Philadelphia, Pennsylvania--(Newsfile Corp. - February 9, 2026) - Kehoe Law Firm, P.C. is investigating potential securities fraud claims on behalf of investors of Kyndryl Holdings, Inc. ("Kyndryl" or the "Company") (NYSE: KD).On February 9, 2026, Kendryl reported it will delay filing its 10-Q, because it ". . . is reviewing its cash management practices, related disclosures (including regarding the drivers of the Company's adjusted free cash flow metric), the efficacy of the Company's internal control ove ...

San Diego, California--(Newsfile Corp. - February 9, 2026) - Johnson Fistel, PLLP is investigating whether Kyndryl Holdings, Inc. (NYSE: KD) or its executive officers complied with the federal securities laws. The investigation focuses on investors' losses and whether those losses may be recoverable under federal securities laws. If you purchased Kyndryl securities and suffered losses on your investment, join our investigation now: Click Here to Join the Investigation.For more information, contact Jim Bake ...

Earnings Overview - More than half of the S&P 500 companies have reported Q4 earnings, with 79% of the 293 companies beating expectations [1] - S&P earnings growth is projected to increase by +8.4% in Q4, marking the tenth consecutive quarter of year-over-year growth [1] - Excluding the Magnificent Seven technology stocks, Q4 earnings are expected to rise by +4.6% [1] Economic Indicators - The Q4 employment cost index is expected to rise by 0.8% [2] - December retail sales are anticipated to increase by +0.4% month-over-month [2] - January nonfarm payrolls are expected to rise by +69,000, with the unemployment rate remaining at 4.4% [2] - January average hourly earnings are projected to increase by +0.3% month-over-month and +3.7% year-over-year [2] - Initial weekly unemployment claims are expected to decrease by -7,000 to 224,000 [2] - January CPI is expected to rise by +2.5% year-over-year [2] Market Movements - The S&P 500 Index is up +0.46%, the Dow Jones is up +0.09%, and the Nasdaq 100 is up +0.61% [6] - Overseas markets are also showing positive movements, with the Euro Stoxx 50 up +0.66% and Japan's Nikkei Stock 225 up +3.89% [7] Sector Performance - Chip makers and AI-infrastructure stocks have rebounded, with Nvidia up more than +3% and AMD, Broadcom, and Western Digital up more than +2% [12] - Mining stocks are performing well, with gold prices up more than +1% and silver prices up more than +6% [13] - AppLovin is up more than +13% after positive client performance news [13] - Oracle is up more than +9% following an upgrade to buy from neutral [14] Company-Specific News - Dynatrace reported Q3 revenue of $515.5 million, exceeding consensus estimates, and raised its full-year revenue forecast [15] - Kyndryl Holdings is down more than -54% after reporting lower-than-expected Q3 revenue and cutting its profit estimate [16] - Hims & Hers Health is down more than -23% after halting sales of a new product [17] - Monday.com is down more than -21% after forecasting lower Q4 revenue [17]

SAN DIEGO, Feb. 09, 2026 (GLOBE NEWSWIRE) -- Johnson Fistel, PLLP is investigating whether Kyndryl Holdings, Inc. (NYSE: KD) or its executive officers complied with the federal securities laws. The investigation focuses on investors’ losses and whether those losses may be recoverable under federal securities laws. If you purchased Kyndryl securities and suffered losses on your investment, join our investigation now: Click Here to Join the Investigation. For more information, contact Jim Baker at jimb@johnso ...

BOSTON, Feb. 09, 2026 (GLOBE NEWSWIRE) -- Block & Leviton is investigating Kyndryl Holdings, Inc. (NYSE: KD) for potential securities law violations. Investors who have lost money in their Kyndryl Holdings, Inc. investment should contact the firm to learn more about how they might recover those losses. For more details, visit https://blockleviton.com/cases/kd. What is this all about? Shares of Kyndryl Holdings fell more than 50% in intraday trading on February 9, 2026, after the company disclosed an interna ...

For the quarter ended December 2025, Kyndryl Holdings, Inc. (KD) reported revenue of $3.86 billion, up 3.1% over the same period last year. EPS came in at $0.52, compared to $0.51 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $3.91 billion, representing a surprise of -1.38%. The company delivered an EPS surprise of -12.85%, with the consensus EPS estimate being $0.60.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- ...

Financial Data and Key Metrics Changes - The company reported revenue of $3.9 billion for the third quarter, reflecting a 3% increase year-over-year on a reported basis, unchanged in constant currency [15][16] - Adjusted EBITDA decreased by 1% year-over-year to $696 million, while Adjusted Pre-Tax Income grew by 5% year-over-year to $168 million [16][18] - Free cash flow generated in the third quarter was $217 million, with a net CapEx of $210 million [18][19] Business Line Data and Key Metrics Changes - Kyndryl Consult experienced a strong performance with a 20% year-over-year growth in constant currency, now representing 25% of total revenue [15][16] - Hyperscaler-related revenue reached $500 million in the third quarter, marking a 58% increase year-over-year, exceeding initial growth expectations [17] - The company signed contracts totaling $3.9 billion in the quarter, with a trailing 12-month revenue book-to-bill ratio remaining above 1.0 [5][16] Market Data and Key Metrics Changes - The company noted a slowdown in attrition rates, particularly in strategic markets and the UK, which has led to increased local hiring costs [31][32] - The evolving partnership with IBM has resulted in a significant reduction in annualized spend from nearly $4 billion to approximately $2 billion, impacting revenue growth [9][58] Company Strategy and Development Direction - The company is focused on expanding its capabilities in AI and private cloud services, responding to increased demand driven by data sovereignty and security requirements [12][66] - The strategic direction emphasizes the importance of long-term customer relationships and adapting to changing market dynamics [13][66] - The company aims to achieve fiscal 2028 targets, projecting approximately $1.1 billion in Adjusted Pre-Tax Income and over $1 billion in adjusted free cash flow [14][23] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that longer sales cycles and evolving customer consumption models are impacting revenue expectations [24][28] - The company remains confident in its growth strategy despite current challenges, emphasizing the importance of adapting to industry disruptions caused by AI and regulatory changes [7][39] - Management reiterated that they do not expect a restatement of financial statements despite ongoing SEC reviews [25][36] Other Important Information - The company has repurchased 3.7 million shares in the quarter, representing 1.6% of outstanding shares, as part of its capital allocation strategy [18][19] - The financial position remains strong with a cash balance of $1.35 billion and a net leverage ratio of 0.7x Adjusted EBITDA [20][21] Q&A Session Summary Question: Outlook and Revision Factors - Analysts inquired about the reasons behind the revised outlook, focusing on sales cycle delays and the evolving IBM partnership [27][28] - Management explained that the sales cycles have lengthened due to market dynamics and regulatory discussions, impacting growth expectations [28][29] Question: Strategic Market Changes - Questions were raised regarding changes in strategic markets, particularly in the UK, and the associated costs and benefits [30][31] - Management indicated that investments in local markets are necessary but may take time to yield results [31][32] Question: Free Cash Flow and Working Capital - Analysts sought clarification on the factors affecting free cash flow projections, particularly in relation to pre-tax income revisions [49][50] - Management confirmed that the primary driver of the change in free cash flow guidance is linked to the revision in pre-tax income [50] Question: Confidence in Fiscal 2028 Targets - Questions were posed about the building blocks supporting confidence in achieving fiscal 2028 targets despite current shortfalls [56][57] - Management highlighted the importance of cash flow growth, profitability improvements, and the shift towards higher-margin contracts as key factors [58][59]

Financial Data and Key Metrics Changes - The company reported revenue of $3.9 billion for the third quarter, reflecting a 3% increase year-over-year on a reported basis, unchanged in constant currency [15] - Adjusted EBITDA decreased by 1% year-over-year to $696 million, while Adjusted Pre-Tax Income grew by 5% year-over-year to $168 million [16] - Free cash flow generated in the third quarter was $217 million, with a net CapEx of $210 million [18] Business Line Data and Key Metrics Changes - Kyndryl Consult experienced a strong performance with a 20% year-over-year growth in constant currency, now representing 25% of total revenue [15][16] - Hyperscaler-related revenue reached $500 million in the third quarter, marking a 58% increase year-over-year [17] - Signings for the quarter totaled $3.9 billion, with a trailing 12-month revenue book-to-bill ratio remaining above 1.0x [5][15] Market Data and Key Metrics Changes - The company noted a slowdown in attrition rates, which has led to higher labor costs in the near term [7] - The evolving partnership with IBM has resulted in a significant reduction in annualized spend from nearly $4 billion to approximately $2 billion [9] - The company is addressing market dynamics such as data sovereignty and AI, which are impacting customer decision-making processes [39] Company Strategy and Development Direction - The company is focused on expanding its capabilities in AI and private cloud services, responding to increased demand driven by industry trends [12][66] - The strategic partnership with IBM is evolving, with efforts to enhance the value proposition for customers [8][10] - The company aims to achieve fiscal 2028 targets, with a focus on margin expansion and profitability through high-value service offerings [13][14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that longer sales cycles and evolving customer consumption models are impacting revenue growth expectations [24] - The company remains confident in its growth strategy despite recent challenges, emphasizing the importance of adapting to market dynamics [7][13] - Management expects to generate approximately $800 million in free cash flow over fiscal 2025 and 2026 combined [14][23] Other Important Information - The company disclosed a delay in filing its quarterly report due to an ongoing review of cash management practices by the SEC, but does not expect a restatement of financial statements [25] - The company has repurchased 3.7 million shares in the quarter, representing 1.6% of outstanding shares, as part of its capital allocation strategy [18][19] Q&A Session Summary Question: Outlook and Revision Factors - Analysts inquired about the reasons behind the revised outlook, focusing on longer sales cycles and the evolving IBM partnership [27][28] - Management explained that the sales cycle extension affected multiple business areas, including Consult and hyperscaler services [28][29] Question: Strategic Markets and UK Operations - Questions were raised regarding changes in Strategic Markets and the UK, with management indicating that local investments are more expensive and adjustments will take time [30][31] Question: Impact of Review on Forward Commentary - Analysts asked about the impact of the SEC review on future guidance, to which management reiterated confidence in achieving fiscal 2028 goals without expecting a restatement [36] Question: Sales Cycle Length and Deal Timelines - Analysts sought clarification on the timeframe for closing deals affected by extended sales cycles, with management indicating that many discussions are linked to customer renewals and should stabilize within a couple of quarters [61][63] Question: Free Cash Flow and Working Capital - Questions were raised about the decrease in free cash flow guidance, attributed primarily to changes in pre-tax income [49][50] Question: Confidence in Fiscal 2028 Targets - Analysts asked about the building blocks supporting confidence in fiscal 2028 targets, with management highlighting improved cash flow and profitability driven by high-margin backlog [56][58]

Kyndryl (NYSE:KD) Q3 2026 Earnings call February 09, 2026 08:30 AM ET Speaker3Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Lori Chaitman, Global Head of Investor Relations. Please go ahead.Speaker7Good morning, everyone, and welcome to Kyndryl's earnings call for the third fiscal quarter ended December 31, 2025. Before we begin, I'd like to remind you that our remarks today include forward-looking statements. These sta ...

Kyndryl Holdings, Inc. (KD) came out with quarterly earnings of $0.52 per share, missing the Zacks Consensus Estimate of $0.6 per share. This compares to earnings of $0.51 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -12.85%. A quarter ago, it was expected that this company would post earnings of $0.35 per share when it actually produced earnings of $0.38, delivering a surprise of +8.57%.Over the last four quarters, the com ...