財務流程服務方面表現強勁,收入增長了 5%。

  • Turning to GBS profit.

    轉向 GBS 利潤。

  • Our gross margin was 26%, which is up 280 basis points, driven by our mix to higher-value offerings, the yield on our productivity and utilization initiatives and a continuing help from currency given our global delivery mix.

    我們的毛利率為 26%,上升了 280 個基點,這得益於我們向更高價值產品的組合、我們的生產力和利用率計劃的收益以及貨幣對我們全球交付組合的持續幫助。

  • This enables us to make investments as we prepare for the Red Hat acquisition such as scaling our existing Red Hat practice to enhance our journey to cloud offerings for clients leveraging Red Hat capabilities.

    這使我們能夠在準備收購 Red Hat 時進行投資,例如擴展我們現有的 Red Hat 實踐,以增強我們利用 Red Hat 功能為客戶提供雲產品的旅程。

  • We are also creating new offerings around advise, build, move and manage services through industry points of view and platform plays.

    我們還通過行業觀點和平台遊戲圍繞建議、構建、移動和管理服務創建新產品。

  • In Global Technology Services, as I mentioned last quarter, we are taking actions to optimize our portfolio by exiting low-value services content to increase margin, profit and cash contribution and better position the business for the longer term.

    在全球技術服務方面,正如我上個季度提到的,我們正在採取行動優化我們的產品組合,通過退出低價值服務內容來增加利潤、利潤和現金貢獻,並更好地定位業務的長期發展。

  • GTS plays an important role in IBM's integrated value proposition, building on its deep client relationships to shift our clients to hybrid cloud.

    GTS 在 IBM 的綜合價值主張中發揮著重要作用,建立在其深厚的客戶關係之上,將我們的客戶轉移到混合雲。

  • As we move through last year, we improved GTS profit and margin, creating operating leverage.

    去年,我們提高了 GTS 的利潤和利潤率,創造了經營槓桿。

  • This gives us a solid base from which we can deemphasize lower-value contract and third-party content, enabling continued investment for chapter 2 of the cloud and delivering sustained margin improvement.

    這為我們提供了一個堅實的基礎,我們可以從中不再強調低價值的合同和第三方內容,從而能夠繼續對雲的第 2 章進行投資,並持續提高利潤率。

  • This is where we're focused.

    這是我們關注的地方。

  • We saw this play out in our first quarter results.

    我們在第一季度的業績中看到了這一點。

  • As overall revenue declined, our gross margin expanded 110 basis points driven by the mix shift to higher value, a lift from cloud scale efficiencies and productivity improvements.

    隨著整體收入下降,我們的毛利率擴大了 110 個基點,這得益於向更高價值的組合轉變、雲規模效率和生產力提高帶來的提升。

  • So now looking at the GTS revenue by line of business, infrastructure and cloud services was down 3% and technology support services was down 2%.

    所以現在按業務線看 GTS 收入,基礎設施和雲服務下降了 3%,技術支持服務下降了 2%。

  • Within infrastructure and cloud services, we continued to have solid growth in cloud revenue, which was up 13%.

    在基礎設施和雲服務方面,我們的雲收入繼續穩步增長,增長了 13%。

  • This is driven by the backlog where cloud is now over 30% of the total services outsourcing backlog.

    這是由積壓造成的,雲現在佔服務外包積壓總量的 30% 以上。

  • Keep in mind, most of the cloud opportunity is ahead of us.

    請記住,大部分雲機會就在我們面前。

  • 80% of the enterprise workloads, which represent mission-critical work, have yet to move to the cloud.

    80% 的企業工作負載(代表任務關鍵型工作)尚未遷移到雲端。

  • As clients migrate these workloads to a hybrid, multi-cloud environment, they face increased complexity in managing their infrastructure.

    隨著客戶將這些工作負載遷移到混合的多雲環境,他們在管理基礎設施方面面臨著越來越複雜的問題。

  • Because we've been running these workloads, we're better positioned to help our clients to build and manage these new environments.

    因為我們一直在運行這些工作負載,所以我們能夠更好地幫助我們的客戶構建和管理這些新環境。

  • During the first quarter, we announced that we're moving and managing BNP Paribas and Santander, a couple of the largest banks in Europe, to hybrid cloud.

    在第一季度,我們宣布將歐洲最大的兩家銀行法國巴黎銀行和桑坦德銀行轉移到混合雲並對其進行管理。

  • That's on top of companies like Lloyds, Allianz, Westpac, American Airlines and Anthem Insurance.

    這比 Lloyds、Allianz、Westpac、American Airlines 和 Anthem Insurance 等公司還要高。

  • The list goes on.

    清單還在繼續。

  • That's all mission-critical work starting to move, and they're moving it with IBM.

    這就是所有關鍵任務的工作開始移動,他們正在與 IBM 一起移動。

  • The portfolio actions I mentioned earlier create flexibility to invest in additional cloud capabilities to capture this high-value growing market.

    我之前提到的投資組合行動創造了靈活性,可以投資額外的雲功能來佔領這個高價值的增長市場。

  • For example, our IBM services for multi-cloud management offering provides a single system to help enterprise simplify the management of their IT resources across multiple cloud providers, on-prem environments and private clouds.

    例如,我們的 IBM 多雲管理服務產品提供了一個單一系統,可幫助企業簡化跨多個雲提供商、本地環境和私有云的 IT 資源管理。

  • And as we prepare for the Red Hat acquisition, we are investing to build on our partnership as a services integrator for Red Hat to be a leader in hybrid, multi-cloud services.

    在我們為收購 Red Hat 做準備時,我們正在投資建立我們作為服務集成商的合作夥伴關係,讓 Red Hat 成為混合、多雲服務領域的領導者。

  • In Systems, revenue was down 9% this quarter with declines in IBM Z, reflecting where we are in the product cycle, and in storage driven by market and competitive dynamics.

    在系統方面,本季度收入下降了 9%,IBM Z 收入下降,反映了我們在產品週期中所處的位置,以及受市場和競爭動態驅動的存儲。

  • That said, we had good performance in Power.

    也就是說,我們在 Power 方面表現良好。

  • This quarter, IBM Z revenue declined 38%.

    本季度,IBM Z 收入下降了 38%。

  • I'll remind you, we are wrapping on strong performance from last year when we had 54% growth.

    我會提醒你,我們正在結束去年的強勁表現,當時我們實現了 54% 的增長。

  • We are 7 quarters into the z14 cycle, and the program continues to track ahead of the prior program.

    我們進入 z14 週期已經 7 個季度了,該計劃繼續領先於之前的計劃。

  • We had strong growth in volumes or shipped MIPS, and new workload MIPS continue to outpace our standard MIPS.

    我們在數量或出貨 MIPS 方面實現了強勁增長,並且新的工作負載 MIPS 繼續超過我們的標準 MIPS。

  • This growth is led by Linux again this quarter.

    這一增長在本季度再次由 Linux 引領。

  • And our single-frame z14, designed specifically for cloud data centers, remains a growth driver.

    我們專為雲數據中心設計的單框架 z14 仍然是增長動力。

  • Power revenue grew for the sixth consecutive quarter, up 9%, driven by Linux and the full rollout of our POWER9-based architecture.

    在 Linux 和我們基於 POWER9 的架構的全面推出的推動下,Power 收入連續第六個季度增長,增長 9%。

  • As clients look to handle more data-intensive workloads in AI, HANA and UNIX, they are turning to POWER9 systems.

    隨著客戶希望在 AI、HANA 和 UNIX 中處理更多數據密集型工作負載,他們正在轉向 POWER9 系統。

  • These systems are built to handle advanced analytics and cloud environments.

    這些系統旨在處理高級分析和雲環境。

  • Both the high-end and entry-level offerings posted strong growth this quarter as clients continue to adopt this new technology.

    隨著客戶繼續採用這項新技術,本季度高端和入門級產品均實現了強勁增長。

  • Storage hardware was down 11% with declines in both the high end and midrange, offset by continued growth in all-flash arrays.

    存儲硬件下降了 11%,高端和中端均出現下降,但被全閃存陣列的持續增長所抵消。

  • Performance reflects declines in our high end, which is tied to our mainframe cycle and the ongoing competitive dynamics and pricing pressures.

    業績反映了我們高端產品的下滑,這與我們的大型機週期以及持續的競爭動態和定價壓力有關。

  • We are continuing to introduce new innovations and functionality to differentiate in this environment as we look to manage the portfolio for the market shift to flash.

    我們將繼續引入新的創新和功能,以在這種環境中脫穎而出,因為我們希望管理產品組合以適應市場向閃存的轉變。

  • Looking at Systems profit.

    查看系統利潤。

  • Pretax margin was down a point driven by a mix headwind due to where we are in the z14 cycle.

    由於我們處於 z14 週期的位置,稅前利潤率在混合逆風的推動下下降了一個點。

  • So now turning to cash flow.

    所以現在轉向現金流。

  • We generated $2.3 billion of cash from operations in the quarter, excluding our financing receivables.

    我們在本季度的運營中產生了 23 億美元的現金,不包括我們的融資應收賬款。

  • Our free cash flow of $1.7 billion is up about $350 million year-to-year.

    我們的自由現金流為 17 億美元,同比增長約 3.5 億美元。

  • This performance results in free cash flow of $12.2 billion over the last 12 months and continued strength in our normalized free cash flow realization rate, which is 114%.

    這一業績導致過去 12 個月的自由現金流為 122 億美元,並且我們的標準化自由現金流實現率持續走強,為 114%。

  • Our CapEx decline reflects effective capital management and the strategy I mentioned earlier to deemphasize some lower-value content.

    我們的資本支出下降反映了有效的資本管理和我之前提到的不強調一些低價值內容的戰略。

  • This reduces our capital requirements.

    這降低了我們的資本要求。

  • And so free cash flow came in where we expected, and there is no change in our full year outlook of about $12 billion.

    因此,自由現金流達到了我們的預期,我們對全年約 120 億美元的預期沒有變化。

  • Looking at uses of cash.

    查看現金的用途。

  • We returned $2.3 billion to shareholders in the quarter, including $1.4 billion of dividends and over $900 million of gross share repurchases.

    我們在本季度向股東返還了 23 億美元,包括 14 億美元的股息和超過 9 億美元的股票回購總額。

  • That's $10.3 billion over the last 12 months.

    這是過去 12 個月的 103 億美元。

  • We bought back nearly 7 million shares, and at the end of the quarter, we had $2.4 billion remaining in our buyback authorization.

    我們回購了近 700 萬股股票,到本季度末,我們的回購授權剩餘 24 億美元。

  • I'll remind you, we plan to suspend share repurchase in 2020 and 2021 as we pay down debt for our Red Hat acquisition to get back to our targeted leverage ratio.

    我會提醒你,我們計劃在 2020 年和 2021 年暫停股票回購,因為我們償還了收購 Red Hat 的債務,以回到我們的目標槓桿率。

  • Looking at the balance sheet.

    看著資產負債表。

  • We closed the quarter with a cash balance of over $18 billion and total debt of $50 billion.

    本季度結束時,我們的現金餘額超過 180 億美元,總債務為 500 億美元。

  • Both of these are up from December as we prepare for the acquisition of Red Hat later in the year.

    當我們準備在今年晚些時候收購 Red Hat 時,這兩項都比 12 月份有所上升。

  • About 60% of our total debt is in support of our financing business.

    我們總債務的大約 60% 用於支持我們的融資業務。

  • The leverage in our financing business remains at 9:1, and the credit quality of our financing receivables remains strong at 55% investment grade.

    我們融資業務的槓桿率保持在 9:1,我們的融資應收賬款的信用質量保持在 55% 的投資級別。

  • That's 2 points better than a year ago.

    這比一年前提高了 2 個百分點。

  • As a reminder, our financing debt will decrease throughout the year as a result of the winding down of our commercial OEM content.

    提醒一下,由於我們的商業 OEM 內容逐漸減少,我們的融資債務將在全年減少。

  • So to summarize, free cash flow is on track and our balance sheet reflects the strength required to support our continuing investments and return to shareholders.

    因此,總而言之,自由現金流步入正軌,我們的資產負債表反映了支持我們持續投資和回報股東所需的實力。

  • So let me make a few summary comments in the quarter and our view of the year before we move on to Q&A.

    因此,在我們進入問答環節之前,讓我對本季度的一些總結評論和我們對這一年的看法做一些總結。

  • In the first quarter, we grew in key high-value segments led by Global Business Services and Cloud & Cognitive Software while our overall revenue reflects the IBM Z product cycle dynamics and a focus on deemphasizing lower-value work in services.

    在第一季度,我們在以全球商業服務和雲與認知軟件為首的關鍵高價值領域實現了增長,而我們的總收入反映了 IBM Z 產品週期動態以及對服務中低價值工作的重視。

  • Across IBM, our cloud growth accelerated as we help our clients transition their business models to hybrid environments.

    在整個 IBM,隨著我們幫助客戶將他們的業務模型過渡到混合環境,我們的雲增長加速了。

  • We had significant margin expansion with gross margin up over 90 basis points.

    我們的利潤率顯著增長,毛利率上升超過 90 個基點。

  • This reflects our shift to higher value and our focus on productivity and operational efficiencies, what I'd characterize as improving fundamentals.

    這反映了我們向更高價值的轉變以及我們對生產力和運營效率的關注,我將其描述為改善基本面。

  • We're continuing to prioritize our investments and announce additional actions to divest some businesses that aren't contributing to the integrated value proposition for our clients.

    我們將繼續優先考慮我們的投資,並宣布採取額外行動剝離一些對我們客戶的綜合價值主張沒有貢獻的業務。

  • And we're continuing our planning and preparation for the acquisition of Red Hat.

    我們正在繼續為收購 Red Hat 進行規劃和準備。

  • With this performance, we continue to expect to deliver at least $13.90 of operating earnings per share and about $12 billion of free cash flow.

    憑藉這一業績,我們繼續期望實現至少 13.90 美元的每股營業收益和約 120 億美元的自由現金流。

  • I want to remind you what is and is not included in these expectations, and this is consistent with what we discussed last quarter.

    我想提醒您,這些期望中包括什麼,不包括什麼,這與我們上個季度討論的內容一致。

  • We continue to expect Red Hat to close in the second half.

    我們繼續預計 Red Hat 將在下半年關閉。

  • Because the financial implications to the year are dependent on the timing of the closing, we have not included Red Hat in the expectations.

    由於對當年的財務影響取決於交易完成的時間,因此我們未將紅帽納入預期。

  • In contrast, the timing of the closing of our 2 remaining announced divestitures does not have a significant impact on the year.

    相比之下,我們剩餘的 2 項已宣布資產剝離的結束時間對這一年沒有重大影響。

  • That's because we continue to expect the combination of the foregone profit, the gain on sale, the actions to address the structure and stranded costs and the resulting benefit from these actions to have minimal impact to our profit and earnings per share for the year.

    這是因為我們繼續預計放棄的利潤、銷售收益、解決結構和擱淺成本的行動以及這些行動產生的收益對我們今年的利潤和每股收益的影響微乎其微。

  • And so our guidance assumes these divestitures.

    因此,我們的指南假設了這些資產剝離。

  • Looking at the skew of earnings per share for the year.

    查看當年每股收益的偏差。

  • We assume we'll deliver about 22% in the second quarter, in line with the last couple of years.

    我們假設我們將在第二季度交付約 22%,與過去幾年一致。

  • And then looking at the second half, we would expect the growth in EPS to be skewed to the fourth quarter.

    然後看看下半年,我們預計每股收益的增長將偏向於第四季度。

  • This assumes we'll close the software divestitures in the second quarter with the gain effectively offset by the foregone profit and the charges for actions to address the structure and stranded costs.

    這假設我們將在第二季度結束軟件資產剝離,收益被放棄的利潤和解決結構和擱淺成本的行動費用有效抵消。

  • In other words, we expect essentially no impact to the second quarter.

    換句話說,我們預計第二季度基本不會受到影響。

  • Looking at free cash flow.

    看自由現金流。

  • We do expect an impact from the divestitures as well as some pre-closing financing costs for the Red Hat acquisition.

    我們確實預計資產剝離會產生影響,以及紅帽收購的一些交易前融資成本。

  • But with the solid start to the year in free cash flow, we are comfortable that we can absorb these headwinds in the full year expectation of about $12 billion.

    但隨著今年自由現金流的良好開局,我們很高興我們可以在全年預期約 120 億美元的情況下吸收這些不利因素。

  • And with that, let me turn it back to Patricia for the Q&A.

    然後,讓我把它轉回給帕特里夏進行問答。

  • Patricia Murphy - VP of IR

    Patricia Murphy - VP of IR

  • Thank you, Jim.

    謝謝你,吉姆。

  • Before we begin the Q&A, I'd like to mention a couple of items.

    在我們開始問答之前,我想提幾個問題。

  • First, we have supplemental charts at the end of the slide deck that provide additional information on the quarter.

    首先,我們在幻燈片的末尾有補充圖表,提供有關本季度的更多信息。

  • And second, as always, I ask you to refrain from multipart questions.

    其次,一如既往,我請您不要提出多部分問題。

  • So operator, let's please open it up for questions.

    那麼接線員,讓我們打開它來提問。

  • Operator

    Operator

  • (Operator Instructions) Our first question is from Katy Huberty with Morgan Stanley.

    (操作員說明)我們的第一個問題來自摩根士丹利的 Katy Huberty。

  • Okay.

    好的。

  • It looks like she's no longer showing in queue.

    看來她不再出現在隊列中了。

  • Our next question is from Toni Sacconaghi with Bernstein.

    我們的下一個問題來自 Toni Sacconaghi 和 Bernstein。

  • A.M. Sacconaghi - Senior Analyst

    A.M. Sacconaghi - Senior Analyst

  • Jim, I'm just wondering if you can comment about how the quarter turned out to your expectations 90 days ago.

    吉姆,我只是想知道你是否可以評論這個季度如何達到你 90 天前的預期。

  • I think at the time, in Q4, you delivered minus 1% growth to constant currency, and you stated that revenues would improve 1 to 2 points in terms of the growth rate, which didn't occur.

    我認為當時,在第四季度,您以固定匯率計算實現了負 1% 的增長,並且您表示收入將在增長率方面提高 1 到 2 個百分點,但這並沒有發生。

  • And on the margin side, when I back out restructuring expenses, it actually looks like operating margins declined year-over-year in Q1.

    在利潤率方面,當我取消重組費用時,實際上看起來第一季度的營業利潤率同比下降。

  • And even if I adjust for IP income, it still looks like they were kind of flat year-over-year.

    即使我調整了 IP 收入,它們看起來仍然與去年同期持平。

  • So perhaps you can address each of those, particularly relative to your expectations 90 days ago and whether there was anything that kind of fell short of where you thought you'd be.

    因此,也許您可以解決其中的每一個問題,特別是相對於您 90 天前的期望,以及是否有任何事情與您認為的不符。

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Sure, Toni, and thanks, as always, for your questions.

    當然,托尼,一如既往地感謝你提出問題。

  • There's a lot packed into that.

    裡麵包含了很多內容。

  • So let me take a step back and just give you a perspective of how we saw the quarter play out, and I'll touch on each of your points here as I go through this.

    因此,讓我退後一步,讓您了解一下我們如何看待本季度的結果,我將在討論過程中觸及您的每一個觀點。

  • We feel like we -- through the first 90 days of the year, we started out with a solid performance.

    我們覺得我們——在今年的前 90 天裡,我們以穩健的表現開始了。

  • Why?

    為什麼?

  • Because we see the fundamentals of our business model playing out in terms of growth in key high-value areas whether that be cloud and our acceleration there, security, digital and data and AI.

    因為我們看到我們的商業模式的基礎在關鍵高價值領域的增長方面發揮作用,無論是雲和我們在那裡的加速、安全、數字和數據以及人工智能。

  • And while we see the growth in those key high-value emerging areas, we're also delivering strong operating leverage by expanding margins, growing pretax income, expanding operating pretax margins and delivering strong free cash flow.

    在我們看到這些關鍵的高價值新興領域的增長的同時,我們還通過擴大利潤率、增加稅前收入、擴大經營稅前利潤率和提供強勁的自由現金流來提供強大的經營槓桿。

  • So when you look at the quarter, let me start with revenue because you talked about what we expect in 90 days and where we're at.

    所以當你看這個季度時,讓我從收入開始,因為你談到了我們在 90 天內的期望以及我們所處的位置。

  • Underneath our revenue, we see continued momentum in our GBS business led by consulting, strong growth again, 9%, as we're enabling clients to really move on their journey to cloud and drive their digital reinventions and competitive advantage.

    在我們的收入之下,我們看到以諮詢為主導的 GBS 業務持續增長,再次強勁增長 9%,因為我們使客戶能夠真正踏上他們的雲之旅,並推動他們的數字化重塑和競爭優勢。

  • We also had solid execution in our Cloud & Cognitive Software where our value propositions around hybrid cloud are playing out very nicely, and we're winning in the market.

    我們在雲和認知軟件方面也有穩固的執行力,我們圍繞混合雲的價值主張發揮得非常好,我們在市場上取得了勝利。

  • And we saw accelerated growth in our cloud-based business, basically going from mid-single digits in the fourth quarter when you look at our cloud performance to now exiting first quarter where in the quarter we grew 12%, and now we have a trailing 12-month $19.5 billion cloud business that's growing 12%.

    我們看到基於雲的業務加速增長,基本上從第四季度的中等個位數,當你看我們的雲性能到現在退出第一季度,我們在該季度增長了 12%,現在我們有一個尾隨12 個月 195 億美元的雲業務增長了 12%。

  • Now from a geography perspective, and it gets right at the heart of your question.

    現在從地理角度來看,它正是您問題的核心。

  • We talked about 90 days ago that we saw about a 1 to 2-point sequential improvement.

    我們在 90 天前談到我們看到了大約 1 到 2 個百分點的連續改進。

  • And if you look at our developed markets, we had pretty good execution, and we delivered that accelerated 1 to 2 points, in fact, over 2 points when you look at developed markets led by Japan, U.K., Italy, Spain and many others that grew very well.

    如果你看看我們的發達市場,我們的執行力非常好,我們提供了 1 到 2 個百分點的加速,事實上,當你看看以日本、英國、意大利、西班牙和許多其他國家為首的發達市場時,超過 2 個百分點長得很好。

  • It was in the emerging markets, in particular, as I said in the prepared remarks, around the AP region where we saw a deceleration in revenue, and that was really driven by our transactional-related businesses, both Systems and the Cloud & Cognitive Software where we had a good transactional pipeline entering the quarter and just based on client buying decision delays, we did not execute.

    正如我在準備好的發言中所說,尤其是在新興市場,我們看到收入下降的亞太地區,這實際上是由我們的交易相關業務推動的,包括系統和雲與認知軟件在我們進入本季度的良好交易渠道中,僅基於客戶購買決策的延遲,我們沒有執行。

  • Those are great value propositions.

    這些都是偉大的價值主張。

  • They're in front of us right now.

    他們現在就在我們面前。

  • The team's on the field, and we're focused on closing that sales execution.

    團隊在現場,我們專注於完成銷售執行。

  • Now let me go to operating leverage because you talked a little bit about our operating leverage and with and without charges, but let me set the record straight.

    現在讓我談談經營槓桿,因為你談到了我們的經營槓桿,包括收費和不收費,但讓我澄清一下。

  • One, strong gross profit margins, up 90 basis points driven by our services base of business, which is up 160 basis points year-over-year, and this is the strong -- strongest operating margin, gross margin, that we've had in 4 years from a year-to-year expansion.

    第一,強勁的毛利率,在我們的服務業務基礎推動下增長 90 個基點,同比增長 160 個基點,這是我們擁有的最強勁的營業利潤率,毛利率在 4 年內逐年擴張。

  • And pretax margins, you're right, up 320 basis points as printed, but within that, we did get a benefit by a much lower workforce rebalancing last year, but we're also seeing the fundamentals of our enterprise productivity initiatives play out.

    稅前利潤率,你是對的,印刷時上升了 320 個基點,但在這之中,我們確實從去年勞動力再平衡的低得多中獲益,但我們也看到了我們企業生產力計劃的基本面發揮作用。

  • And when you adjust for the $200 million impact year-to-year in IP, our operating pretax margins are up.

    當您針對 IP 每年 2 億美元的影響進行調整時,我們的營業稅前利潤率上升了。

  • They're not down.

    他們沒有倒下。

  • So we feel like we started out.

    所以我們覺得我們開始了。

  • We delivered a strong quarter.

    我們交付了一個強勁的季度。

  • We should have come up with some more revenue, especially in our emerging markets.

    我們本應獲得更多收入,尤其是在我們的新興市場。

  • The team is focused there in second quarter, but with all that said for the first 90 days, we think we're up to a solid start, and that gives us confidence in maintaining our guidance.

    團隊在第二季度專注於此,但考慮到前 90 天的所有情況,我們認為我們已經有了一個堅實的開端,這讓我們有信心維持我們的指導。

  • Operator

    Operator

  • Our next question is from Katy Huberty with Morgan Stanley.

    我們的下一個問題來自摩根士丹利的 Katy Huberty。

  • Kathryn Lynn Huberty - MD and Research Analyst

    Kathryn Lynn Huberty - MD and Research Analyst

  • Jim, what was the thought process behind not giving strategic imperatives segments anymore?

    吉姆,不再給出戰略要務細分背後的思考過程是什麼?

  • And then how are you thinking about Cloud & Cognitive Software growth going forward relative to the 2% growth over the last couple of quarters and especially in the context of the delayed deals that you referenced in Toni's question?

    然後,相對於過去幾個季度 2% 的增長率,尤其是在您在 Toni 的問題中提到的延遲交易的背景下,您如何看待雲和認知軟件的未來增長?

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Okay.

    好的。

  • Thanks, Katy, and I appreciate the question.

    謝謝,凱蒂,我很欣賞這個問題。

  • Around strategic imperatives.

    圍繞戰略要務。

  • Again, let me put this in perspective.

    再次,讓我正確看待這一點。

  • We put the signpost out back in the beginning of 2015, if you all remember at our Investor Day.

    如果你們還記得我們的投資者日,我們在 2015 年初就把路標放了出來。

  • Why?

    為什麼?

  • Because we had to lay the groundwork and how as a company we needed to fundamentally shift our capital investment allocation and transform our portfolio into capturing the shifts in growth in cloud, in data, in analytics, in security and mobility.

    因為我們必須奠定基礎,以及作為一家公司,我們需要如何從根本上改變我們的資本投資分配,並將我們的投資組合轉變為捕捉雲、數據、分析、安全和移動性方面的增長變化。

  • Now you fast-forward to the end of 2018, and at the time we made this announcement with that signpost, we were about less than a quarter's worth of our business, I think, Patricia?

    現在你快進到 2018 年底,當我們用那個路標發布這個公告時,我認為我們的業務價值不到四分之一,帕特里夏?

  • We exited '18 where we were consistently above 50%.

    我們退出了 18 年,我們一直保持在 50% 以上。

  • And when you take a look at that, that has become more and more -- or I should say less and less of a relevant metric as we move forward.

    當你看一下它時,它已經變得越來越多——或者我應該說,隨著我們前進,相關指標越來越少。

  • And more importantly, as I've spent quite a bit of time over the last quarter, both at Think with many of you as analysts and also with our investors to talk about as we change our external segmentation to reposition and get this company focused on chapter 2 and the journey to cloud and hybrid cloud, the same feedback we got from many of you and many of our investors is the strategic imperative metric is past its course, and they are looking for now what are the relevant metrics on managing the company moving forward.

    更重要的是,正如我在上個季度花了很多時間,在 Think 與你們中的許多分析師以及我們的投資者討論我們改變外部細分以重新定位並讓這家公司專注於第 2 章以及通往雲和混合雲的旅程,我們從你們中的許多人和我們的許多投資者那裡得到的相同反饋是戰略必要指標已經過時,他們現在正在尋找與管理公司相關的指標是什麼向前進。

  • And that, as we put out in our new segmentation, is going to be around cloud in particular, accelerating our leadership position in the $1 trillion market opportunity around hybrid, that is going to be around as a Service and our scale efficiencies and margin; and finally, it's going to be around operating leverage and value.

    而且,正如我們在新的細分市場中提出的那樣,將特別圍繞雲計算,加速我們在圍繞混合的 1 萬億美元市場機會中的領導地位,這將圍繞服務以及我們的規模效率和利潤率展開;最後,它將圍繞運營槓桿和價值。

  • And that is going to be instantiated in gross margin and operating pretax margin.

    這將在毛利率和稅前營業利潤率中得到體現。

  • Now to your second question real quick, Cloud & Cognitive Software.

    現在快速回答您的第二個問題,雲和認知軟件。

  • Again, as I stated, solid execution again building on a couple of quarters, strong value proposition, strong offerings.

    再次,正如我所說,穩健的執行再次建立在幾個季度、強大的價值主張、強大的產品之上。

  • Team executed well both across cloud and data platform as we were up 2%, but also across cognitive applications where we were up 4%.

    團隊在雲和數據平台上表現良好,因為我們增長了 2%,而且在我們增長了 4% 的認知應用程序中也表現良好。

  • And I talked about in the prepared remarks how we continue to differentiate around our hybrid cloud software value proposition where our integration software had a very strong quarter led by ICP and ICP for Data, which had strong adoption, and also our cognitive applications where we're growing both in our domains like security and even emerging areas like blockchain, but also in our industry verticals where we have continued momentum in Watson Health and in supply chain and weather.

    我在準備好的評論中談到了我們如何繼續圍繞我們的混合雲軟件價值主張進行差異化,我們的集成軟件在 ICP 和 ICP for Data 的帶領下有一個非常強勁的季度,它的採用率很高,還有我們的認知應用程序,我們'我們在安全領域甚至區塊鍊等新興領域都在增長,而且在我們的垂直行業中我們在 Watson Health 以及供應鍊和天氣方面持續保持增長勢頭。

  • Weather, we hit an all-time high, great quarter and first quarter, all-time high on the number of active users.

    天氣,我們創下歷史新高,偉大的季度和第一季度,活躍用戶數量創歷史新高。

  • So when you take a look at this portfolio, we had a couple of quarters of solid execution.

    所以當你看一下這個投資組合時,我們有幾個季度的穩健執行。

  • Yes, in emerging markets, we had some buying decision delays that will come back here in the second quarter, but we feel very confident in this portfolio.

    是的,在新興市場,我們有一些購買決定的延遲將在第二季度再次出現,但我們對這個投資組合非常有信心。

  • We feel very confident in the value proposition and differentiation, and we see pretty consistent performance moving forward here in the second quarter and throughout the year.

    我們對價值主張和差異化非常有信心,我們看到第二季度和全年的表現非常穩定。

  • Operator

    Operator

  • Our next question is from John Roy with UBS.

    我們的下一個問題來自瑞銀的 John Roy。

  • John Marc Andre Roy - Director and Equity Research Analyst, IT Hardware

    John Marc Andre Roy - Director and Equity Research Analyst, IT Hardware

  • Jim, I got a question for you on really you're talking about organic constant currency revenue growth, and it looks like you're saying that if a transactional business would come through, you really would have had it this quarter.

    吉姆,我有一個問題要問你,你真的在談論有機的恆定貨幣收入增長,而且你似乎是在說,如果交易業務能夠實現,你真的會在本季度擁有它。

  • I'm really questioning or I want to get an idea how sustainable you think that is.

    我真的很質疑,或者我想知道你認為這有多可持續。

  • I mean if the transactional stuff comes through, can you really continue to see organic constant currency revenue growth?

    我的意思是,如果交易成功,你真的能繼續看到貨幣收入的有機持續增長嗎?

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Yes.

    是的。

  • If you take a look at it, John, obviously, we don't give guidance on revenue, but let me give you some dynamics of how we're seeing the business both around the trajectory of coming out of first quarter, but also the operational indices we see right in front of us and our business plans and strategies that we're executing on moving forward.

    如果你看一下,約翰,顯然,我們沒有給出收入指導,但讓我給你一些動態,說明我們如何看待業務圍繞第一季度的軌跡,以及我們看到眼前的運營指標以及我們正在執行的業務計劃和戰略。

  • First, around GBS.

    首先,圍繞 GBS。

  • Our GBS business has a lot of momentum.

    我們的 GBS 業務勢頭強勁。

  • We actually delivered signings growth again for our GBS business.

    實際上,我們的 GBS 業務再次實現了簽約增長。

  • Those -- we got great momentum around our consulting business, and it's driving the digital reinventions of our clients and our journey to cloud.

    那些——我們的諮詢業務發展勢頭強勁,它正在推動我們客戶的數字化改造和我們的雲之旅。

  • And we see that business continuing that momentum in growth right in front of us here in the second quarter, but second half is going to be dependent, as you know, in a very short-term, fast-yielding type of backlog.

    我們看到該業務在第二季度繼續保持我們面前的增長勢頭,但正如您所知,下半年將依賴於一種非常短期、快速產生的積壓類型。

  • We got to continue doing the signings in 2Q.

    我們必須在第二季度繼續進行簽約。

  • That's going to fuel backlog.

    這將加劇積壓。

  • That's going to fuel revenue in the second half, but we feel good, and we feel consistent growth in GBS.

    這將在下半年推動收入增長,但我們感覺良好,而且我們感到 GBS 持續增長。

  • In Cloud & Cognitive Software, as I just answered to Katy, we feel confident in that offering portfolio, and we also feel confident in continued growth here in the second quarter, pretty consistent performance.

    在雲和認知軟件方面,正如我剛剛對凱蒂的回答,我們對該產品組合充滿信心,我們也對第二季度的持續增長充滿信心,表現相當穩定。

  • Around GTS, as I mentioned in our prepared remarks and I'll go back to what we talked about kind of at length 90 days ago, is we embarked on a very conscious strategy around exiting low-value, third-party OEM content.

    關於 GTS,正如我在準備好的評論中提到的那樣,我將回到 90 天前我們詳細討論的內容,我們是否圍繞退出低價值的第三方 OEM 內容制定了一個非常有意識的戰略。

  • We said at that time it was going to depress revenue in the near term but have higher value and higher margins and better position our portfolio for the long term as we go through the acquisition closure of Red Hat and really trying to address the leadership position in a hybrid multi-cloud arena.

    我們當時表示,這將在短期內壓低收入,但隨著我們完成對 Red Hat 的收購併真正努力在混合多雲領域。

  • So I would expect GTS at least in the near term to be pretty consistent with what you just saw in first quarter.

    因此,我希望 GTS 至少在短期內與您在第一季度看到的情況非常一致。

  • And then you'd get to our Systems base of business.

    然後您將進入我們的系統業務基地。

  • This business, as you all know quite well, always follows innovation cycles.

    眾所周知,這項業務始終遵循創新周期。

  • We are on the back-end of our mainframe cycle.

    我們正處於大型機週期的後端。

  • We got about 1 more quarter to go through on that.

    我們還有大約 1 個季度的時間來完成這件事。

  • It's going to be GA plus 7, plus 8, if I'm counting right.

    如果我沒記錯的話,它將是 GA 加 7,加 8。

  • It's been our most successful program in a long time, but we got another quarter's worth of headwind on that, but we've got strong growth and momentum in our Power following that innovation cycle.

    這是我們很長一段時間以來最成功的項目,但我們在這方面又遇到了四分之一的逆風,但在創新周期之後,我們的 Power 有了強勁的增長和動力。

  • We rolled out our POWER9 architecture for the first quarter.

    我們在第一季度推出了 POWER9 架構。

  • We hit our high end.

    我們達到了高端。

  • We had strong adoption.

    我們的採用率很高。

  • We continue to win in that space, leveraging our cloud design systems for AI and for the data-intensive workloads.

    我們繼續在該領域取勝,利用我們的雲設計系統來處理 AI 和數據密集型工作負載。

  • And then storage.

    然後是存儲。

  • Storage was a weak performance in the first quarter, was entirely driven again by the high-end DS8000, which was attached to our mainframe, and we see that pretty consistent until we can bring new innovation to market.

    存儲在第一季度表現不佳,完全由連接到我們大型機的高端 DS8000 再次驅動,我們認為在我們將新創新推向市場之前,這種情況非常穩定。

  • So if you look at first quarter where we were down about 90 basis points at constant currency, you take the divested content out of that, and we were roughly about flat.

    因此,如果你看看第一季度我們以固定匯率計算下降了約 90 個基點,你將剝離的內容從中剔除,我們大致持平。

  • If you look at second quarter, I would see pretty consistent performance, again, recognizing we've got a big headwind on mainframe in the second quarter, we grew 112% last year as we move forward.

    如果你看一下第二季度,我會再次看到相當穩定的表現,認識到我們在第二季度的大型機上遇到了很大的阻力,隨著我們的前進,我們去年增長了 112%。

  • Operator

    Operator

  • Our next question is from Jim Schneider with Goldman Sachs.

    我們的下一個問題來自高盛的吉姆施耐德。

  • James Edward Schneider - VP

    James Edward Schneider - VP

  • Maybe, Jim, I was wondering if you could comment on the overall performance in the services business.

    也許,吉姆,我想知道你是否可以評論一下服務業務的整體表現。

  • Signings were down year-over-year, but it seems like you're continuing to see very good growth in GBS and maybe a little bit more tempered performance in GTS.

    簽約人數同比下降,但您似乎繼續看到 GBS 的良好增長,而 GTS 的表現可能略有緩和。

  • So can you maybe just kind of give us a sense about where clients' heads are at in terms of new services contracts overall?

    那麼,您能否讓我們了解一下客戶在新服務合同方面的總體情況?

  • And maybe any kind of divergence you're seeing in bookings within GBS and GTS right now.

    也許您現在在 GBS 和 GTS 的預訂中看到了任何一種差異。

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Sure, Jim.

    當然,吉姆。

  • Thank you very much for the question.

    非常感謝你的提問。

  • As you stated, yes, signings were down, down 14% if I remember correctly, about a $7.5 billion, $7.6 billion overall in signings.

    正如你所說,是的,簽約數量下降了,如果我沒記錯的話,下降了 14%,大約 75 億美元,總共 76 億美元的簽約。

  • But let me take a step back and give you some of the dynamics underneath that because I think it's very, very important because why are signings an indicator that's of interest to all of our investors?

    但是讓我退後一步,給你一些背後的動態,因為我認為這非常非常重要,因為為什麼簽約是我們所有投資者都感興趣的指標?

  • Because it leads to backlog that then leads to backlog realization and revenue.

    因為它會導致積壓,進而導致積壓實現和收入。

  • And as I've said many quarters, all signings are not equal, and they vary.

    正如我在很多季度所說的那樣,並非所有的簽約都是平等的,而且它們各不相同。

  • They vary with lumpiness mainly based on the size of signings.

    它們主要根據簽名的大小而有所不同。

  • And when you look at our first quarter, our first quarter being down 14%, our greater-than-$100-million signings were down over 50%.

    當你看看我們的第一季度時,我們的第一季度下降了 14%,我們超過 1 億美元的簽約下降了 50% 以上。

  • Why?

    為什麼?

  • Because we just came off of a fourth quarter, if you remember, 90 days ago where we had one of our strongest quarters in greater-than-$100-million signings in years where we signed 19 deals greater than $100 million, and we actually had signings growth well north of 25%.

    因為我們剛剛結束第四季度,如果你還記得的話,90 天前,我們在 19 筆超過 1 億美元的交易中籤署了 19 筆超過 1 億美元的簽約,這是多年來我們最強勁的季度之一,我們實際上有簽約增長率遠高於 25%。

  • Also, we had a very strong signings quarter particularly in greater-than-$100-million deals last first quarter where we signed 10 deals, and our greater-than-$100-million signings were up 130%.

    此外,我們的簽約季度非常強勁,尤其是在上一季度超過 1 億美元的交易中,我們簽署了 10 筆交易,我們超過 1 億美元的簽約增加了 130%。

  • So we had a very tough compare as we both looked at last year and also just on what we executed with solid execution exiting the year.

    因此,我們進行了非常艱難的比較,因為我們既回顧了去年,也關注了我們在今年以穩健的執行力執行的內容。

  • But now let's take a look at backlog.

    但現在讓我們來看看積壓。

  • Backlog has many factors that influence it, signings only being one of it.

    積壓有很多影響因素,引援只是其中之一。

  • The duration, the mix of those signings, erosion and client dissatisfaction issues and also new signings, new logo versus extensions.

    持續時間、這些簽約的組合、腐蝕和客戶不滿問題以及新簽約、新徽標與擴展。

  • And when you take a look at our GBS business, to your point, we have strong momentum.

    當您看一下我們的 GBS 業務時,就您而言,我們勢頭強勁。

  • We grew signings in the first quarter because while our greater-than-$100-million signings were down 50% plus, we actually grew less-than-$100-million signings, which is going to fuel that backlog and be better revenue realization in the near term as we move forward.

    我們在第一季度增加了簽約,因為雖然我們超過 1 億美元的簽約下降了 50% 以上,但我們實際上增加了不到 1 億美元的簽約,這將推動積壓並更好地實現收入在我們前進的短期內。

  • So all in all, GBS is doing a very nice job.

    所以總而言之,GBS 做得非常好。

  • We restructured our offering portfolio.

    我們重組了我們的產品組合。

  • We're winning in the marketplace with this digital reinvention and our journey to cloud and you're seeing a much shorter duration backlog and a better backlog optimization because our quality of delivery, as we've transformed that, has led to a much lower level of erosion, which has led to higher realization of revenue.

    我們通過這種數字化重塑和我們的雲之旅在市場上取勝,您會看到積壓持續時間更短,積壓優化更好,因為我們的交付質量,因為我們已經改變了它,導致了更低的侵蝕程度,導致更高的收入實現。

  • That's what's playing out in GBS.

    這就是 GBS 正在發生的事情。

  • In GTS, that is a function as we're shifting our portfolio to really capture the hybrid multi-cloud opportunity, and that backlog in GTS is flat.

    在 GTS 中,這是一項功能,因為我們正在轉變我們的產品組合以真正抓住混合多雲機會,而 GTS 中的積壓是持平的。

  • It's flat while we transition now in our GTS outsourcing business, our cloud penetration is over 35%, and we're going to continue driving that differentiated value proposition in the near term.

    我們現在在 GTS 外包業務中轉型時持平,我們的雲滲透率超過 35%,我們將在短期內繼續推動差異化的價值主張。

  • But as I said to the last question around revenue realization, we're continuing down the strategy of managing this business for margin, profit and cash, and we're going to use our balance sheet appropriately and effectively around third-party capital content.

    但正如我對關於收入實現的最後一個問題所說的那樣,我們將繼續按照利潤、利潤和現金管理這項業務的戰略,我們將圍繞第三方資本內容適當有效地使用我們的資產負債表。

  • Operator

    Operator

  • Our next question is from Tien-Tsin Huang with JPMorgan.

    我們的下一個問題來自摩根大通的 Tien-Tsin Huang。

  • Tien-Tsin Huang - Senior Analyst

    Tien-Tsin Huang - Senior Analyst

  • Forgive me for asking another GTS question, but that was the only real delta I think versus our model with margins being better, revenue being a little bit lighter.

    請原諒我問了另一個 GTS 問題,但這是我認為與我們的模型相比唯一真正的增量,利潤率更高,收入略低。

  • So I heard everything you just said.

    所以我聽到了你剛才說的一切。

  • You mentioned GTS in the near term should be pretty consistent with what we saw in Q1, but I'm curious if we want to reconcile your prioritization of margin versus growth, the portfolio cleanup, the deterioration in signings and maybe even some re-segmentation impact on revenue, when might we see an inflection point for GTS to remix back to growth?

    你提到短期內的 GTS 應該與我們在第一季度看到的情況非常一致,但我很好奇我們是否想調和你對利潤率與增長、投資組合清理、簽約情況惡化甚至一些重新細分的優先排序對收入的影響,我們什麼時候可以看到 GTS 重新混合增長的拐點?

  • Because there's a lot going on there, just trying to make sure we can recast this properly.

    因為那裡發生了很多事情,只是想確保我們可以正確地重鑄它。

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Okay, Tien-Tsin, thank you very much for the question.

    好的,Tien-Tsin,非常感謝你提出這個問題。

  • On GTS, I'll remind all of us, last quarter, we discussed the portfolio prioritization efforts that we were doing in GTS.

    在 GTS 上,我會提醒我們所有人,上個季度,我們討論了我們在 GTS 中所做的投資組合優先級排序工作。

  • Why?

    為什麼?

  • To continue to focus and shift this business to higher value for our clients in winning the marketplace.

    繼續關注並將這項業務轉移到更高的價值,為我們的客戶贏得市場。

  • And over the last few quarters, we have been exiting low-value content in our GBS business that we said would have some near-term impact on revenue but will result in higher margins, and more importantly, a better business profile going forward over the long term.

    在過去的幾個季度中,我們一直在退出 GBS 業務中的低價值內容,我們表示這些內容會對收入產生一些短期影響,但會帶來更高的利潤率,更重要的是,未來的業務狀況會更好長期。

  • And if you look at first quarter, that's exactly what have played out.

    如果你看看第一季度,這正是已經發生的事情。

  • Our GTS revenue was down about 2 points from exiting that lower-value content, but, Tien-Tsin, to your question, our gross margins, where I truly believe in the services-based business where value is really instantiated, were up 110 basis points year-over-year as we continue to drive the value of that mix shift, our productivity initiatives and our cloud scale.

    我們的 GTS 收入因退出低價值內容而下降了約 2 個百分點,但是,Tien-Tsin,對於你的問題,我們的毛利率上升了 110 個基點,我真正相信價值真正實例化的基於服務的業務隨著我們繼續推動這種組合轉變、我們的生產力計劃和我們的雲規模的價值,同比增長點。

  • But let me spend a moment as to why.

    但讓我花點時間解釋一下為什麼。

  • Why are we doing this?

    我們為什麼要這樣做呢?

  • This is part of a very conscious strategy to focus this business on margin, profit and cash.

    這是一個非常有意識的戰略的一部分,該戰略將這項業務集中在利潤、利潤和現金上。

  • We've chosen our investment prioritization, and chapter 2 was all about leading in hybrid multi-cloud, high-value market with the acquisition of Red Hat and the combination of -- through the combination of cash and debt.

    我們選擇了我們的投資優先順序,第 2 章是關於通過收購 Red Hat 以及通過現金和債務的結合來引領混合多雲、高價值市場。

  • You see we are very focused on maintaining a very strong balance sheet and around maintaining our strong investment-grade profile and paying down net debt and getting back to our targeted leverage ratios in a few years.

    你看,我們非常專注於維持非常強勁的資產負債表,並圍繞著維持我們強大的投資級形象和償還淨債務,並在幾年內回到我們的目標槓桿率。

  • We've committed that to our shareholders, and we are taking the actions, GTS being one action, about getting out of low-value, third-party content that ties up our balance sheet, that ties up our financial flexibility and brings little to no profit to it.

    我們已向我們的股東承諾,我們正在採取行動,GTS 是一項行動,以擺脫低價值的第三方內容,這些內容會束縛我們的資產負債表,束縛我們的財務靈活性,並且幾乎不會給我們帶來任何好處。沒有利潤。

  • The second is our IGF business where we made a decision to get out of our commercial OEM.

    第二個是我們的 IGF 業務,我們決定退出我們的商業 OEM。

  • That in addition to, as we stated, the intent to suspend share repurchase in 2020 and 2021.

    正如我們所說,除此之外,還有意在 2020 年和 2021 年暫停股票回購。

  • So we are serious about our investment prioritization to lead in chapter 2. We're serious about getting our balance sheet and continuing the strength of that to support our dividend growth policy and continue to invest in our business.

    因此,我們認真對待我們在第 2 章中領先的投資優先次序。我們認真對待我們的資產負債表並繼續保持其實力以支持我們的股息增長政策並繼續投資於我們的業務。

  • And we're serious about driving the innovation and the investments to winning that space.

    我們認真對待推動創新和投資以贏得該領域。

  • And I'll just conclude, to your question, GTS has tremendous value to our integrated model of IBM.

    對於您的問題,我只是得出結論,GTS 對我們的 IBM 集成模型具有巨大的價值。

  • 90% of our most strategic accounts, we call them integrated accounts, take advantage of IBM's integrated value through outsourcing.

    我們 90% 的最具戰略意義的客戶,我們稱之為集成客戶,通過外包利用 IBM 的集成價值。

  • More than 50% of the software used in outsourcing is IBM content, and that's growing.

    超過 50% 的外包軟件是 IBM 的內容,而且這個數字還在增長。

  • And 60% of our outsourcing engagements include the management of mainframe.

    我們 60% 的外包業務包括大型機的管理。

  • So it's a very integral part.

    所以這是一個非常重要的部分。

  • We are being selective in our investment prioritization because we've chosen where we want to win and how we're going to win going forward.

    我們在投資優先順序上是有選擇性的,因為我們已經選擇了我們想要贏得的地方以及我們將如何贏得未來。

  • Operator

    Operator

  • Our next question is from Steve Milunovich with Wolfe Research.

    我們的下一個問題來自 Wolfe Research 的 Steve Milunovich。

  • Steven Mark Milunovich - MD of Equity Research

    Steven Mark Milunovich - MD of Equity Research

  • Jim, you typically take a workforce rebalancing in the first half of the year.

    吉姆,你通常會在今年上半年進行勞動力再平衡。

  • You talked about the divestitures not having much net impact.

    你談到資產剝離沒有太大的淨影響。

  • Is that because you're going to include essentially a workforce rebalancing in that beyond just the divestitures in Red Hat and so forth?

    那是因為除了 Red Hat 等資產剝離之外,您還將在本質上包括勞動力再平衡嗎?

  • Or are we going to see a bigger separate charge at some point?

    或者我們會在某個時候看到更大的單獨收費嗎?

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Yes.

    是的。

  • Thanks, Steven.

    謝謝,史蒂文。

  • It's good to hear from you again.

    很高興再次收到你的來信。

  • Yes, from -- let me put it in perspective.

    是的,從——讓我換個角度來看。

  • From a profit perspective around the announced divestitures, which most recently included the sale of our marketing and commerce remaining products to Centerbridge, that on an annualized basis is about $1.8 billion, right?

    從圍繞已宣布剝離的利潤角度來看,最近包括將我們的營銷和商業剩餘產品出售給 Centerbridge,按年計算約為 18 億美元,對嗎?

  • From a profit perspective, we said very consistent in the last quarter that we are going to have a gain on the sale, we're going to have foregone profit and stranded costs, we were going to take actions to address that foregone profit -- or excuse me, the stranded costs and structure of our business overall.

    從利潤的角度來看,我們在上個季度非常一致地表示,我們將在銷售中獲得收益,我們將放棄利潤和擱淺成本,我們將採取行動解決放棄的利潤——或者對不起,我們整體業務的擱淺成本和結構。

  • And when you take all of that together, there is going to be minimal impact on our full year.

    當您將所有這些放在一起時,對我們全年的影響將微乎其微。

  • And let me bring this home to second quarter right now because as we stated, we expect to close majority, if not all of this, by the second quarter.

    讓我現在把這個帶回第二季度,因為正如我們所說,我們希望在第二季度之前關閉大部分(如果不是全部)。

  • And when we take each of the components, the gain on sale, we expect the gain on sale to somewhere be between $500 million and $700 million.

    當我們考慮每個組成部分時,即銷售收益,我們預計銷售收益將在 5 億至 7 億美元之間。

  • And our guidance assumes, for right now, it's the low end of that range.

    我們的指導假設,目前,它是該範圍的低端。

  • We -- to your question, we are going to take actions to address the stranded costs and structure that's going to spend the majority, a vast majority of that gain.

    我們 - 對於你的問題,我們將採取行動解決擱淺的成本和結構,這些成本和結構將花費大部分,絕大部分收益。

  • And then, Steve, as you know, the return on that restructuring and those actions will help us mitigate the foregone profit in the second half of the year because the second half of the year, we are going to have about a 2-point revenue headwind with that business gone, and we'll have a foregone profit that we're going to have to manage as we go forward.

    然後,史蒂夫,正如你所知,重組和這些行動的回報將幫助我們減少下半年的利潤損失,因為下半年,我們將有大約 2 個百分點的收入隨著該業務的倒退,我們將失去我們在前進過程中必須管理的利潤。

  • So both for the full year and in the second quarter, minimal to no impact to our profit overall.

    因此,無論是全年還是第二季度,對我們整體利潤的影響微乎其微,甚至沒有影響。

  • Operator

    Operator

  • Our next question is from David Grossman with Stifel Financial.

    我們的下一個問題來自 Stifel Financial 的 David Grossman。

  • David Michael Grossman - MD

    David Michael Grossman - MD

  • Jim, obviously, you've been active in divesting or exiting certain lines of business that are no longer core to your strategy.

    吉姆,很明顯,你一直在積極剝離或退出某些不再是你戰略核心的業務線。

  • We certainly understand your reluctance to talk too much about this publicly, but is there anything that you could share with us that may give us some idea of how many other assets to the portfolio may fit this profile and how much of a drag they've been on your growth rate?

    我們當然理解您不願公開談論太多這個問題,但是您有什麼可以與我們分享的,可以讓我們了解投資組合中有多少其他資產可能符合這種情況,以及它們有多大的拖累你的增長率?

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Thanks, David, and I think you kind of answered your question yourself already.

    謝謝,大衛,我想你已經自己回答了你的問題。

  • I'm not going to comment on any further actions, but I'd just give you the high-level perspective.

    我不會對任何進一步的行動發表評論,但我只想給你一個高層次的觀點。

  • IBM is a high-value company, and how we remain high value is through portfolio optimization.

    IBM 是一家高價值公司,我們如何保持高價值是通過投資組合優化。

  • We consistently look at our portfolio, and I think we've stated this many times before.

    我們一直在關注我們的投資組合,我想我們之前已經說過很多次了。

  • We look at many different factors, from market attractiveness to our ability to win and differentiate to where client value and profit pools are shifting over time to the value of our integrated model and how all that plays together.

    我們考慮了許多不同的因素,從市場吸引力到我們取勝和差異化的能力,再到客戶價值和利潤池隨時間變化的位置,再到我們集成模型的價值,以及所有這些因素如何共同發揮作用。

  • And we will consistently do that to make sure that we're optimizing the right level of return for our investors and we can win in the marketplace and deliver the innovative value and technology to our clients to enable them to win and create competitive advantage, and that's what we're focused on overall, David.

    我們將始終如一地這樣做,以確保我們為投資者優化適當的回報水平,並且我們可以在市場中取勝,並為我們的客戶提供創新價值和技術,使他們能夠取勝並創造競爭優勢,並且這就是我們總體上關注的重點,大衛。

  • Operator

    Operator

  • Our next question is from Jeff Kvaal with Nomura Instinet.

    我們的下一個問題來自 Nomura Instinet 的 Jeff Kvaal。

  • Jeffrey Thomas Kvaal - MD of Communications

    Jeffrey Thomas Kvaal - MD of Communications

  • A question and perhaps a clarification.

    一個問題,也許是一個澄清。

  • I think the question is, could you, Jim, perhaps help us with the Cloud as a Service revenue?

    我認為問題是,吉姆,你能不能幫助我們獲得云即服務收入?

  • It seems as though the cloud revenue overall accelerated, but I'm not sure that translates to the as a Service side of things.

    似乎雲收入總體上在加速增長,但我不確定這是否會轉化為服務方面。

  • I'm wondering if you could help shed some light on that.

    我想知道你是否可以幫助闡明這一點。

  • And then secondly, it seems as though you were indicating the backlog for GBS grew and GTS was flat, but it looks like the overall backlog is down, and I'm trying to square that circle.

    其次,您似乎是在表示 GBS 的積壓量增加了,而 GTS 持平,但看起來整體積壓量下降了,我正試圖解決這個問題。

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Sure, Jeff, no problem.

    當然,傑夫,沒問題。

  • Thanks for the question.

    謝謝你的問題。

  • So actually, both kind of clarification questions, so let me just try to address it real quick and directly.

    所以實際上,這兩種澄清問題,讓我試著快速、直接地解決它。

  • Our as a Service -- first of all, our cloud.

    我們的服務——首先是我們的雲。

  • Our cloud business accelerated in the quarter.

    我們的雲業務在本季度加速發展。

  • First quarter, we grew 12% overall at constant currency.

    第一季度,按固定匯率計算,我們整體增長了 12%。

  • That comes off mid-single digits in the fourth quarter.

    這在第四季度達到了中等個位數。

  • If you look at our as a Service business within that, our as a Service business now has a annualized exit run rate of $11.7 billion, and that's up mid-teens.

    如果您在其中查看我們的即服務業務,我們的即服務業務現在的年化退出率達到 117 億美元,而且是十幾歲左右。

  • I think 15% if I remember correctly.

    如果我沒記錯的話,我認為是 15%。

  • And that is down quarter-to-quarter, but Jeff, I would tell you, that's due to normal seasonality.

    這是逐季下降的,但傑夫,我會告訴你,這是由於正常的季節性。

  • And also as we talked about in the fourth quarter, there were specific project milestones that we achieved in our AMS business that drove our AMS business to a 4% growth in the fourth quarter.

    正如我們在第四季度談到的那樣,我們在 AMS 業務中實現了具體的項目里程碑,推動我們的 AMS 業務在第四季度實現了 4% 的增長。

  • We said that would normalize back down to about flat.

    我們說這將正常化回基本持平。

  • So when you take a look at normal seasonality from fourth quarter to first quarter and you take into account the catch-up of those project milestones as we continuously improve our service delivery quality, that was expected from our perspective.

    因此,當您查看從第四季度到第一季度的正常季節性,並考慮到隨著我們不斷提高服務交付質量而對這些項目里程碑的追趕,從我們的角度來看,這是預期的。

  • And we see that continued momentum building throughout the year as we move forward with the value of our offerings and proposition.

    隨著我們推進我們的產品和主張的價值,我們看到全年持續增長的勢頭。

  • And just a clarification question, on backlog.

    只是一個關於積壓的澄清問題。

  • Backlog is down 2% at constant currency.

    按固定匯率計算,積壓訂單下降了 2%。

  • I stated that GBS signings grew, and we have continued momentum.

    我說過 GBS 的簽約人數增加了,而且我們的勢頭還在繼續。

  • In the backlog overall, I did not make a comment about that, but I gave you some color around the dynamics of the backlog as our GBS business as we re-architected our offerings, and you see it play out in consulting.

    在總體積壓中,我沒有對此發表評論,但我給了你一些關於積壓動態的顏色作為我們的 GBS 業務,因為我們重新設計了我們的產品,你會看到它在諮詢中發揮作用。

  • Our backlog is moving to a much shorter duration, higher, faster yielding content with greater quality, less erosion, and it's driving backlog realization and revenue momentum.

    我們的積壓正在轉向更短的持續時間、更高、更快的產出內容,質量更高,侵蝕更少,並且它正在推動積壓實現和收入勢頭。

  • Overall, I did not make a comment about GBS backlog overall.

    總的來說,我沒有對整體 GBS 積壓發表評論。

  • Operator

    Operator

  • Our last question is from Keith Bachman with Bank of Montreal.

    我們的最後一個問題來自蒙特利爾銀行的 Keith Bachman。

  • Keith Frances Bachman - MD & Senior Research Analyst

    Keith Frances Bachman - MD & Senior Research Analyst

  • Jim, I also wanted to ask about services and the growth rates and particularly, if I look at GBS, could you make some comments on the durability of that is the first part of my question.

    吉姆,我還想問問有關服務和增長率的問題,特別是,如果我看一下 GBS,你能否對它的持久性發表一些評論,這是我問題的第一部分。

  • Application maintenance was flattish.

    應用程序維護很簡單。

  • Consulting was pretty good at 9%.

    諮詢相當不錯,佔 9%。

  • Should investors be thinking about the 3% to 4% kind of growth for the year?

    投資者是否應該考慮今年 3% 至 4% 的增長率?

  • And then the second part of my question relates to services.

    然後我問題的第二部分與服務有關。

  • If you could revisit since you've had some time since the Red Hat deal was announced, what are your expectations about how the services business, both GBS and really GTS, how the Red Hat business may impact growth or improve growth once that's included into your portfolio?

    自從宣布與 Red Hat 的交易以來已有一段時間,如果您可以重新訪問,您對服務業務(包括 GBS 和真正的 GTS)有何期望,Red Hat 業務如何影響增長或改善增長你的投資組合?

  • Because I think investors are frankly concerned that GTS may have a long runway of runoff here, but how are you thinking that Red Hat may impact both services business, but particularly the GTS side?

    因為我認為投資者坦率地擔心 GTS 在這裡可能會有很長的路要走,但你認為 Red Hat 可能會如何影響這兩個服務業務,尤其是 GTS 方面?

  • James J. Kavanaugh - Senior VP & CFO

    James J. Kavanaugh - Senior VP & CFO

  • Sure.

    當然。

  • Thank you, Keith, for the question.

    基思,謝謝你提出這個問題。

  • GBS overall, as I stated, we have very good momentum in that business coming throughout the second half of 2018 and into first quarter where we grew 4%, led by consulting up 9%.

    GBS 總體而言,正如我所說,我們在整個 2018 年下半年和第一季度的業務發展勢頭非常好,我們增長了 4%,其中諮詢業務增長了 9%。

  • And within that, great growth in Digital Strategy, iX -- excuse me, our cloud migration and implementation services, next-gen enterprise apps growing so very good momentum overall.

    其中,數字戰略的巨大增長,iX——對不起,我們的雲遷移和實施服務,下一代企業應用程序總體上增長勢頭非常好。

  • And again, we're coming off another quarter of growing signings, especially in small deals.

    再一次,我們又增加了四分之一的簽約,尤其是在小額交易中。

  • So when we look at right in front of us, we see pretty consistent performance.

    因此,當我們看著眼前的事物時,我們會看到非常一致的表現。

  • I think you said somewhere around the 3%-ish, plus or minus, we see that right in front of us.

    我想你說過大約 3% 左右,正負,我們看到它就在我們面前。

  • And if we continue as we stated, winning in the marketplace and driving those signings in the second half, that's going to fuel backlog, that's going to fuel revenue, yes, we feel pretty confident.

    如果我們繼續像我們所說的那樣,在市場上獲勝並在下半年推動這些簽約,那將加劇積壓,這將增加收入,是的,我們感到非常有信心。

  • As you know, Keith, we run multiple scenarios about our guidance, which by the way, is on earnings per share and free cash flow, but we feel pretty confident that we've got a strong hand here, a team that's executing on the field, and we're delivering real value to our clients, and that's why we're seeing the performance overall.

    如你所知,基思,我們對我們的指導進行了多種預測,順便說一下,這是關於每股收益和自由現金流的,但我們非常有信心我們在這裡有強大的力量,一個正在執行的團隊領域,我們正在為客戶提供真正的價值,這就是我們看到整體表現的原因。

  • The second question I think you asked, if I remember correctly, was around our services base of businesses and Red Hat.

    如果我沒記錯的話,我想你問的第二個問題是圍繞我們的企業和紅帽服務基礎。

  • First and foremost, we're very excited about the potential combination of IBM and Red Hat as we've talked about I think in a handful of other areas around us accelerating the leadership in a $1 trillion hybrid cloud market.

    首先,我們對 IBM 和 Red Hat 的潛在合併感到非常興奮,因為我們已經討論過我認為在我們周圍的其他一些領域加速在 1 萬億美元的混合雲市場中的領導地位。

  • We believe this differentiates us as we move forward, and we couldn't be more excited when you look at Red Hat's performance exiting fiscal year '19 and what they reported and shared publicly, accelerating revenue up into the high teens, their backlog's up 22%, if I remember correctly; strong margin contribution; and they're delivering very strong cash flow.

    我們相信,在我們前進的過程中,這會讓我們與眾不同,當您看到 Red Hat 在 19 財年結束時的表現以及他們公開報告和分享的內容時,我們會感到非常興奮,將收入加速到十幾歲,他們的積壓增加了 22 %,如果我沒記錯的話;強勁的利潤貢獻;他們提供了非常強勁的現金流。

  • I think north of $1 billion in operating cash.

    我認為超過 10 億美元的運營現金。

  • But when you look at the services piece, we're expecting synergistic effects across our portfolio of IBM and us leading this next generation of hybrid cloud both in our software base of businesses but also services.

    但是,當您查看服務部分時,我們期望在我們的 IBM 產品組合中產生協同效應,並且我們在我們的業務軟件基礎和服務中引領下一代混合雲。

  • And when you take a look at services overall, we had spent a lot of time, and I talked about this in the prepared remarks, about re-architecting our offerings to enable our clients on their journey to cloud, and that spans everything from advising to building to moving to managing the journey for all of our clients from an enterprise perspective of really taking the 80% of the next phase of the mission-critical workloads to provide competitive advantage for them.

    當你看一下整體服務時,我們花了很多時間,我在準備好的評論中談到了這一點,關於重新架構我們的產品,使我們的客戶能夠踏上雲之旅,這涵蓋了從建議到從企業的角度構建到管理我們所有客戶的旅程,真正利用下一階段任務關鍵型工作負載的 80% 為他們提供競爭優勢。

  • So we're going to have consulting base synergistic effects on strategy implementation.

    因此,我們將對戰略實施產生諮詢基礎協同效應。

  • We're going to have cloud migration at development.

    我們將在開發階段進行雲遷移。

  • There's a whole slew of offerings that our teams are now armed with, and we are ready to go once we close this acquisition overall.

    我們的團隊現在擁有大量產品,一旦我們完成此次收購,我們就準備好了。

  • So thank you all for very good questions.

    謝謝大家提出的非常好的問題。

  • Let me wrap it up and just make a couple of comments.

    讓我總結一下,並發表一些評論。

  • We had a solid start to the year, as I said, and I firmly believe the fundamentals of our business model are playing out in terms of growth in key high-value areas like software and GBS while delivering strong operating leverage across our business.

    正如我所說,我們今年開局良好,我堅信我們的商業模式基礎正在軟件和 GBS 等關鍵高價值領域的增長方面發揮作用,同時在我們的業務中提供強大的運營槓桿。

  • We will continue this in the second quarter with revenue dynamics from 1Q to 2Q similar to last couple of years, which is about a sequential dollar increase of $900 million to $1 billion.

    我們將在第二季度繼續這樣做,第一季度到第二季度的收入動態與過去幾年相似,大約連續增加 9 億美元至 10 億美元。

  • And as I said, we expect our second quarter to be about 22% of our full year EPS, and that is right in line with what our last 3 years have been.

    正如我所說,我們預計第二季度將佔全年每股收益的 22% 左右,這與我們過去 3 年的情況一致。

  • So from a seasonality, you should expect pretty similar to history.

    所以從季節性來看,你應該期待與歷史非常相似。

  • This keeps us right on track for our full year expectations for earnings per share and free cash flow, and we'll continue to take actions to plan for Red Hat acquisition and position this company for the longer term.

    這使我們能夠正確地實現我們對每股收益和自由現金流的全年預期,並且我們將繼續採取行動計劃收購 Red Hat 並長期定位這家公司。

  • So with that, I thank you for joining us today.

    因此,感謝您今天加入我們。

  • We look forward to continuing the dialogue over the course of the year.

    我們期待在這一年中繼續對話。

  • Patricia Murphy - VP of IR

    Patricia Murphy - VP of IR

  • Thanks, Brendan.

    謝謝,布倫丹。

  • Let me have you close up the call.

    讓我讓你結束通話。

  • Operator

    Operator

  • Thank you for participating on today's call.

    感謝您參加今天的電話會議。

  • The conference has now ended.

    會議現已結束。

  • You may disconnect at this time.

    此時您可以斷開連接。