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International Business Machines Corporation (IBM) Net Profit Margin: 15.61%

Is International Business Machines Corporation’s net profit margin high or low?

International Business Machines Corporation's net profit margin of 15.61% is 55% above its 5-year average of 10.04%, near the high end of its 5-year range (2.71%–15.69%).

The net profit margin for International Business Machines Corporation (IBM) is 15.61% as of Wednesday, June 10, 2026. It is above its 12-month average by 23.45% (12.64%).

IBM Net Profit Margin Chart

IBM Net Profit Margin
15.69%+63.44% 1Y
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IBM Average Net Profit Margin Chart

IBM Current vs Average Net Profit Margin Chart

IBM Net Profit Margin Metrics

NET PROFIT MARGIN

15.61%

NET PROFIT MARGIN AVG TTM

12.64%

NET PROFIT MARGIN AVG 3Y

10.03%

NET PROFIT MARGIN AVG 5Y

10.04%

NET PROFIT MARGIN AVG 10Y

11.44%

NET PROFIT MARGIN AVG 15Y

12.59%

NET PROFIT MARGIN AVG 20Y

12.24%

CURRENT VS TTM AVG

+23.45%

CURRENT VS 3Y AVG

+55.59%

CURRENT VS 5Y AVG

+55.40%

CURRENT VS 10Y AVG

+36.45%

CURRENT VS 15Y AVG

+24.02%

CURRENT VS 20Y AVG

+27.58%

IBM Competitors' Net Profit Margin

NAMEMARKET CAPNET PROFIT MARGINTTM3Y5Y
International Business Machines Corporation (IBM)15.61%12.64%10.03%10.04%
Texas Instruments Incorporated (TXN)$257.37B29.11%29.48%34.95%36.81%
KLA Corporation (KLAC)$279.96B35.66%30.78%32.47%30.15%
Marvell Technology, Inc. (MRVL)$223.92B28.99%8.61%-0.62%-3.54%
Palantir Technologies Inc. (PLTR)$298.97B43.67%26.22%10.57%-16.37%
QUALCOMM Incorporated (QCOM)$202.82B22.31%19.27%22.00%22.84%
Analog Devices, Inc. (ADI)$191.81B26.01%18.96%21.62%21.35%
Arm Holdings plc American Depositary Shares (ARM)$328.47B18.37%19.07%16.79%17.77%
Amphenol Corporation (APH)$184.89B17.28%17.20%16.21%15.58%
Seagate Technology Holdings plc (STX)$182.47B21.60%10.63%7.06%8.35%

Margin Comparison

Operating Margin

16.4%

Net Profit Margin

15.6%

International Business Machines Corporation Net Profit Margin Formula & Definition

Net Profit Margin = Net Income / Revenue

Net profit margin is the percentage of revenue that becomes net income after all expenses, taxes, and interest.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

International Business Machines Corporation Net Profit Margin FAQ

What is the net profit margin for International Business Machines Corporation (IBM)?
The net profit margin for IBM stock is 15.61%.
Is International Business Machines Corporation's net profit margin high or low?
International Business Machines Corporation's net profit margin of 15.61% is 55% above its 5-year average of 10.04%, near the high end of its 5-year range (2.71%–15.69%).
What is the TTM average net profit margin for International Business Machines Corporation (IBM)?
The TTM average net profit margin for IBM stock is 12.64%.
What is the 3Y average net profit margin for International Business Machines Corporation (IBM)?
The 3Y average net profit margin for IBM stock is 10.03%.
What is the 5Y average net profit margin for International Business Machines Corporation (IBM)?
The 5Y average net profit margin for IBM stock is 10.04%.
What is the 10Y average net profit margin for International Business Machines Corporation (IBM)?
The 10Y average net profit margin for IBM stock is 11.44%.
What is the 15Y average net profit margin for International Business Machines Corporation (IBM)?
The 15Y average net profit margin for IBM stock is 12.59%.
What is the 20Y average net profit margin for International Business Machines Corporation (IBM)?
The 20Y average net profit margin for IBM stock is 12.24%.

International Business Machines Corporation Net Profit Margin History

DATENET PROFIT MARGIN
2025-12-3115.69%
2024-12-319.60%
2023-12-3112.13%
2022-12-312.71%
2021-12-3110.01%
2020-12-3110.13%
2019-12-3116.34%
2018-12-3110.97%
2017-12-317.27%
2016-12-3114.85%
2015-12-3116.14%
2014-12-3112.96%
2013-12-3116.76%
2012-12-3116.14%
2011-12-3114.83%
2010-12-3114.85%
2009-12-3114.02%
2008-12-3111.90%
2007-12-3110.55%
2006-12-3110.38%
2005-12-318.71%
2004-12-317.77%
2003-12-317.36%
2002-12-314.41%
2001-12-319.30%
2000-12-319.16%
1999-12-318.81%
1998-12-317.75%
1997-12-317.76%
1996-12-317.39%

About International Business Machines Corporation

International Business Machines Corporation (IBM) delivers comprehensive technology solutions and services across the globe. The company's operations are structured into four primary segments: Software, Consulting, Infrastructure, and Financing. The Software division provides hybrid cloud platforms and a range of software offerings, including Red Hat's enterprise open-source solutions. It also develops software for business automation, AIOps and management, integration, and application servers, in addition to data and artificial intelligence tools. This segment further supplies security software and services for threat, data, and identity management, and offers critical transaction processing software that supports essential on-premise workloads for industries such as banking, airlines, and retail. The Consulting arm delivers business transformation services, which encompass strategy development, business process design and operational improvements, data and analytics insights, and system integration. It additionally provides technology consulting and specialized application and cloud platform services. IBM's Infrastructure segment offers both on-premises and cloud-based server and storage solutions, specifically tailored for clients' crucial and regulated operations. It also extends support and solutions for hybrid cloud infrastructure, alongside remanufacturing and remarketing services for used equipment. The Financing segment provides various financial services, such as leasing, installment payment plans, loan financing, and short-term working capital solutions. Originally established in 1911 as the Computing-Tabulating-Recording Co., the company is now known as International Business Machines Corporation and maintains its headquarters in Armonk, New York.

Armonk, NY
270,300 employees
Technology / Information Technology Services
Sector
Technology
Industry
Information Technology Services
CEO
Arvind Krishna