00ibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpense0000051143--12-312020Q310-QCapital stock, par value $.20 per shareIBM00CHXP3Y1.00P2YP30D0.5191000000194000000ibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpenseibm:OtherIncomeAndExpensefalse0000051143ibm:FinancingForPurchaseAgreementsMember2020-09-300000051143ibm:ExtendedLinesOfCreditMember2020-09-300000051143ibm:FinancingForPurchaseAgreementsMember2019-12-310000051143ibm:ExtendedLinesOfCreditMember2019-12-310000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2020-07-012020-09-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2020-01-012020-09-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2019-07-012019-09-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2019-01-012019-09-300000051143us-gaap:TreasuryStockCommonMember2020-09-300000051143us-gaap:RetainedEarningsMember2020-09-300000051143us-gaap:ParentMember2020-09-300000051143us-gaap:NoncontrollingInterestMember2020-09-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2020-09-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2020-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2020-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-09-300000051143us-gaap:TreasuryStockCommonMember2020-06-300000051143us-gaap:RetainedEarningsMember2020-06-300000051143us-gaap:ParentMember2020-06-300000051143us-gaap:NoncontrollingInterestMember2020-06-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2020-06-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-3000000511432020-06-300000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:RetainedEarningsMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:ParentMember2019-12-310000051143us-gaap:TreasuryStockCommonMember2019-12-310000051143us-gaap:RetainedEarningsMember2019-12-310000051143us-gaap:ParentMember2019-12-310000051143us-gaap:NoncontrollingInterestMember2019-12-310000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2019-12-310000051143us-gaap:AccumulatedTranslationAdjustmentMember2019-12-310000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2019-12-310000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-12-310000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2019-12-310000051143us-gaap:TreasuryStockCommonMember2019-09-300000051143us-gaap:RetainedEarningsMember2019-09-300000051143us-gaap:ParentMember2019-09-300000051143us-gaap:NoncontrollingInterestMember2019-09-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2019-09-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2019-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2019-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-09-300000051143us-gaap:TreasuryStockCommonMember2019-06-300000051143us-gaap:RetainedEarningsMember2019-06-300000051143us-gaap:ParentMember2019-06-300000051143us-gaap:NoncontrollingInterestMember2019-06-300000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2019-06-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-06-3000000511432019-06-300000051143us-gaap:TreasuryStockCommonMember2018-12-310000051143us-gaap:RetainedEarningsMember2018-12-310000051143us-gaap:ParentMember2018-12-310000051143us-gaap:NoncontrollingInterestMember2018-12-310000051143us-gaap:CommonStockIncludingAdditionalPaidInCapitalMember2018-12-310000051143us-gaap:AccumulatedTranslationAdjustmentMember2018-12-310000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-12-310000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2018-12-310000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2018-12-310000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2018-12-310000051143us-gaap:LoansPayableMember2020-09-300000051143us-gaap:CommercialPaperMember2020-09-300000051143us-gaap:LoansPayableMember2019-12-310000051143us-gaap:CommercialPaperMember2019-12-310000051143us-gaap:IntersegmentEliminationMemberibm:SystemsMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalFinancingMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143us-gaap:EMEAMember2020-07-012020-09-300000051143srt:AsiaPacificMember2020-07-012020-09-300000051143srt:AmericasMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:SystemsMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalFinancingMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143us-gaap:EMEAMember2020-01-012020-09-300000051143srt:AsiaPacificMember2020-01-012020-09-300000051143srt:AmericasMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMemberibm:SystemsMember2019-07-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2019-07-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalFinancingMember2019-07-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143us-gaap:EMEAMember2019-07-012019-09-300000051143srt:AsiaPacificMember2019-07-012019-09-300000051143srt:AmericasMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMember2019-07-012019-09-300000051143srt:RestatementAdjustmentMember2019-01-012019-12-310000051143us-gaap:IntersegmentEliminationMemberibm:SystemsMember2019-01-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2019-01-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalFinancingMember2019-01-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143us-gaap:IntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143us-gaap:EMEAMember2019-01-012019-09-300000051143srt:AsiaPacificMember2019-01-012019-09-300000051143srt:AmericasMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMember2019-01-012019-09-300000051143srt:MinimumMember2022-10-012020-09-300000051143srt:MaximumMember2022-10-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TransactionProcessingPlatformsMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TechnologySupportServicesMemberibm:GlobalTechnologyServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsHardwareMemberibm:SystemsMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:OperatingSystemsSoftwareMemberibm:SystemsMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:InfrastructureAndCloudServicesMemberibm:GlobalTechnologyServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalProcessServicesMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ConsultingServicesMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CognitiveApplicationsMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudDataPlatformsMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ApplicationManagementServicesMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TransactionProcessingPlatformsMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TechnologySupportServicesMemberibm:GlobalTechnologyServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsHardwareMemberibm:SystemsMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:OperatingSystemsSoftwareMemberibm:SystemsMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:InfrastructureAndCloudServicesMemberibm:GlobalTechnologyServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalProcessServicesMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ConsultingServicesMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CognitiveApplicationsMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudDataPlatformsMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ApplicationManagementServicesMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TransactionProcessingPlatformsMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TechnologySupportServicesMemberibm:GlobalTechnologyServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsHardwareMemberibm:SystemsMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:OperatingSystemsSoftwareMemberibm:SystemsMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:InfrastructureAndCloudServicesMemberibm:GlobalTechnologyServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalProcessServicesMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ConsultingServicesMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CognitiveApplicationsMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudDataPlatformsMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ApplicationManagementServicesMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TransactionProcessingPlatformsMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:TechnologySupportServicesMemberibm:GlobalTechnologyServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsHardwareMemberibm:SystemsMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:OperatingSystemsSoftwareMemberibm:SystemsMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:InfrastructureAndCloudServicesMemberibm:GlobalTechnologyServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalProcessServicesMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ConsultingServicesMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CognitiveApplicationsMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudDataPlatformsMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:ApplicationManagementServicesMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:SystemsMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalTechnologyServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143srt:ScenarioForecastMemberus-gaap:SubsequentEventMember2020-10-012020-12-310000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2020-07-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:OtherIncomeExpenseMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfServicesMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2020-07-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2020-01-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:OtherIncomeExpenseMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfServicesMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2020-01-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2019-07-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:OtherIncomeExpenseMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfServicesMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2019-07-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2019-01-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:InterestExpenseMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberus-gaap:CostOfSalesMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:OtherIncomeExpenseMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfServicesMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMemberibm:CostOfFinancingMember2019-01-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMember2019-07-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMember2019-01-012019-09-300000051143ibm:SelectStandaloneCloudAndCognitiveSoftwareProductsMember2020-04-012020-06-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2020-07-012020-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-07-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-07-012020-09-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2019-07-012019-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-07-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-07-012019-09-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2020-01-012020-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-01-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2020-01-012020-09-300000051143us-gaap:AccumulatedTranslationAdjustmentMember2019-01-012019-09-300000051143us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-01-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2019-01-012019-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2020-07-012020-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMember2020-07-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMember2020-07-012020-09-300000051143ibm:AccumulatedDefinedBenefitPlansAdjustmentCurtailmentsAndSettlementsMember2020-07-012020-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2020-01-012020-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMember2020-01-012020-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetPriorServiceCostCreditMember2020-01-012020-09-300000051143ibm:AccumulatedDefinedBenefitPlansAdjustmentCurtailmentsAndSettlementsMember2020-01-012020-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2019-07-012019-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMember2019-07-012019-09-300000051143ibm:AccumulatedDefinedBenefitPlansAdjustmentCurtailmentsAndSettlementsMember2019-07-012019-09-300000051143us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember2019-01-012019-09-300000051143us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:AccumulatedDefinedBenefitPlansAdjustmentNetUnamortizedGainLossMember2019-01-012019-09-300000051143ibm:AccumulatedDefinedBenefitPlansAdjustmentCurtailmentsAndSettlementsMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMember2019-07-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:CashFlowHedgingMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:CashFlowHedgingMember2019-01-012019-09-300000051143srt:MinimumMember2020-09-300000051143ibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143ibm:CloudAndCognitiveSoftwareMember2020-04-012020-06-300000051143ibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143ibm:CloudAndCognitiveSoftwareMember2020-01-012020-03-310000051143us-gaap:NoncontrollingInterestMember2020-07-012020-09-300000051143us-gaap:NoncontrollingInterestMember2020-01-012020-09-300000051143us-gaap:NoncontrollingInterestMember2019-07-012019-09-300000051143us-gaap:NoncontrollingInterestMember2019-01-012019-09-300000051143ibm:BrazilTaxMattersMember2020-01-012020-09-300000051143ibm:ThreeYearCreditAgreementMember2020-07-020000051143ibm:FiveYearCreditAgreementMember2020-07-020000051143ibm:CreditAgreement364Days2020Member2020-07-020000051143ibm:CreditAgreement364Days2019Member2020-06-300000051143us-gaap:RevolvingCreditFacilityMember2020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2020-01-012020-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:InterestExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:CostOfSalesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143ibm:OtherIncomeExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143ibm:CostOfServicesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143ibm:CostOfFinancingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:InterestExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:CostOfSalesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143ibm:OtherIncomeExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143ibm:CostOfServicesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143ibm:CostOfFinancingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:InterestExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:CostOfSalesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143ibm:OtherIncomeExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143ibm:CostOfServicesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143ibm:CostOfFinancingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:InterestExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:CostOfSalesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143ibm:OtherIncomeExpenseMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143ibm:CostOfServicesMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143ibm:CostOfFinancingMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:IntersegmentEliminationMember2020-07-012020-09-300000051143us-gaap:CorporateNonSegmentMember2020-07-012020-09-300000051143us-gaap:IntersegmentEliminationMember2020-01-012020-09-300000051143us-gaap:CorporateNonSegmentMember2020-01-012020-09-300000051143us-gaap:IntersegmentEliminationMember2019-07-012019-09-300000051143us-gaap:CorporateNonSegmentMember2019-07-012019-09-300000051143us-gaap:IntersegmentEliminationMember2019-01-012019-09-300000051143us-gaap:CorporateNonSegmentMember2019-01-012019-09-300000051143ibm:DebtCurrentMember2020-09-300000051143ibm:DebtNoncurrentMember2020-09-300000051143ibm:DebtNoncurrentMember2019-12-310000051143us-gaap:MaterialReconcilingItemsMemberus-gaap:DisposalGroupNotDiscontinuedOperationsMember2019-01-012019-12-310000051143us-gaap:OperatingSegmentsMemberibm:RedHatMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2019-01-012019-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2019-01-012019-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2019-01-012019-12-310000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-12-310000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2020-09-300000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2020-09-300000051143ibm:RedHatMemberibm:SystemsMember2020-09-300000051143ibm:RedHatMemberibm:GlobalTechnologyServicesMember2020-09-300000051143ibm:RedHatMemberibm:GlobalBusinessServicesMember2020-09-300000051143ibm:RedHatMemberibm:CloudAndCognitiveSoftwareMember2020-09-300000051143ibm:RedHatMember2020-09-300000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2019-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2019-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2019-12-310000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2019-12-310000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2018-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2018-12-310000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2018-12-310000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2018-12-310000051143us-gaap:MaterialReconcilingItemsMemberus-gaap:DisposalGroupNotDiscontinuedOperationsMember2018-12-310000051143ibm:FixedRateDebtDueIn2021Member2020-01-012020-03-310000051143us-gaap:InterestExpenseMember2020-07-012020-09-300000051143us-gaap:CostOfSalesMember2020-07-012020-09-300000051143ibm:OtherIncomeExpenseMember2020-07-012020-09-300000051143ibm:CostOfServicesMember2020-07-012020-09-300000051143ibm:CostOfFinancingMember2020-07-012020-09-300000051143us-gaap:InterestExpenseMember2020-01-012020-09-300000051143us-gaap:CostOfSalesMember2020-01-012020-09-300000051143ibm:OtherIncomeExpenseMember2020-01-012020-09-300000051143ibm:CostOfServicesMember2020-01-012020-09-300000051143ibm:CostOfFinancingMember2020-01-012020-09-300000051143us-gaap:InterestExpenseMember2019-07-012019-09-300000051143us-gaap:CostOfSalesMember2019-07-012019-09-300000051143ibm:OtherIncomeExpenseMember2019-07-012019-09-300000051143ibm:CostOfServicesMember2019-07-012019-09-300000051143ibm:CostOfFinancingMember2019-07-012019-09-300000051143us-gaap:InterestExpenseMember2019-01-012019-09-300000051143us-gaap:CostOfSalesMember2019-01-012019-09-300000051143ibm:OtherIncomeExpenseMember2019-01-012019-09-300000051143ibm:CostOfServicesMember2019-01-012019-09-300000051143ibm:CostOfFinancingMember2019-01-012019-09-300000051143us-gaap:OtherIntangibleAssetsMember2020-09-300000051143us-gaap:DevelopedTechnologyRightsMember2020-09-300000051143us-gaap:CustomerRelationshipsMember2020-09-300000051143us-gaap:ComputerSoftwareIntangibleAssetMember2020-09-300000051143ibm:PatentsAndTrademarksMember2020-09-300000051143us-gaap:OtherIntangibleAssetsMember2019-12-310000051143us-gaap:DevelopedTechnologyRightsMember2019-12-310000051143us-gaap:CustomerRelationshipsMember2019-12-310000051143us-gaap:ComputerSoftwareIntangibleAssetMember2019-12-310000051143ibm:PatentsAndTrademarksMember2019-12-310000051143us-gaap:LoansReceivableMember2020-07-012020-09-300000051143us-gaap:FinanceLeasesPortfolioSegmentMember2020-07-012020-09-300000051143us-gaap:LoansReceivableMember2020-01-012020-09-300000051143us-gaap:FinanceLeasesPortfolioSegmentMember2020-01-012020-09-300000051143ibm:MoodysBa1ToDRatingMemberus-gaap:EMEAMember2020-09-300000051143ibm:MoodysBa1ToDRatingMembersrt:AsiaPacificMember2020-09-300000051143ibm:MoodysBa1ToDRatingMembersrt:AmericasMember2020-09-300000051143ibm:MoodysAaaToBaa3RatingMemberus-gaap:EMEAMember2020-09-300000051143ibm:MoodysAaaToBaa3RatingMembersrt:AsiaPacificMember2020-09-300000051143ibm:MoodysAaaToBaa3RatingMembersrt:AmericasMember2020-09-300000051143us-gaap:LoansReceivableMember2019-01-012019-12-310000051143us-gaap:FinanceLeasesPortfolioSegmentMember2019-01-012019-12-310000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-09-300000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-09-300000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-09-300000051143us-gaap:LoansReceivableMember2020-09-300000051143us-gaap:CommercialLoanMember2020-09-300000051143ibm:ClientFinancingReceivablesPortfolioSegmentMember2020-09-300000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMembersrt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMembersrt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustedBalanceMemberus-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustedBalanceMembersrt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustedBalanceMembersrt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustedBalanceMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143us-gaap:LoansReceivableMember2019-12-310000051143us-gaap:CommercialLoanMember2019-12-310000051143ibm:ClientFinancingReceivablesPortfolioSegmentMember2019-12-310000051143us-gaap:EMEAMemberus-gaap:LoansReceivableMember2018-12-310000051143us-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2018-12-310000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2018-12-310000051143srt:AsiaPacificMemberus-gaap:LoansReceivableMember2018-12-310000051143srt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2018-12-310000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2018-12-310000051143srt:AmericasMemberus-gaap:LoansReceivableMember2018-12-310000051143srt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2018-12-310000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2018-12-310000051143us-gaap:LoansReceivableMember2018-12-310000051143us-gaap:FinanceLeasesPortfolioSegmentMember2018-12-310000051143ibm:ClientFinancingReceivablesPortfolioSegmentMember2018-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:AccountingStandardsUpdate201602Member2018-12-310000051143ibm:FixedRateDebtDueIn2021Member2020-01-012020-06-300000051143us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143ibm:SelectMarketingPlatformAndCommerceOfferingsMember2020-01-012020-09-300000051143ibm:SalesPerformanceManagementOfferingsMember2019-01-012019-12-310000051143srt:MaximumMemberus-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMember2020-01-012020-09-300000051143us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2020-09-300000051143us-gaap:InterestRateSwapMemberus-gaap:CashFlowHedgingMember2020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMember2020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2020-09-300000051143ibm:EquityContractEmployeeCompensationHedgeMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMember2020-09-300000051143us-gaap:NetInvestmentHedgingMember2020-09-300000051143us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2019-12-310000051143us-gaap:InterestRateSwapMemberus-gaap:CashFlowHedgingMember2019-12-310000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMember2019-12-310000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMember2019-12-310000051143ibm:EquityContractEmployeeCompensationHedgeMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMember2019-12-310000051143us-gaap:NetInvestmentHedgingMember2019-12-310000051143us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:OtherCurrentLiabilitiesMemberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:OtherNoncurrentLiabilitiesMemberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:OtherCurrentLiabilitiesMemberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:EquityContractMemberibm:FairValueInputsLevel1AndLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:EquityContractMemberibm:FairValueInputsLevel1AndLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:InterestRateContractMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:ForeignExchangeContractMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberibm:OtherIncomeExpenseMember2020-07-012020-09-300000051143us-gaap:EquityContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberibm:OtherIncomeExpenseMember2020-01-012020-09-300000051143us-gaap:EquityContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberibm:OtherIncomeExpenseMember2019-07-012019-09-300000051143us-gaap:EquityContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberibm:OtherIncomeExpenseMember2019-01-012019-09-300000051143us-gaap:EquityContractMemberus-gaap:NotDesignatedAsHedgingInstrumentEconomicHedgeMemberus-gaap:SellingGeneralAndAdministrativeExpensesMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberus-gaap:InterestExpenseMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberibm:CostOfFinancingMember2020-07-012020-09-300000051143ibm:CashFlowHedgingAndNetInvestmentHedgingMember2020-07-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberus-gaap:InterestExpenseMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberibm:CostOfFinancingMember2020-01-012020-09-300000051143ibm:CashFlowHedgingAndNetInvestmentHedgingMember2020-01-012020-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberus-gaap:InterestExpenseMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberibm:CostOfFinancingMember2019-07-012019-09-300000051143ibm:CashFlowHedgingAndNetInvestmentHedgingMember2019-07-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberus-gaap:InterestExpenseMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeContractMemberus-gaap:NetInvestmentHedgingMemberibm:CostOfFinancingMember2019-01-012019-09-300000051143ibm:CashFlowHedgingAndNetInvestmentHedgingMember2019-01-012019-09-300000051143ibm:OtherReceivablesMember2020-09-300000051143ibm:OtherReceivablesMember2019-12-310000051143us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2020-01-012020-09-300000051143us-gaap:NetInvestmentHedgingMember2020-01-012020-09-300000051143us-gaap:InterestRateSwapMemberus-gaap:FairValueHedgingMember2019-01-012019-12-310000051143us-gaap:ForeignExchangeForwardMemberus-gaap:CashFlowHedgingMember2019-01-012019-12-310000051143us-gaap:NetInvestmentHedgingMember2019-01-012019-12-310000051143us-gaap:PrepaidExpensesAndOtherCurrentAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:OtherNoncurrentAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:PrepaidExpensesAndOtherCurrentAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:OtherNoncurrentAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:ForeignPlanMember2020-07-012020-09-300000051143country:US2020-07-012020-09-300000051143us-gaap:ForeignPlanMember2020-01-012020-09-300000051143country:US2020-01-012020-09-300000051143us-gaap:ForeignPlanMember2019-07-012019-09-300000051143country:US2019-07-012019-09-300000051143us-gaap:ForeignPlanMember2019-01-012019-09-300000051143country:US2019-01-012019-09-300000051143us-gaap:ForeignPlanMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-07-012020-09-300000051143country:USus-gaap:PensionPlansDefinedBenefitMember2020-07-012020-09-300000051143country:USus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-07-012020-09-300000051143us-gaap:ForeignPlanMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-01-012020-09-300000051143country:USus-gaap:PensionPlansDefinedBenefitMember2020-01-012020-09-300000051143country:USus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2020-01-012020-09-300000051143us-gaap:ForeignPlanMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-07-012019-09-300000051143country:USus-gaap:PensionPlansDefinedBenefitMember2019-07-012019-09-300000051143country:USus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-07-012019-09-300000051143us-gaap:ForeignPlanMemberus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-01-012019-09-300000051143country:USus-gaap:PensionPlansDefinedBenefitMember2019-01-012019-09-300000051143country:USus-gaap:OtherPostretirementBenefitPlansDefinedBenefitMember2019-01-012019-09-300000051143ibm:ExtendedWarrantyMember2020-09-300000051143ibm:ExtendedWarrantyMember2019-12-310000051143ibm:ExtendedWarrantyMember2019-09-300000051143ibm:ExtendedWarrantyMember2018-12-310000051143ibm:ThreeYearCreditAgreementMember2020-07-022020-07-020000051143ibm:CreditAgreement364Days2020Member2020-07-022020-07-020000051143srt:MaximumMemberus-gaap:OtherNoncurrentAssetsMemberus-gaap:DebtMember2020-01-012020-09-300000051143ibm:CreditAgreement364Days2019Member2020-01-012020-06-300000051143ibm:UnitedStatesFixedAndFloatingRateNotesMember2020-06-300000051143ibm:EuroFixedRateNotesMember2020-06-300000051143us-gaap:NotesPayableOtherPayablesMember2019-06-300000051143ibm:UnitedStatesFixedAndFloatingRateNotesMember2019-06-300000051143ibm:EuroFixedRateNotesMember2019-06-300000051143currency:USDibm:NotesPayableMaturing2096Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2050Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2049Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2046Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2045Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2042Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2040Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2039Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2038Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2032Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2030Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2029Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2028Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2027Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2026Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2025Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2024Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2023Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2022Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2021Member2020-09-300000051143currency:USDibm:NotesPayableMaturing2020Member2020-09-300000051143ibm:OtherCurrencyMember2020-09-300000051143currency:USD2020-09-300000051143currency:JPY2020-09-300000051143currency:GBP2020-09-300000051143currency:EUR2020-09-300000051143currency:USDibm:NotesPayableMaturing2096Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2049Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2046Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2045Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2042Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2039Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2038Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2032Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2029Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2028Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2027Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2026Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2025Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2024Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2023Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2022Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2021Member2019-12-310000051143currency:USDibm:NotesPayableMaturing2020Member2019-12-310000051143ibm:OtherCurrencyMember2019-12-310000051143currency:USD2019-12-310000051143currency:JPY2019-12-310000051143currency:GBP2019-12-310000051143currency:EUR2019-12-310000051143us-gaap:TechnologyServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:ProductMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:FinancialServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:TechnologyServiceMember2020-07-012020-09-300000051143us-gaap:ProductMember2020-07-012020-09-300000051143us-gaap:FinancialServiceMember2020-07-012020-09-300000051143us-gaap:TechnologyServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:ProductMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:FinancialServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:TechnologyServiceMember2020-01-012020-09-300000051143us-gaap:ProductMember2020-01-012020-09-300000051143us-gaap:FinancialServiceMember2020-01-012020-09-300000051143us-gaap:TechnologyServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:ProductMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:FinancialServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:TechnologyServiceMember2019-07-012019-09-300000051143us-gaap:ProductMember2019-07-012019-09-300000051143us-gaap:FinancialServiceMember2019-07-012019-09-300000051143us-gaap:TechnologyServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:ProductMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:FinancialServiceMemberus-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143us-gaap:TechnologyServiceMember2019-01-012019-09-300000051143us-gaap:ProductMember2019-01-012019-09-300000051143us-gaap:FinancialServiceMember2019-01-012019-09-300000051143us-gaap:SubsequentEventMember2020-10-272020-10-270000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberus-gaap:InterestExpenseMember2020-07-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberibm:CostOfFinancingMember2020-07-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberus-gaap:InterestExpenseMember2020-01-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberibm:CostOfFinancingMember2020-01-012020-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberus-gaap:InterestExpenseMember2019-07-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberibm:CostOfFinancingMember2019-07-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberus-gaap:InterestExpenseMember2019-01-012019-09-300000051143us-gaap:InterestRateContractMemberus-gaap:FairValueHedgingMemberibm:CostOfFinancingMember2019-01-012019-09-300000051143us-gaap:ForeignExchangeForwardMemberus-gaap:CashFlowHedgingMember2020-01-012020-09-300000051143us-gaap:CurrencySwapMemberus-gaap:CashFlowHedgingMember2020-01-012020-09-300000051143ibm:ForwardStartingInterestRateSwapMemberus-gaap:CashFlowHedgingMember2020-01-012020-09-3000000511432019-09-300000051143us-gaap:USGovernmentDebtSecuritiesMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:MoneyMarketFundsMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:BankTimeDepositsMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:MoneyMarketFundsMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:BankTimeDepositsMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143ibm:RedHatMemberus-gaap:TrademarksMember2019-07-090000051143ibm:RedHatMemberus-gaap:DevelopedTechnologyRightsMember2019-07-090000051143ibm:RedHatMemberus-gaap:CustomerRelationshipsMember2019-07-090000051143ibm:RedHatMember2019-07-012019-09-300000051143ibm:RedHatMember2019-01-012019-09-300000051143us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:FairValueMeasurementsRecurringMember2020-09-300000051143us-gaap:FairValueMeasurementsRecurringMember2019-12-310000051143us-gaap:ForeignExchangeForwardMemberus-gaap:CashFlowHedgingMember2020-09-300000051143us-gaap:CurrencySwapMemberus-gaap:CashFlowHedgingMember2020-09-300000051143ibm:ForwardStartingInterestRateSwapMemberus-gaap:CashFlowHedgingMember2020-09-300000051143us-gaap:ForeignExchangeForwardMemberus-gaap:CashFlowHedgingMember2019-12-310000051143us-gaap:CurrencySwapMemberus-gaap:CashFlowHedgingMember2019-12-310000051143ibm:ForwardStartingInterestRateSwapMemberus-gaap:CashFlowHedgingMember2019-12-310000051143us-gaap:EmployeeStockOptionMember2020-07-012020-09-300000051143us-gaap:EmployeeStockOptionMember2020-01-012020-09-300000051143us-gaap:EmployeeStockOptionMember2019-07-012019-09-300000051143us-gaap:EmployeeStockOptionMember2019-01-012019-09-300000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-01-012020-09-300000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-01-012020-09-300000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2020-01-012020-09-300000051143ibm:ClientFinancingReceivablesPortfolioSegmentMember2020-01-012020-09-300000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-01-012019-12-310000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-01-012019-12-310000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMember2019-01-012019-12-310000051143ibm:ClientFinancingReceivablesPortfolioSegmentMember2019-01-012019-12-3100000511432018-12-310000051143us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-07-012020-09-300000051143us-gaap:ResearchAndDevelopmentExpenseMember2020-07-012020-09-300000051143ibm:CostOfRevenueMember2020-07-012020-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMember2020-01-012020-09-300000051143us-gaap:ResearchAndDevelopmentExpenseMember2020-01-012020-09-300000051143ibm:CostOfRevenueMember2020-01-012020-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-07-012019-09-300000051143us-gaap:ResearchAndDevelopmentExpenseMember2019-07-012019-09-300000051143ibm:CostOfRevenueMember2019-07-012019-09-300000051143us-gaap:SellingGeneralAndAdministrativeExpensesMember2019-01-012019-09-300000051143us-gaap:ResearchAndDevelopmentExpenseMember2019-01-012019-09-300000051143ibm:CostOfRevenueMember2019-01-012019-09-300000051143ibm:RedHatMemberus-gaap:TrademarksMember2019-07-092019-07-090000051143ibm:RedHatMemberus-gaap:DevelopedTechnologyRightsMember2019-07-092019-07-090000051143ibm:RedHatMemberus-gaap:CustomerRelationshipsMember2019-07-092019-07-090000051143ibm:RedHatMember2019-07-092019-07-090000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalFinancingMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMember2019-07-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalFinancingMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMember2019-01-012019-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalFinancingMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMember2020-07-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:SystemsMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalTechnologyServicesMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalFinancingMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:GlobalBusinessServicesMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMemberibm:CloudAndCognitiveSoftwareMember2020-01-012020-09-300000051143us-gaap:OperatingSegmentsMember2020-01-012020-09-300000051143us-gaap:MaterialReconcilingItemsMember2020-07-012020-09-300000051143us-gaap:MaterialReconcilingItemsMember2020-01-012020-09-300000051143us-gaap:MaterialReconcilingItemsMember2019-07-012019-09-300000051143us-gaap:MaterialReconcilingItemsMember2019-01-012019-09-3000000511432022-10-012020-09-3000000511432020-10-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalFinancingMember2020-07-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalFinancingMember2020-01-012020-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalFinancingMember2019-07-012019-09-300000051143ibm:OperatingSegmentsExcludingIntersegmentEliminationMemberibm:GlobalFinancingMember2019-01-012019-09-300000051143srt:MaximumMember2020-01-012020-09-300000051143us-gaap:TreasuryStockCommonMember2020-07-012020-09-300000051143us-gaap:RetainedEarningsMember2020-07-012020-09-300000051143us-gaap:ParentMember2020-07-012020-09-300000051143us-gaap:TreasuryStockCommonMember2020-01-012020-09-300000051143us-gaap:RetainedEarningsMember2020-01-012020-09-300000051143us-gaap:ParentMember2020-01-012020-09-300000051143us-gaap:TreasuryStockCommonMember2019-07-012019-09-300000051143us-gaap:RetainedEarningsMember2019-07-012019-09-300000051143us-gaap:ParentMember2019-07-012019-09-300000051143us-gaap:TreasuryStockCommonMember2019-01-012019-09-300000051143us-gaap:RetainedEarningsMember2019-01-012019-09-300000051143us-gaap:ParentMember2019-01-012019-09-300000051143srt:MinimumMember2020-07-012020-09-300000051143ibm:SelectStandaloneCloudAndCognitiveSoftwareProductsMember2020-01-012020-09-300000051143us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-07-012020-09-300000051143us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2020-01-012020-09-300000051143us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-07-012019-09-300000051143us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMemberus-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2019-01-012019-09-300000051143ibm:LitigationCaseRelatedToViolationsOfEmployeeRetirementIncomeSecurityActInUnitedStatesDistrictCourtRegardingDivestingMicroelectronicsBusinessMember2015-05-012015-05-3100000511432020-01-012020-03-310000051143us-gaap:ForeignPlanMemberus-gaap:PensionPlansDefinedBenefitMember2020-07-012020-09-300000051143us-gaap:ForeignPlanMemberus-gaap:PensionPlansDefinedBenefitMember2020-01-012020-09-300000051143us-gaap:ForeignPlanMemberus-gaap:PensionPlansDefinedBenefitMember2019-07-012019-09-300000051143us-gaap:ForeignPlanMemberus-gaap:PensionPlansDefinedBenefitMember2019-01-012019-09-300000051143ibm:ScoVsIbmMember2017-10-3000000511432020-03-310000051143ibm:AcquiredIntangiblesMember2020-09-300000051143ibm:MoodysCaaToDRatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysCaaToDRatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysCaaToDRatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysCaaToDRatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysCaaToDRatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysCaaToDRatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBaa1ToBaa3RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa3ToB1RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysBa1ToBa2RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysB2ToB3RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysB2ToB3RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysB2ToB3RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysB2ToB3RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysB2ToB3RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysB2ToB3RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysAaaToAa3RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysA1ToA3RatingMemberus-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysA1ToA3RatingMemberus-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysA1ToA3RatingMembersrt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysA1ToA3RatingMembersrt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:MoodysA1ToA3RatingMembersrt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143ibm:MoodysA1ToA3RatingMembersrt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143us-gaap:EMEAMemberus-gaap:LoansReceivableMember2019-12-310000051143us-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143srt:AsiaPacificMemberus-gaap:LoansReceivableMember2019-12-310000051143srt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143srt:AmericasMemberus-gaap:LoansReceivableMember2019-12-310000051143srt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143srt:MinimumMemberus-gaap:FinanceLeasesPortfolioSegmentMember2020-01-012020-09-300000051143srt:MinimumMemberus-gaap:CommercialLoanMember2020-01-012020-09-300000051143srt:MaximumMemberus-gaap:LoansReceivableMember2020-01-012020-09-300000051143srt:MaximumMemberus-gaap:FinanceLeasesPortfolioSegmentMember2020-01-012020-09-300000051143srt:MaximumMemberus-gaap:CommercialLoanMember2020-01-012020-09-300000051143us-gaap:FinanceLeasesPortfolioSegmentMember2020-09-300000051143us-gaap:EMEAMemberibm:ClientFinancingReceivablesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2020-09-300000051143srt:AsiaPacificMemberibm:ClientFinancingReceivablesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2020-09-300000051143srt:AmericasMemberibm:ClientFinancingReceivablesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2020-09-300000051143ibm:ClientFinancingReceivablesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2020-09-300000051143us-gaap:EMEAMemberus-gaap:LoansReceivableMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143us-gaap:EMEAMemberus-gaap:FinanceLeasesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143srt:AsiaPacificMemberus-gaap:LoansReceivableMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143srt:AsiaPacificMemberus-gaap:FinanceLeasesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143srt:AmericasMemberus-gaap:LoansReceivableMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143srt:AmericasMemberus-gaap:FinanceLeasesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143us-gaap:LoansReceivableMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143us-gaap:FinanceLeasesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143ibm:ClientFinancingReceivablesPortfolioSegmentMemberus-gaap:FinancingReceivablesEqualToGreaterThan90DaysPastDueMember2019-12-310000051143srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:AccountingStandardsUpdate201613Member2019-12-310000051143country:USibm:SelectMarketingPlatformAndCommerceOfferingsMember2019-06-302019-06-300000051143ibm:SelectStandaloneCloudAndCognitiveSoftwareProductsMember2019-06-302019-06-300000051143ibm:SelectStandaloneCloudAndCognitiveSoftwareProductsMember2019-06-300000051143ibm:SelectStandaloneCloudAndCognitiveSoftwareProductsMember2020-07-012020-09-300000051143country:USibm:SelectMarketingPlatformAndCommerceOfferingsMember2019-06-300000051143ibm:ForwardStartingInterestRateSwapMemberus-gaap:CashFlowHedgingMember2019-06-300000051143ibm:PensionPlanIncludingMultiemployerPlanMember2020-07-012020-09-300000051143ibm:PensionPlanIncludingMultiemployerPlanMember2020-01-012020-09-300000051143ibm:PensionPlanIncludingMultiemployerPlanMember2019-07-012019-09-300000051143ibm:PensionPlanIncludingMultiemployerPlanMember2019-01-012019-09-300000051143us-gaap:RevolvingCreditFacilityMember2020-01-012020-09-300000051143ibm:FiveYearCreditAgreementMember2020-07-022020-07-020000051143ibm:ExtendedWarrantyMember2020-01-012020-09-300000051143ibm:ExtendedWarrantyMember2019-01-012019-09-300000051143ibm:RedHatMember2020-07-012020-09-300000051143us-gaap:RestrictedStockUnitsRSUMember2020-07-012020-09-300000051143us-gaap:PerformanceSharesMember2020-07-012020-09-300000051143us-gaap:RestrictedStockUnitsRSUMember2020-01-012020-09-300000051143us-gaap:PerformanceSharesMember2020-01-012020-09-300000051143us-gaap:FinanceLeasesPortfolioSegmentMember2019-12-310000051143ibm:RedHatMember2019-07-090000051143ibm:RedHatMember2020-01-012020-09-3000000511432019-01-012019-12-3100000511432020-07-012020-09-3000000511432019-07-012019-09-3000000511432019-01-012019-09-3000000511432019-12-310000051143exch:XNYSus-gaap:CommonStockMember2020-01-012020-09-300000051143exch:XNYSibm:Notes2.875PercentDue2025Member2020-01-012020-09-300000051143exch:XNYSibm:Notes2.750PercentDue2020Member2020-01-012020-09-300000051143exch:XNYSibm:Notes2.625PercentDue2022Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.875PercentDue2020Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.750PercentDue2031Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.750PercentDue2028Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.500PercentDue2029Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.25PercentDue2023Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.250PercentDue2027Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.200PercentDue2040Member2020-01-012020-09-300000051143exch:XNYSibm:Notes1.125PercentDue2024Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.950PercentDue2025Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.875PercentDue2025Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.650PercentDue2032Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.500PercentDue2021Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.375PercentDue2023Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.300PercentDue2028Member2020-01-012020-09-300000051143exch:XNYSibm:Notes0.300PercentDue2026Member2020-01-012020-09-300000051143exch:XNYSibm:Debentures7.125PercentDue2096Member2020-01-012020-09-300000051143exch:XNYSibm:Debentures7.00PercentDue2045Member2020-01-012020-09-300000051143exch:XNYSibm:Debentures7.00PercentDue2025Member2020-01-012020-09-300000051143exch:XNYSibm:Debentures6.50PercentDue2028Member2020-01-012020-09-300000051143exch:XNYSibm:Debentures6.22PercentDue2027Member2020-01-012020-09-300000051143exch:XCHIus-gaap:CommonStockMember2020-01-012020-09-3000000511432020-09-3000000511432020-01-012020-09-30xbrli:sharesiso4217:USDxbrli:pureibm:itemibm:claimibm:defendantiso4217:USDxbrli:sharesibm:country

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTER ENDED SEPTEMBER 30, 2020

1-2360

(Commission file number)

INTERNATIONAL BUSINESS MACHINES CORPORATION

(Exact name of registrant as specified in its charter)

New York

13-0871985

(State of incorporation)

(IRS employer identification number)

One New Orchard Road

Armonk, New York

10504

(Address of principal executive offices)

(Zip Code)

914-499-1900

(Registrant’s telephone number)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

    

Trading symbol

    

Name of each exchange
on which registered

Capital stock, par value $.20 per share

 

IBM

 

New York Stock Exchange

 

 

 

 

NYSE Chicago

2.750%  Notes due 2020

 

IBM 20B

 

New York Stock Exchange

1.875%  Notes due 2020

 

IBM 20A

 

New York Stock Exchange

0.500%  Notes due 2021

 

IBM 21B

 

New York Stock Exchange

2.625%  Notes due 2022

 

IBM 22A

 

New York Stock Exchange

1.250%  Notes due 2023

 

IBM 23A

 

New York Stock Exchange

0.375%  Notes due 2023

 

IBM 23B

 

New York Stock Exchange

1.125%  Notes due 2024

 

IBM 24A

 

New York Stock Exchange

2.875%  Notes due 2025

 

IBM 25A

 

New York Stock Exchange

0.950%  Notes due 2025

 

IBM 25B

 

New York Stock Exchange

0.875%  Notes due 2025

 

IBM 25C

 

New York Stock Exchange

0.300%  Notes due 2026

 

IBM 26B

 

New York Stock Exchange

1.250%  Notes due 2027

 

IBM 27B

 

New York Stock Exchange

0.300% Notes due 2028

IBM 28B

New York Stock Exchange

1.750%  Notes due 2028

 

IBM 28A

 

New York Stock Exchange

1.500%  Notes due 2029

 

IBM 29

 

New York Stock Exchange

1.750%  Notes due 2031

 

IBM 31

 

New York Stock Exchange

0.650% Notes due 2032

IBM 32A

New York Stock Exchange

1.200% Notes due 2040

IBM 40

New York Stock Exchange

7.00%    Debentures due 2025

 

IBM 25

 

New York Stock Exchange

6.22%    Debentures due 2027

 

IBM 27

 

New York Stock Exchange

6.50%    Debentures due 2028

 

IBM 28

 

New York Stock Exchange

7.00%    Debentures due 2045

 

IBM 45

 

New York Stock Exchange

7.125%  Debentures due 2096

 

IBM 96

 

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section l3 or l5(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes     No 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes     No 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer 

Accelerated filer 

Non-accelerated filer 

Smaller reporting company

Emerging growth company 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act).

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes     No 

The registrant had 891,057,116 shares of common stock outstanding at September 30, 2020.

Table of Contents

Index

Page

Part I - Financial Information:

Item 1. Consolidated Financial Statements (Unaudited):

Consolidated Income Statement for the three and nine months ended September 30, 2020 and 2019

3

Consolidated Statement of Comprehensive Income for the three and nine months ended September 30, 2020 and 2019

4

Consolidated Balance Sheet at September 30, 2020 and December 31, 2019

5

Consolidated Statement of Cash Flows for the nine months ended September 30, 2020 and 2019

7

Consolidated Statement of Equity for the three and nine months ended September 30, 2020 and 2019

8

Notes to Consolidated Financial Statements

10

Item 2. Management’s Discussion and Analysis of Results of Operations and Financial Condition

51

Item 4. Controls and Procedures

94

Part II - Other Information:

Item 1. Legal Proceedings

95

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds and Issuer Repurchases of Equity Securities

95

Item 6. Exhibits

96

2

Table of Contents

Part I - Financial Information

Item 1. Consolidated Financial Statements:

INTERNATIONAL BUSINESS MACHINES CORPORATION

AND SUBSIDIARY COMPANIES

CONSOLIDATED INCOME STATEMENT

(UNAUDITED)

Three Months Ended September 30, 

 

Nine Months Ended September 30, 

(Dollars in millions except per share amounts)

    

2020

    

2019

     

2020

    

2019

Revenue:

 

  

 

  

  

 

  

Services

$

11,180

$

11,703

$

33,490

$

35,454

Sales

 

6,106

 

5,981

 

18,918

 

18,817

Financing

 

275

 

343

 

845

 

1,099

Total revenue

 

17,560

 

18,028

 

53,253

 

55,370

Cost:

 

  

 

  

 

  

 

  

Services

 

7,357

 

7,840

 

22,720

 

24,293

Sales

 

1,601

 

1,635

 

4,964

 

4,979

Financing

 

172

 

217

 

517

 

710

Total cost

 

9,130

 

9,692

 

28,202

 

29,982

Gross profit

 

8,430

 

8,336

 

25,052

 

25,388

Expense and other (income):

 

  

 

  

 

  

 

  

Selling, general and administrative

 

4,647

 

5,024

 

15,849

 

15,171

Research, development and engineering

 

1,515

 

1,553

 

4,722

 

4,393

Intellectual property and custom development income

 

(134)

 

(166)

 

(453)

 

(489)

Other (income) and expense

 

253

 

(31)

 

614

 

(850)

Interest expense

 

323

 

432

 

971

 

990

Total expense and other (income)

 

6,603

 

6,813

 

21,704

 

19,215

Income from continuing operations before income taxes

 

1,827

 

1,522

 

3,348

 

6,173

Provision for/(benefit from) income taxes

 

128

 

(151)

 

(888)

 

407

Income from continuing operations

$

1,698

$

1,673

$

4,237

$

5,766

Income/(loss) from discontinued operations, net of tax

 

(1)

 

(1)

 

(2)

 

(5)

Net income

$

1,698

$

1,672

$

4,234

$

5,761

Earnings/(loss) per share of common stock:

 

  

 

  

 

  

 

  

Assuming dilution:

 

  

 

  

 

  

 

  

Continuing operations

$

1.89

$

1.87

$

4.72

$

6.46

Discontinued operations

 

0.00

 

0.00

 

0.00

 

(0.01)

Total

$

1.89

$

1.87

$

4.72

$

6.45

Basic:

 

  

 

  

 

  

 

  

Continuing operations

$

1.90

$

1.89

$

4.76

$

6.50

Discontinued operations

 

0.00

 

0.00

 

0.00

 

(0.01)

Total

$

1.90

$

1.89

$

4.76

$

6.49

Weighted-average number of common shares outstanding: (millions)

 

  

 

  

 

  

 

  

Assuming dilution

 

897.3

 

892.8

 

895.8

 

892.5

Basic

 

891.4

 

886.0

 

889.6

 

887.3

(Amounts may not add due to rounding.)

(The accompanying notes are an integral part of the financial statements.)

3

Table of Contents

INTERNATIONAL BUSINESS MACHINES CORPORATION

AND SUBSIDIARY COMPANIES

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

(UNAUDITED)

Three Months Ended September 30, 

 

Nine Months Ended September 30, 

(Dollars in millions)

    

2020

    

2019

     

2020

    

2019

Net income

$

1,698

$

1,672

$

4,234

$

5,761

Other comprehensive income/(loss), before tax:

 

  

 

  

 

  

 

  

Foreign currency translation adjustments

 

(439)

 

(509)

 

(1,354)

 

(333)

Net changes related to available-for-sale securities:

 

  

 

  

 

  

 

  

Unrealized gains/(losses) arising during the period

 

(1)

 

3

 

0

 

1

Reclassification of (gains)/losses to net income

 

 

 

 

Total net changes related to available-for-sale securities

 

(1)

 

3

 

0

 

1

Unrealized gains/(losses) on cash flow hedges:

 

  

 

  

 

  

 

  

Unrealized gains/(losses) arising during the period

 

(32)

 

(439)

 

(249)

 

(798)

Reclassification of (gains)/losses to net income

 

(69)

 

488

 

(37)

 

418

Total unrealized gains/(losses) on cash flow hedges

 

(101)

 

49

 

(285)

 

(380)

Retirement-related benefit plans:

 

  

 

  

 

  

 

  

Prior service costs/(credits)

 

(1)

 

 

(5)

 

Net (losses)/gains arising during the period

 

0

 

0

 

65

 

113

Curtailments and settlements

 

21

 

3

 

42

 

7

Amortization of prior service (credits)/costs

 

0

 

(3)

 

1

 

(9)

Amortization of net (gains)/losses

 

586

 

461

 

1,722

 

1,385

Total retirement-related benefit plans

 

607

 

461

 

1,826

 

1,496

Other comprehensive income/(loss), before tax

 

66

 

4

 

187

 

784

Income tax (expense)/benefit related to items of other comprehensive income

 

106

 

(249)

 

(175)

 

(380)

Other comprehensive income/(loss), net of tax

 

172

 

(245)

 

12

 

404

Total comprehensive income/(loss)

$

1,870

$

1,427

$

4,247

$

6,165

(Amounts may not add due to rounding.)

(The accompanying notes are an integral part of the financial statements.)

4

Table of Contents

INTERNATIONAL BUSINESS MACHINES CORPORATION

AND SUBSIDIARY COMPANIES

CONSOLIDATED BALANCE SHEET

(UNAUDITED)

ASSETS

    

At September 30, 

    

At December 31, 

(Dollars in millions)

2020

    

2019

Assets:

 

  

 

  

Current assets:

 

  

 

  

Cash and cash equivalents

$

14,393

$

8,172

Restricted cash

 

160

 

141

Marketable securities

 

1,200

 

696

Notes and accounts receivable — trade (net of allowances of $354 in 2020 and $299 in 2019)

 

6,099

 

7,870

Short-term financing receivables (net of allowances of $205 in 2020 and $188 in 2019)

 

10,848

 

14,192

Other accounts receivable (net of allowances of $32 in 2020 and $33 in 2019)

 

923

 

1,733

Inventory, at lower of average cost or net realizable value:

 

 

  

Finished goods

 

287

 

220

Work in process and raw materials

 

1,662

 

1,399

Total inventory

 

1,949

 

1,619

Deferred costs

 

2,084

 

1,896

Prepaid expenses and other current assets

 

2,188

 

2,101

Total current assets

 

39,845

 

38,420

Property, plant and equipment

 

32,432

 

32,028

Less: Accumulated depreciation

 

22,474

 

22,018

Property, plant and equipment — net

 

9,958