As we enter 2024, we continue to advance our hybrid cloud and AI strategy, with the completion of the Weather Company divestiture and updates to our management system. We are making changes to our reportable segments, to reflect the way the company manages operations and allocates resources. These actions better align our portfolio to our core strategy and to the underlying business models. These changes also provide more relevant information to investors. The following updates do not impact IBM’s consolidated results.
IBM’s reported results will reflect these changes beginning in the first quarter of 2024. We expect to provide recast segment financials for 2022 and 2023 by the end of March to allow investors to update their models ahead of our first quarter earnings report.
The 2024 expectations provided in our January earnings call incorporated the divestiture of The Weather Company assets in the first quarter. Additionally, the commentary on segment expectations applies to the recast segments.
Reportable Segment Change
Resulting Segment Implications
The Weather Company asset divestiture
- Software Segment
+ Other – divested businesses
Security Services realignment
- Software Segment
+ Consulting Segment
Removal of stock-based compensation and net interest expense allocations from segment profitability
- Software Segment, Consulting
Segment, Infrastructure Segment,
Financing Segment*
+ Other
* Presentation of interest for the Financing segment will not change