What is IBM's free cash flow margin?

Latest reported free cash flow margin for IBM (IBM) is 18.99% as of the trailing twelve months (TTM) ending March 31, 2026.

How has IBM free cash flow margin changed year-over-year?

IBM (IBM) free cash flow margin changed −1.6 percentage points year-over-year on the latest annual filing.

When did IBM free cash flow margin hit its highest annual value?

IBM free cash flow margin reached its highest annual value of 27.12% in 2020.

What was IBM free cash flow margin in 2024?

IBM (IBM) free cash flow margin in 2024 was 18.74%.

What was IBM free cash flow margin in 2025?

IBM (IBM) free cash flow margin in 2025 was 17.14%.

IBM (IBM) FCF Margin — Free Cash Flow Margin History

TTM

19.0%

YoY change

−1.60pp

Trough year (1992)

-0.4%

Peak year (2020)

27.1%

FCF Margin history chart for IBM (IBM) from 1989 to 2025

Latest: 17.1%

FCF Margin change chart for IBM (IBM) from 1989 to 2025

Latest: −1.60pp

FCF Margin history table for IBM (IBM) from 1989 to 2025


2025	17.1%	-1.60pp	Dec 31, 2025	Feb 24, 2026
2024	18.7%	-0.85pp	Dec 31, 2024	Feb 25, 2025
2023	19.6%	+5.61pp	Dec 31, 2023	Feb 26, 2024
2022	14.0%	-3.50pp	Dec 31, 2022	Feb 28, 2023
2021	17.5%	-9.64pp	Dec 31, 2021	Feb 22, 2022
2020	27.1%	+6.57pp	Dec 31, 2020	Feb 23, 2021
2019	20.6%	+6.38pp	Dec 31, 2019	Feb 25, 2020
2018	14.2%	-2.19pp	Dec 31, 2018	Feb 26, 2019
2017	16.4%	+0.18pp	Dec 31, 2017	Feb 27, 2018
2016	16.2%	+0.15pp	Dec 31, 2016	Feb 28, 2017
2015	16.0%	+2.36pp	Dec 31, 2015	Feb 23, 2016
2014	13.7%	+0.10pp	Dec 31, 2014	Feb 24, 2015
2013	13.6%	-0.89pp	Dec 31, 2013	Feb 25, 2014
2012	14.5%	+0.26pp	Dec 31, 2012	Feb 26, 2013
2011	14.2%	-0.62pp	Dec 31, 2011	Feb 28, 2012
2010	14.8%	-2.62pp	Dec 31, 2010	Feb 22, 2011
2009	17.4%	+4.00pp	Dec 31, 2009	Feb 23, 2010
2008	13.4%	+2.72pp	Dec 31, 2008	Feb 24, 2009
2007	10.7%	-0.06pp	Dec 31, 2007	Feb 26, 2008
2006	10.8%	-0.50pp	Dec 31, 2006	Feb 27, 2007
2005	11.3%	+0.59pp	Dec 31, 2005	Feb 28, 2006
2004	10.7%	-0.04pp	Dec 31, 2004	Feb 24, 2005
2003	10.7%	+0.34pp	Dec 31, 2003	Mar 8, 2004
2002	10.4%	+0.02pp	Dec 31, 2002	Mar 10, 2003
2001	10.4%	+6.88pp	Dec 31, 2001	Mar 11, 2002
2000	3.5%	-0.71pp	Dec 31, 2000	Mar 13, 2001
1999	4.2%	+1.15pp	Dec 31, 1999	Mar 13, 2000
1998	3.1%	+0.83pp	Dec 31, 1998	Mar 29, 1999
1997	2.2%	-3.34pp	Dec 31, 1997	Mar 30, 1998
1996	5.6%	-1.57pp	Dec 31, 1996	Mar 27, 1997
1995	7.1%	-4.59pp	Dec 31, 1995	Mar 26, 1996
1994	11.7%	+5.89pp	Dec 31, 1994	Mar 28, 1995
1993	5.8%	+6.20pp	Dec 31, 1993	Mar 28, 1994
1992	-0.4%	-0.71pp	Dec 31, 1992	Dec 31, 1992
1991	0.4%	-1.04pp	Dec 31, 1991	Dec 31, 1991
1990	1.4%	-0.13pp	Dec 31, 1990	Dec 31, 1990
1989	1.5%	—	Dec 31, 1989	Dec 31, 1989

202517.1%-1.60pp
202418.7%-0.85pp
202319.6%+5.61pp
202214.0%-3.50pp
202117.5%-9.64pp
202027.1%+6.57pp
201920.6%+6.38pp
201814.2%-2.19pp
201716.4%+0.18pp
201616.2%+0.15pp
201516.0%+2.36pp
201413.7%+0.10pp
201313.6%-0.89pp
201214.5%+0.26pp
201114.2%-0.62pp
201014.8%-2.62pp
200917.4%+4.00pp
200813.4%+2.72pp
200710.7%-0.06pp
200610.8%-0.50pp
200511.3%+0.59pp
200410.7%-0.04pp
200310.7%+0.34pp
200210.4%+0.02pp
200110.4%+6.88pp
20003.5%-0.71pp
19994.2%+1.15pp
19983.1%+0.83pp
19972.2%-3.34pp
19965.6%-1.57pp
19957.1%-4.59pp
199411.7%+5.89pp
19935.8%+6.20pp
1992-0.4%-0.71pp
19910.4%-1.04pp
19901.4%-0.13pp
19891.5%—

FCF Margin values are taken from IBM's reported income statements (quarterly 10-Q and annual 10-K filings with the U.S. Securities and Exchange Commission). Each row shows the period end date and the filing date. YoY compares each figure to the same period one year earlier. Amounts are in USD as filed.

About FCF Margin at IBM (IBM)

According to IBM's latest reported financial statements, the company's latest reported free cash flow margin is 19.0%. Free cash flow margin is free cash flow divided by revenue — the share of each sales dollar that converts into cash after capital expenditures. Because free cash flow cannot be inflated by non-cash accounting, FCF margin is a clean read on how efficiently a business turns revenue into deployable cash.

Headline figure above is from the reporting period ending March 31, 2026 (reported April 23, 2026). Chart and table below cover the full reported history back to 1989.

As of the 2025 fiscal year, IBM (IBM) reported free cash flow margin of 17.14% – contracted 1.6 percentage points year-over-year.

2020 marks the peak free cash flow margin at 27.12%, with the historical low of -0.35% recorded in 1992.

IBM FCF Margin by Year

IBM FCF Margin 2025: 17.1%

2025's free cash flow margin for IBM came in at 17.14%, contracted 1.6 percentage points from 2024.

IBM FCF Margin 2024: 18.7%

IBM posted free cash flow margin of 18.74% in 2024, contracted 0.9 percentage points from 2023.

IBM FCF Margin 2023: 19.6%

In 2023, IBM reported free cash flow margin of 19.59%, expanded 5.6 percentage points from 2022.

IBM FCF Margin 2022: 14.0%

IBM free cash flow margin in 2022 was 13.98%, contracted 3.5 percentage points from 2021.

IBM FCF Margin 2021: 17.5%

IBM free cash flow margin in 2021 was 17.49%.

See more financial history for IBM (IBM).

Sector peers by FCF Margin

Technology peers of IBM (IBM), ranked by their latest free cash flow margin


NVIDIA (NVDA)	47.0%
Broadcom (AVGO)	43.4%
Apple (AAPL)	28.6%
TSMC (TSM)	26.6%
ASML (ASML)	25.5%
Microsoft (MSFT)	22.9%
AMD (AMD)	22.9%
Micron Technology (MU)	17.7%

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