IBM Falls Most in 15 Months on Tepid Software Sales

Shares of International Business Machines Corp. declined the most since April 2024 after the company reported weaker-than-expected sales in its closely watched software segment, disappointing investors who have grown increasingly optimistic about the business.

Second-quarter software unit sales increased 10% to $7.39 billion, the company said in a statement Wednesday, slightly below analysts’ average estimate of $7.49 billion. The company’s consulting business, which has been experiencing a growth slump, generated a revenue bump of 3% to $5.31 billion.