Kyndryl (KD)
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Kyndryl (KD) - 2025 Q4 - Earnings Call Transcript
2025-05-08 13:32
Financial Data and Key Metrics Changes - For fiscal year 2025, the company reported signings growth of 48% in constant currency, totaling over $18 billion [6] - Adjusted pretax income increased by $317 million to $482 million, with adjusted free cash flow rising by 53% to $446 million [6][27] - The fourth quarter revenue reached $3.8 billion, reflecting a 1.3% year-over-year increase in constant currency [22] Business Line Data and Key Metrics Changes - Kindrel Consult's revenue grew by 45% in the fourth quarter and 50% in signings for fiscal year 2025, accounting for 22% of total signings [23][15] - Hyperscaler-related revenue more than doubled to $1.2 billion for the year, significantly exceeding the target of $1 billion [25][7] - The company achieved $900 million in annualized savings from its accounts initiative, surpassing its target for the year [26] Market Data and Key Metrics Changes - The company secured 55 contracts valued over $50 million in fiscal year 2025, with nearly half exceeding $100 million [10] - The signings growth was broad-based across various geographies and vertical markets, indicating strong demand for services [9] - The revenue book-to-bill ratio remained above one, suggesting future revenue growth from committed contracts [10] Company Strategy and Development Direction - The company is focused on leveraging its capabilities, partnerships, and innovation to drive sustainable growth [5] - The 3A initiatives have transitioned from turnaround drivers to pillars of profitable growth [7] - The company aims to address secular IT trends such as cloud migration, hybrid IT environments, and cybersecurity risks [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties, citing the essential nature of its services [20][19] - The outlook for fiscal year 2026 includes expectations for substantial earnings and cash flow growth, with a target of at least $725 million in adjusted pretax income [18][33] - Management highlighted the importance of continued investment in innovation and capabilities to maintain growth momentum [45] Other Important Information - The company plans to balance capital allocation between organic growth investments and share repurchase programs [73] - The fiscal year 2026 outlook anticipates a 1% revenue growth in constant currency, with hyperscaler-related revenue expected to reach $1.8 billion [32][33] - The company maintains a strong liquidity position with nearly $5 billion available at quarter-end [30] Q&A Session Summary Question: Accomplishments in 2025 and positioning for 2026 - Management reflected on the successful execution of their strategy and expressed confidence in their ability to control their own destiny moving forward [42][45] Question: Progress with focus accounts - Management indicated they are approximately 75% through their focus accounts, having achieved 90% of targeted savings [50][48] Question: Book-to-bill ratio maintenance - Management confirmed expectations to maintain a book-to-bill ratio above one, driven by strong performance in consult and hyperscaler-related services [55] Question: Revenue growth guidance - Management explained that while signings growth was strong, they are not relying solely on revenue growth to achieve profit improvement, emphasizing the importance of backlog [66][69] Question: Impact of macro uncertainties on strategic accounts - Management noted that their services are essential for productivity, which tends to be a tailwind during uncertain macro conditions [81][84] Question: Role of Kindle Bridge in macro conditions - Management affirmed that Kindle Bridge can help uncover unused resources and provide leverage in uncertain macro conditions [86]
Kyndryl (KD) - 2025 Q4 - Earnings Call Transcript
2025-05-08 13:30
Financial Data and Key Metrics Changes - Kyndryl reported a 48% increase in signings in constant currency, totaling over $18 billion for fiscal year 2025 [6] - Adjusted pretax income rose by $317 million to $482 million, with adjusted free cash flow increasing by 53% to $446 million [6][27] - The fourth quarter revenue reached $3.8 billion, reflecting a 1.3% year-over-year increase in constant currency [22] Business Line Data and Key Metrics Changes - Kyndryl Consult's revenue grew by more than 25% for the year, with consult signings increasing by 50% in constant currency [7][14] - Hyperscaler-related revenue more than doubled to $1.2 billion for the year, significantly exceeding the target of nearly $1 billion [26] - The adjusted EBITDA margin for the fourth quarter was 18.4%, up 370 basis points year-over-year [24] Market Data and Key Metrics Changes - The company secured 55 contracts valued at over $50 million in fiscal year 2025, an increase from 40 contracts in the prior year [10] - Nearly half of these contracts were valued over $100 million, indicating strong demand across various geographies and verticals [10] - The revenue book-to-bill ratio remained above one, indicating future revenue growth from committed contracts [10] Company Strategy and Development Direction - Kyndryl's strategy focuses on building capabilities, partnerships, and innovation to drive sustainable growth, particularly in mission-critical technology services [5] - The company aims to leverage its expanded capabilities and strong customer relationships to win higher value opportunities [12] - The 3A initiatives have shifted from turnaround drivers to pillars of profitable growth, with expectations for substantial earnings and cash flow growth in fiscal year 2026 [8][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic uncertainties, emphasizing the essential nature of its technology services [20][21] - The outlook for fiscal year 2026 includes expectations for approximately $550 million in adjusted free cash flow and at least $725 million in adjusted pretax income [19][34] - Management highlighted the importance of continued investment in innovation and capabilities to maintain growth momentum [46] Other Important Information - Kyndryl's cash balance was $1.8 billion, with nearly $5 billion in liquidity at quarter end [31] - The company has a target to keep net leverage below one times adjusted EBITDA, ending the quarter at 0.6 times [32] - The fiscal year 2026 outlook assumes a 1% revenue growth in constant currency, with hyperscaler-related revenue expected to reach $1.8 billion [33][34] Q&A Session Summary Question: Accomplishments in 2025 and positioning for 2026 - Management reflected on the successful execution of their strategy and expressed confidence in their ability to control their own destiny through continued investment in innovation [44][46] Question: Progress with focus accounts - Management indicated they are approximately 75% through their focus accounts, having achieved 90% of targeted savings, with a revised target of $1 billion in annualized benefits [50][52] Question: Book to bill ratio and backlog duration - Management confirmed expectations to maintain a book to bill ratio above one, driven by strong performance in consult and hyperscaler-related services [58] Question: Revenue growth guidance - Management explained that while signings growth was strong, they are not relying solely on revenue growth to achieve profit improvement, as a significant portion of revenue is already contracted [70][72] Question: Impact of macro uncertainties on strategic accounts - Management noted that uncertainty tends to be a tailwind for their business, as clients seek to optimize their infrastructure in response to macro conditions [82][84] Question: Role of Kyndryl Bridge in uncertain conditions - Management affirmed that Kyndryl Bridge can help uncover unused resources and provide actionable insights, aiding clients in optimizing their operations [88][90]
Kyndryl (KD) - 2025 Q4 - Earnings Call Presentation
2025-05-08 12:40
Financial Performance & Growth - Kyndryl's FY25 signings increased by 48% year-over-year in constant currency, reaching $182 billion[12, 15] - Adjusted pretax income for FY25 was $482 million, up $317 million year-over-year[12] - Adjusted free cash flow for FY25 was $446 million[12] - Kyndryl Consult revenue grew by 29% in constant currency, reaching $30 billion[25] - The company projects at least $725 million in adjusted pretax income for fiscal year 2026, an increase of at least $243 million year-over-year[51] Strategic Initiatives & Market Position - Kyndryl is positioned at the nexus of key secular trends including artificial intelligence, cloud migration, and cybersecurity risks[14] - The company is seeing demand across a range of geographies, verticals, and practices, with 55 large contract signings totaling $10 billion in fiscal year 2025[18] - Alliances generated $12 billion in hyperscaler revenue, more than double the prior year[12] - Advanced Delivery achieved $775 million in annualized savings in Q4, exceeding the FY25 target[12] - Accounts generated $900 million in annualized profit in Q4, exceeding the FY25 target[12]
Kyndryl Holdings, Inc. (KD) Q4 Earnings Match Estimates
ZACKS· 2025-05-08 01:05
Kyndryl Holdings, Inc. (KD) came out with quarterly earnings of $0.52 per share, in line with the Zacks Consensus Estimate. This compares to loss of $0.01 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this company would post earnings of $0.40 per share when it actually produced earnings of $0.51, delivering a surprise of 27.50%.Over the last four quarters, the company has surpassed consensus EPS estimates three times.Kyndryl Holdings, Inc., whic ...
Kyndryl (KD) - 2025 Q4 - Annual Results
2025-05-07 20:19
[Company Overview & Strategic Highlights](index=1&type=section&id=Company%20Overview%20%26%20Strategic%20Highlights) This section outlines Kyndryl's strong strategic execution, Q4 revenue growth, and expanded capabilities, reinforcing confidence in achieving FY2028 goals [Introduction and CEO Commentary](index=1&type=section&id=Introduction%20and%20CEO%20Commentary) Kyndryl announced Q4 and full-year FY2025 results, with CEO Martin Schroeter emphasizing strong strategic execution, Q4 constant currency revenue growth, and expanded capabilities across cloud, modernization, AI, and security - FY2025 marked a year of strong strategic execution, with Q4 constant currency revenue growth and expanded capabilities in cloud, modernization, applications, AI, and security, further differentiating services through Kyndryl Bridge[3](index=3&type=chunk) - The outlook for FY2026 free cash flow, profit, and constant currency revenue growth strengthens confidence in achieving FY2028 targets, with ongoing share repurchase plans demonstrating commitment to shareholder returns[4](index=4&type=chunk) [About Kyndryl](index=3&type=section&id=About%20Kyndryl) Kyndryl is a leading global provider of mission-critical enterprise technology services, offering consulting, implementation, and management to thousands of clients in over 60 countries - Kyndryl (NYSE: KD) is a leading provider of mission-critical enterprise technology services, offering consulting, implementation, and management to thousands of clients in over 60 countries, making it the world's largest IT infrastructure services provider[16](index=16&type=chunk) [Fiscal Year 2025 Financial Results](index=1&type=section&id=Fiscal%20Year%202025%20Financial%20Results) This section details Kyndryl's financial performance for Q4 and full-year FY2025, highlighting revenue, profitability, and operational achievements [Fourth Quarter Ended March 31, 2025](index=1&type=section&id=Fourth%20Quarter%20Ended%20March%2031%2C%202025) Kyndryl reported Q4 FY2025 revenue of $3.8 billion, a 1.3% constant currency increase, with significant profitability improvements including $118 million pretax income and $0.28 diluted EPS Q4 FY25 Financial Performance | Metric | Q4 FY25 (Reported) | Q4 FY24 (Reported) | YoY Change (Reported) | YoY Change (Constant Currency) | | :--------------------------- | :------------------ | :------------------ | :-------------------- | :----------------------------- | | Revenues | $3.8 billion | $3.85 billion | -1% | +1.3% | | Pretax Income (Loss) | $118 million | ($4 million) | N/A | N/A | | Net Income (Loss) | $68 million | ($45 million) | N/A | N/A | | Diluted EPS | $0.28 | ($0.20) | N/A | N/A | | Cash Flow from Operations | $581 million | $145 million | +300.7% | N/A | | Adjusted Pretax Income | $185 million | $30 million | +510% | N/A | | Adjusted Net Income | $126 million | ($2 million) | N/A | N/A | | Adjusted Diluted EPS | $0.52 | ($0.01) | N/A | N/A | | Adjusted EBITDA | $698 million | $566 million | +23% | N/A | | Adjusted Free Cash Flow | $335 million | ($20 million) | N/A | N/A | [Full Year Ended March 31, 2025](index=2&type=section&id=Full%20Year%20Ended%20March%2031%2C%202025) For full-year FY2025, Kyndryl's revenue was $15.1 billion, a 4% constant currency decrease, but achieved a significant turnaround with $435 million pretax income and $1.05 diluted EPS FY25 Financial Performance | Metric | FY25 (Reported) | FY24 (Reported) | YoY Change (Reported) | YoY Change (Constant Currency) | | :--------------------------- | :------------------ | :------------------ | :-------------------- | :----------------------------- | | Revenues | $15.1 billion | $16.052 billion | -6% | -4% | | Pretax Income (Loss) | $435 million | ($168 million) | N/A | N/A | | Net Income (Loss) | $252 million | ($340 million) | N/A | N/A | | Diluted EPS | $1.05 | ($1.48) | N/A | N/A | | Cash Flow from Operations | $942 million | $454 million | +107.5% | N/A | | Adjusted Pretax Income | $482 million | $165 million | +192% | N/A | | Adjusted Net Income | $285 million | ($25 million) | N/A | N/A | | Adjusted Diluted EPS | $1.19 | ($0.11) | N/A | N/A | | Adjusted EBITDA | $2.5 billion | $2.367 billion | +6% | N/A | | Adjusted Free Cash Flow | $446 million | $291 million | +53.3% | N/A | [Key Operational Achievements](index=2&type=section&id=Key%20Operational%20Achievements) In FY2025, Kyndryl achieved record signings of $18.2 billion, a 46% increase, driven by its 'Three-A Initiative' and strong Kyndryl Consult growth FY25 Operational Metrics | Metric | FY25 | YoY Change | | :-------------------------------- | :---------- | :---------- | | Total Signings | $18.2 billion | +46% | | Hyperscaler Alliance Revenue | $1.2 billion | >2x | | Kyndryl Bridge Annualized Savings | ~$775 million | N/A | | Accounts Initiative Annualized Benefits | $900 million | N/A | | Kyndryl Consult Revenue Growth | N/A | +26% | | Kyndryl Consult Signings Growth | N/A | +47% | - The company's global signings growth included a record **55 contracts** exceeding **$50 million**[10](index=10&type=chunk) - At the end of FY2025, the company held **$1.8 billion** in cash, **$3.2 billion** in debt, and a net debt balance of **$1.4 billion**[17](index=17&type=chunk) - The company repurchased **1.8 million** shares of common stock for **$64 million** in Q4, part of the **$300 million** share repurchase program authorized in November 2024[17](index=17&type=chunk) [Fiscal Year 2026 Outlook](index=1&type=section&id=Fiscal%20Year%202026%20Outlook) This section provides Kyndryl's financial projections for FY2026, including expected revenue growth, adjusted pretax income, EBITDA margin, and free cash flow [Financial Projections](index=1&type=section&id=Financial%20Projections) Kyndryl anticipates 1% constant currency revenue growth for FY2026, with adjusted pretax income of at least $725 million, an adjusted EBITDA margin of approximately 18%, and adjusted free cash flow of around $550 million FY26 Financial Outlook | Metric | FY26 Outlook | YoY Change (vs FY25) | | :--------------------------- | :------------------ | :-------------------- | | Constant-Currency Revenue Growth | +1% | N/A | | Adjusted Pretax Income | At least $725 million | At least +$243 million | | Adjusted EBITDA Margin | ~18% | ~+130 basis points | | Adjusted Free Cash Flow | ~$550 million | N/A | [Supplemental Information](index=3&type=section&id=Supplemental%20Information) This section provides details on the earnings webcast, forward-looking statements, and contact information for investors and media [Earnings Webcast Information](index=3&type=section&id=Earnings%20Webcast%20Information) Kyndryl's Q4 earnings call is scheduled for May 8, 2025, at 8:30 AM ET, accessible via the investor relations website with slides and a 12-month replay available - Kyndryl's Q4 earnings conference call is scheduled for May 8, 2025, at 8:30 AM ET, accessible via the investor relations website (investors.kyndryl.com), with presentation slides available before and a 12-month replay afterward[15](index=15&type=chunk) [Forward-Looking and Cautionary Statements](index=4&type=section&id=Forward-Looking%20and%20Cautionary%20Statements) This press release contains forward-looking statements subject to risks and uncertainties, including customer attraction, competition, technology, and economic conditions, with no obligation to update - This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995, with all statements not historical facts being forward-looking[18](index=18&type=chunk) - The company's actual business, financial condition, or operating results may differ materially from forward-looking statements due to various risks and uncertainties, including failure to attract new customers, competition, technological developments, and economic conditions[19](index=19&type=chunk) - Except as required by law, the company undertakes no obligation to update or revise any forward-looking statements[20](index=20&type=chunk) [Investor and Media Contacts](index=5&type=section&id=Investor%20and%20Media%20Contacts) Contact email addresses are provided for investor relations and media inquiries - Investor contact: investors@kyndryl.com[23](index=23&type=chunk) - Media contact: press@kyndryl.com[23](index=23&type=chunk) [Financial Tables (GAAP)](index=6&type=section&id=Financial%20Tables%20%28GAAP%29) This section presents Kyndryl's GAAP financial statements, including consolidated income statements, segment results, balance sheet information, and cash flow statements [Consolidated Income Statement](index=6&type=section&id=Consolidated%20Income%20Statement) The consolidated income statement provides GAAP financial results for the three months and full year ended March 31, 2025, and the corresponding periods in 2024, detailing revenues, costs, expenses, and net income Consolidated Income Statement (GAAP, in millions) | Metric (GAAP) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :------------------------------------ | :------ | :------ | :------- | :------- | | Revenues | $3,800 | $3,850 | $15,057 | $16,052 | | Cost of services | $2,975 | $3,134 | $11,914 | $13,189 | | Selling, general and administrative expenses | $640 | $714 | $2,591 | $2,773 | | Income (loss) before income taxes | $118 | ($4) | $435 | ($168) | | Net income (loss) | $68 | ($45) | $252 | ($340) | | Diluted earnings (loss) per share | $0.28 | ($0.20) | $1.05 | ($1.48) | [Segment Results and Selected Balance Sheet Information](index=7&type=section&id=Segment%20Results%20and%20Selected%20Balance%20Sheet%20Information) This section presents quarterly and full-year revenues and adjusted EBITDA by geographic segment, along with key balance sheet data including cash and equivalents and total debt Segment Revenue (Q4 FY25, in millions) | Segment Revenue (Q4 FY25) | Amount ($M) | YoY Growth (Reported) | YoY Growth (Constant Currency) | | :------------------------ | :---------- | :-------------------- | :----------------------------- | | United States | $969 | (2%) | (2%) | | Japan | $605 | 4% | 6% | | Principal Markets | $1,273 | (6%) | (3%) | | Strategic Markets | $953 | 3% | 8% | | **Total Revenue** | **$3,800** | **(1%)** | **1%** | Segment Adjusted EBITDA (Q4 FY25, in millions) | Segment Adjusted EBITDA (Q4 FY25) | Amount ($M) | | :------------------------------- | :---------- | | United States | $228 | | Japan | $102 | | Principal Markets | $231 | | Strategic Markets | $161 | | Corporate and other | ($24) | | **Total Adjusted EBITDA** | **$698** | Balance Sheet Data (March 31, 2025, in millions) | Balance Sheet Data (March 31, 2025) | Amount ($M) | | :---------------------------------- | :---------- | | Cash and equivalents | $1,786 | | Debt (short-term and long-term) | $3,172 | [Consolidated Statement of Cash Flows](index=8&type=section&id=Consolidated%20Statement%20of%20Cash%20Flows) The consolidated statement of cash flows details cash flows from operating, investing, and financing activities for FY2025 and FY2024, showing a significant increase in net cash from operating activities in FY2025 Cash Flow Metrics (GAAP, in millions) | Cash Flow Metric (GAAP) | FY25 ($M) | FY24 ($M) | | :-------------------------------- | :-------- | :-------- | | Net cash provided by operating activities | $942 | $454 | | Net cash used in investing activities | ($404) | ($553) | | Net cash used in financing activities | ($286) | ($170) | | Net change in cash, cash equivalents and restricted cash | $235 | ($306) | | Cash, cash equivalents and restricted cash at end of period | $1,789 | $1,554 | [Non-GAAP Financial Measures & Reconciliations](index=9&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section defines Kyndryl's non-GAAP financial metrics and provides detailed reconciliations to their most directly comparable GAAP measures [Non-GAAP Metric Definitions](index=9&type=section&id=Non-GAAP%20Metric%20Definitions) This section defines Kyndryl's non-GAAP financial metrics, including constant currency performance, Adjusted EBITDA, Adjusted Pretax Income, Adjusted Net Income, Adjusted EPS, Adjusted Free Cash Flow, and Signings - The company provides non-GAAP financial measures to supplement GAAP metrics, enhancing investor visibility into management decisions and their impact on operational performance, and for executive compensation program evaluation[34](index=34&type=chunk) - Constant currency information is calculated by translating current period revenues at prior period exchange rates to compare performance across periods, excluding foreign exchange fluctuations[35](index=35&type=chunk) - Adjusted free cash flow is defined as cash flow from operating activities (GAAP) plus transaction-related payments, lease termination-related charges, workforce rebalancing payments incurred prior to March 31, 2024, and significant litigation payments (collectively, Adjusted Operating Cash Flow), less net capital expenditures[40](index=40&type=chunk) - Signings are defined by Kyndryl as an initial estimate of the value of client contractual commitments, involving judgment regarding agreement type, duration, and termination fees or liquidation costs[41](index=41&type=chunk) [Reconciliation Tables](index=10&type=section&id=Reconciliation%20Tables) This section provides detailed reconciliation tables for GAAP net income (loss) to Adjusted Pretax Income, Adjusted EBITDA, Adjusted Net Income, and Adjusted EPS, along with cash flow and signings reconciliations GAAP to Non-GAAP Reconciliation (in millions, except EPS) | Reconciliation Metric | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :------------------------------------ | :------ | :------ | :------- | :------- | | Net income (loss) (GAAP) | $68 | ($45) | $252 | ($340) | | Pretax income (loss) (GAAP) | $118 | ($4) | $435 | ($168) | | Adjusted pretax income (non-GAAP) | $185 | $30 | $482 | $165 | | Adjusted EBITDA (non-GAAP) | $698 | $566 | $2,516 | $2,367 | | Adjusted net income (loss) (non-GAAP) | $126 | ($2) | $285 | ($25) | | Adjusted earnings (loss) per share (non-GAAP) | $0.52 | ($0.01) | $1.19 | ($0.11) | Cash Flow Reconciliation (in millions) | Cash Flow Reconciliation | Q4 FY25 ($M) | Q4 FY24 ($M) | FY25 ($M) | FY24 ($M) | | :------------------------------------ | :----------- | :----------- | :---------- | :---------- | | Cash flows from operating activities (GAAP) | $581 | $145 | $942 | $454 | | Adjusted operating cash flow (non-GAAP) | $563 | $179 | $968 | $804 | | Adjusted free cash flow (non-GAAP) | $335 | ($20) | $446 | $291 | Signings (in billions) | Signings (in billions) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :--------------------- | :------ | :------ | :----- | :----- | | Signings | $5.5 | $3.6 | $18.2 | $12.5 |
Kyndryl Set to Report Q4 Earnings: What's in Store for the Stock?
ZACKS· 2025-05-02 17:30
Kyndryl (KD) is scheduled to release fourth-quarter fiscal 2025 results on May 7, after market close.The company surpassed the Zacks Consensus Estimate in the past four trailing quarters. On average, it delivered an earnings surprise of 60.5%.Kyndryl Holdings, Inc. Price, Consensus and EPS Surprise Kyndryl’s Q4 ExpectationsThe Zacks Consensus Estimate for revenues is pegged at $3.8 billion, indicating a 1.9% decline from the year-ago quarter’s actual. The top line is expected to have declined on the back of ...
KD or DUOL: Which Is the Better Value Stock Right Now?
ZACKS· 2025-04-28 16:45
Core Viewpoint - Kyndryl Holdings, Inc. (KD) is currently viewed as a more attractive option for value investors compared to Duolingo, Inc. (DUOL) based on various valuation metrics and earnings outlook [1][3][7]. Valuation Metrics - KD has a forward P/E ratio of 15.43, significantly lower than DUOL's forward P/E of 145.53, indicating that KD is more reasonably priced relative to its earnings [5]. - KD's PEG ratio stands at 3.09, while DUOL's PEG ratio is slightly higher at 3.30, suggesting that KD may offer better value when considering expected earnings growth [5]. - KD's P/B ratio is 6.19, compared to DUOL's P/B of 20.81, further emphasizing KD's relative undervaluation [6]. Earnings Outlook - KD has a Zacks Rank of 2 (Buy), indicating a positive revision in earnings estimates, while DUOL holds a Zacks Rank of 3 (Hold), reflecting a less favorable earnings outlook [3][7]. - The improving earnings outlook for KD positions it as a superior value option in the current market [7].
INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Kyndryl Holdings, Inc. - KD
GlobeNewswire News Room· 2025-04-25 16:34
Core Viewpoint - Pomerantz LLP is investigating claims of potential securities fraud and unlawful business practices by Kyndryl Holdings, Inc. following allegations from Gotham City regarding manipulated financial metrics [1][3]. Group 1: Investigation Details - Pomerantz LLP is representing investors of Kyndryl and is looking into whether the company and its officers engaged in securities fraud [1]. - The investigation was prompted by a report from Gotham City, a short-seller, which accused Kyndryl of manipulating its reported adjusted EBITDA and adjusted free cash flow [3]. Group 2: Market Reaction - Following the allegations, Kyndryl's stock price dropped by $1.74, or 5.11%, closing at $32.32 per share on March 27, 2025 [3]. Group 3: Firm Background - Pomerantz LLP is recognized as a leading firm in corporate, securities, and antitrust class litigation, with a history of recovering significant damages for victims of securities fraud [4].
KD Investors Have Opportunity to Join Kyndryl Holdings, Inc. Fraud Investigation with the Schall Law Firm
Prnewswire· 2025-04-24 13:15
LOS ANGELES, April 24, 2025 /PRNewswire/ -- The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Kyndryl Holdings, Inc. ("Kyndryl" or "the Company") (NYSE: KD) for violations of the securities laws.The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Kyndryl is the subject of a Reuters article published on March 27, 2025, title ...
Kyndryl and Microsoft Collaborate to Enhance Data Security and Risk Management
Prnewswire· 2025-04-24 13:00
Core Insights - Kyndryl has launched new services, Kyndryl Consult Data Security Posture Management, utilizing Microsoft Purview to enhance data protection, privacy, and risk mitigation capabilities for organizations [1][2][3] Group 1: Service Offerings - The new services combine Kyndryl's consulting expertise with Microsoft's advanced security technologies to help customers identify sensitive data, automate protection, and maximize the value of their data assets [2][3] - Kyndryl's services include proactive data risk management through automated discovery, classification, and protection, built-in encryption, data loss prevention, and compliance management [6] - The services aim to simplify IT environments by reducing complexity and risk exposure, providing centralized visibility of the entire data landscape [6] Group 2: Market Context - The Kyndryl AI Readiness Report indicates that while 86% of leaders are confident in their AI implementation, only 29% believe their AI is ready to manage future risks, highlighting the need for improved data management and security [2] - Organizations face significant challenges in managing complex IT environments while protecting sensitive data and meeting regulatory requirements [3] Group 3: Strategic Partnership - Kyndryl and Microsoft have established a global strategic alliance since November 2021, developing scalable security and resiliency services [4] - Kyndryl is a member of the Microsoft Intelligent Security Association (MISA), integrating solutions with Microsoft Security technology to better defend against cyber threats [4] Group 4: Compliance and AI Foundation - The services enhance risk and compliance readiness, helping customers meet regulatory requirements through Kyndryl's expertise in data privacy and security combined with Microsoft Purview's policy-driven security controls [6] - A secure data foundation is established to support responsible AI development, enabling secure management of sensitive information [6]