8-KEarnings & ResultsRegulation FDExhibits & Filings

INTERNATIONAL BUSINESS MACHINES CORP 8-K Report, Financial Results (Dec 27, 2021)

Filed December 27, 2021For Securities:IBM

Summary

This Form 8-K filing from IBM primarily serves to provide investors with updated financial information following two significant corporate actions: the announcement of reporting segment changes and the completion of the Kyndryl Holdings, Inc. separation. The company is furnishing recast historical financial data and segment information that reflects these changes, made available on their Investor Relations website. Investors should note that this information is provided to offer a clearer view of the company's performance and structure post-Kyndryl spin-off and with updated segment reporting. The filing also emphasizes IBM's provision of non-GAAP financial measures alongside GAAP information. While management believes these non-GAAP measures offer valuable insights, investors are directed to Exhibit 99.2 for reconciliations to the most directly comparable GAAP measures. This aims to provide a more comprehensive understanding of IBM's financial performance and operational segments as it moves forward.

Key Highlights

  • 1IBM completed the separation of Kyndryl Holdings, Inc. on November 3, 2021.
  • 2The company has updated its reporting segments and provided recast historical financial data reflecting these changes.
  • 3Updated segment data and adjusted historical financials for discontinued operations are available on IBM's Investor Relations website.
  • 4The filing includes information on non-GAAP financial measures to provide additional insights into the company's results.
  • 5Reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures are provided in Exhibit 99.2.
  • 6The information furnished in this 8-K is not considered 'filed' for Section 18 purposes, meaning it's for disclosure and not subject to liabilities under that specific section.
  • 7IBM encourages investors to regularly visit its website for updated financial and other information.

Frequently Asked Questions

This filing is primarily to inform investors about IBM's updated financial reporting structure after the separation of Kyndryl Holdings, Inc. and changes to its business segments. It provides recast historical financial data and segment information to reflect these significant corporate events.

The recast historical financial data, adjusted for discontinued operations, and the recast segment data under the new structure are available on IBM's Investor Relations website (www.ibm.com/investor/). This information is included as Exhibit 7 of Exhibit 99.1 to this Form 8-K.

The separation of Kyndryl, which was completed on November 3, 2021, means that Kyndryl now operates as an independent, publicly traded company. IBM has provided updated financial information to reflect the impact of this spin-off on its own historical results and reporting segments.

IBM provides non-GAAP financial measures because management believes they offer useful additional information to investors for understanding the company's results. These measures are intended to supplement, not replace, the GAAP financial statements. Reconciliations to GAAP are provided in Exhibit 99.2.