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Side-by-side financial comparison of IBM (IBM) and Netflix (NFLX). Click either name above to swap in a different company.
IBM is the larger business by last-quarter revenue ($15.9B vs $12.2B, roughly 1.3× Netflix). Netflix runs the higher net margin — 43.1% vs 7.6%, a 35.5% gap on every dollar of revenue. On growth, Netflix posted the faster year-over-year revenue change (16.2% vs 9.7%). Netflix produced more free cash flow last quarter ($5.1B vs $2.2B). Over the past eight quarters, Netflix's revenue compounded faster (13.2% CAGR vs 0.4%).
International Business Machines Corporation, doing business as IBM, is an American multinational technology company headquartered in Armonk, New York, and present in over 175 countries. It is a publicly traded company and one of the 30 companies in the Dow Jones Industrial Average. IBM is the largest industrial research organization in the world, with 19 research facilities across a dozen countries; for 29 consecutive years, from 1993 to 2021, it held the record for most annual U.S.
Netflix is an American subscription video on-demand over-the-top streaming service. The service primarily distributes original and acquired films and television shows from various genres. It is available internationally in multiple languages.
IBM vs NFLX — Head-to-Head
Income Statement — Q1 FY2026 vs Q1 FY2026
| Metric | | |
|---|---|---|
| Revenue | $15.9B | $12.2B |
| Net Profit | $1.2B | $5.3B |
| Gross Margin | 56.3% | 51.9% |
| Operating Margin | — | 32.3% |
| Net Margin | 7.6% | 43.1% |
| Revenue YoY | 9.7% | 16.2% |
| Net Profit YoY | 15.3% | 82.8% |
| EPS (diluted) | $1.28 | $1.23 |
Green = leading value per metric. Periods may differ when fiscal calendars don't align.
8-Quarter Revenue & Profit Trend
Side-by-side quarterly history. Quarters aligned by calendar period so offset fiscal years line up.
| Q1 26 | $15.9B | $12.2B | ||
| Q4 25 | $19.7B | $12.1B | ||
| Q3 25 | $16.3B | $11.5B | ||
| Q2 25 | $17.0B | $11.1B | ||
| Q1 25 | $14.5B | $10.5B | ||
| Q4 24 | $17.6B | $10.2B | ||
| Q3 24 | $15.0B | $9.8B | ||
| Q2 24 | $15.8B | $9.6B |
| Q1 26 | $1.2B | $5.3B | ||
| Q4 25 | $5.6B | $2.4B | ||
| Q3 25 | $1.7B | $2.5B | ||
| Q2 25 | $2.2B | $3.1B | ||
| Q1 25 | $1.1B | $2.9B | ||
| Q4 24 | $2.9B | $1.9B | ||
| Q3 24 | $-330.0M | $2.4B | ||
| Q2 24 | $1.8B | $2.1B |
| Q1 26 | 56.3% | 51.9% | ||
| Q4 25 | 60.6% | 45.9% | ||
| Q3 25 | 57.3% | 46.4% | ||
| Q2 25 | 58.8% | 51.9% | ||
| Q1 25 | 55.2% | 50.1% | ||
| Q4 24 | 59.5% | 43.7% | ||
| Q3 24 | 56.3% | 47.9% | ||
| Q2 24 | 56.8% | 45.9% |
| Q1 26 | — | 32.3% | ||
| Q4 25 | 21.0% | 24.5% | ||
| Q3 25 | 14.9% | 28.2% | ||
| Q2 25 | 15.3% | 34.1% | ||
| Q1 25 | 8.0% | 31.7% | ||
| Q4 24 | 18.8% | 22.2% | ||
| Q3 24 | -5.4% | 29.6% | ||
| Q2 24 | 14.1% | 27.2% |
| Q1 26 | 7.6% | 43.1% | ||
| Q4 25 | 28.4% | 20.1% | ||
| Q3 25 | 10.7% | 22.1% | ||
| Q2 25 | 12.9% | 28.2% | ||
| Q1 25 | 7.3% | 27.4% | ||
| Q4 24 | 16.6% | 18.2% | ||
| Q3 24 | -2.2% | 24.1% | ||
| Q2 24 | 11.6% | 22.5% |
| Q1 26 | $1.28 | $1.23 | ||
| Q4 25 | $5.90 | $-17.14 | ||
| Q3 25 | $1.84 | $5.87 | ||
| Q2 25 | $2.31 | $7.19 | ||
| Q1 25 | $1.12 | $0.66 | ||
| Q4 24 | $3.11 | $4.27 | ||
| Q3 24 | $-0.36 | $5.40 | ||
| Q2 24 | $1.96 | $4.88 |
Balance Sheet & Financial Strength
Snapshot of each company's liquidity, leverage and book value from the latest quarter.
| Metric | | |
|---|---|---|
| Cash + ST InvestmentsLiquidity on hand | $10.8B | $12.3B |
| Total DebtLower is stronger | $66.4B | $13.4B |
| Stockholders' EquityBook value | $33.1B | $31.1B |
| Total Assets | $156.2B | $61.0B |
| Debt / EquityLower = less leverage | 2.01× | 0.43× |
8-quarter trend — quarters aligned by calendar period.
| Q1 26 | $10.8B | $12.3B | ||
| Q4 25 | $13.6B | $9.1B | ||
| Q3 25 | $11.6B | $9.3B | ||
| Q2 25 | $11.9B | $8.4B | ||
| Q1 25 | $11.0B | $8.4B | ||
| Q4 24 | $13.9B | $9.6B | ||
| Q3 24 | $13.2B | $9.2B | ||
| Q2 24 | $12.2B | $6.7B |
| Q1 26 | $66.4B | $13.4B | ||
| Q4 25 | $54.8B | $13.5B | ||
| Q3 25 | $55.2B | $14.5B | ||
| Q2 25 | $55.2B | $14.5B | ||
| Q1 25 | $56.4B | $14.0B | ||
| Q4 24 | $49.9B | $13.8B | ||
| Q3 24 | $53.0B | $14.2B | ||
| Q2 24 | $52.9B | $12.2B |
| Q1 26 | $33.1B | $31.1B | ||
| Q4 25 | $32.6B | $26.6B | ||
| Q3 25 | $27.9B | $26.0B | ||
| Q2 25 | $27.5B | $25.0B | ||
| Q1 25 | $26.9B | $24.0B | ||
| Q4 24 | $27.3B | $24.7B | ||
| Q3 24 | $24.4B | $22.7B | ||
| Q2 24 | $24.0B | $22.1B |
| Q1 26 | $156.2B | $61.0B | ||
| Q4 25 | $151.9B | $55.6B | ||
| Q3 25 | $146.3B | $54.9B | ||
| Q2 25 | $148.6B | $53.1B | ||
| Q1 25 | $145.7B | $52.1B | ||
| Q4 24 | $137.2B | $53.6B | ||
| Q3 24 | $134.3B | $52.3B | ||
| Q2 24 | $133.8B | $49.1B |
| Q1 26 | 2.01× | 0.43× | ||
| Q4 25 | 1.68× | 0.51× | ||
| Q3 25 | 1.98× | 0.56× | ||
| Q2 25 | 2.01× | 0.58× | ||
| Q1 25 | 2.10× | 0.58× | ||
| Q4 24 | 1.83× | 0.56× | ||
| Q3 24 | 2.17× | 0.62× | ||
| Q2 24 | 2.20× | 0.55× |
Cash Flow & Capital Efficiency
How much cash each business actually produces after reinvestment. Cash flow is harder to manipulate than net income.
| Metric | | |
|---|---|---|
| Operating Cash FlowLast quarter | $5.2B | $5.3B |
| Free Cash FlowOCF − Capex | $2.2B | $5.1B |
| FCF MarginFCF / Revenue | 14.0% | 41.6% |
| Capex IntensityCapex / Revenue | 2.4% | 1.6% |
| Cash ConversionOCF / Net Profit | 4.25× | 1.00× |
| TTM Free Cash FlowTrailing 4 quarters | $10.2B | $11.9B |
8-quarter trend — quarters aligned by calendar period.
| Q1 26 | $5.2B | $5.3B | ||
| Q4 25 | $4.0B | $2.1B | ||
| Q3 25 | $3.1B | $2.8B | ||
| Q2 25 | $1.7B | $2.4B | ||
| Q1 25 | $4.4B | $2.8B | ||
| Q4 24 | $4.3B | $1.5B | ||
| Q3 24 | $2.9B | $2.3B | ||
| Q2 24 | $2.1B | $1.3B |
| Q1 26 | $2.2B | $5.1B | ||
| Q4 25 | $3.7B | $1.9B | ||
| Q3 25 | $2.8B | $2.7B | ||
| Q2 25 | $1.5B | $2.3B | ||
| Q1 25 | $4.1B | $2.7B | ||
| Q4 24 | $4.0B | $1.4B | ||
| Q3 24 | $2.6B | $2.2B | ||
| Q2 24 | $1.8B | $1.2B |
| Q1 26 | 14.0% | 41.6% | ||
| Q4 25 | 18.6% | 15.5% | ||
| Q3 25 | 17.3% | 23.1% | ||
| Q2 25 | 8.8% | 20.5% | ||
| Q1 25 | 28.4% | 25.2% | ||
| Q4 24 | 22.9% | 13.5% | ||
| Q3 24 | 17.3% | 22.3% | ||
| Q2 24 | 11.7% | 12.7% |
| Q1 26 | 2.4% | 1.6% | ||
| Q4 25 | 1.9% | 2.0% | ||
| Q3 25 | 1.6% | 1.4% | ||
| Q2 25 | 1.2% | 1.4% | ||
| Q1 25 | 1.7% | 1.2% | ||
| Q4 24 | 1.7% | 1.5% | ||
| Q3 24 | 1.9% | 1.3% | ||
| Q2 24 | 1.4% | 0.8% |
| Q1 26 | 4.25× | 1.00× | ||
| Q4 25 | 0.72× | 0.87× | ||
| Q3 25 | 1.77× | 1.11× | ||
| Q2 25 | 0.78× | 0.78× | ||
| Q1 25 | 4.14× | 0.97× | ||
| Q4 24 | 1.49× | 0.82× | ||
| Q3 24 | — | 0.98× | ||
| Q2 24 | 1.13× | 0.60× |
Financial Flow Comparison
Revenue → gross profit → operating profit → net profit for each company.
Revenue Breakdown by Segment
IBM
| Software | $7.1B | 45% |
| Consulting | $5.3B | 33% |
| Infrastructure | $3.3B | 21% |
| Financing | $200.0M | 1% |
NFLX
Segment breakdown not available.
