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]

Fourth Quarter 2025 Earnings May 8, 2025 Disclaimers Forward-looking statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements often contain words such as "aim," "anticipate," "believe," "could," "estimate," "expect," "forecast," "intend," "may," "objectives," "opportunity," "plan," "position," "predict," "project," "should," "seek," "target," "will," "would" and other similar words or expres ...

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 ...

● Revenues for the quarter ended March 31, 2025 total $3.8 billion, pretax income is $118 million, net income is $68 million, adjusted EBITDA is $698 million, and adjusted pretax income is $185 million ● Fiscal year 2025 revenues total $15.1 billion, pretax income is $435 million, net income is $252 million, adjusted EBITDA is $2.5 billion, and adjusted pretax income is $482 million ● Signings for fiscal year 2025 were a record $18.2 billion, representing a year-over-year increase of 46% ● Company provides ...

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 ...

Investors with an interest in Technology Services stocks have likely encountered both Kyndryl Holdings, Inc. (KD) and Duolingo, Inc. (DUOL) . But which of these two stocks is more attractive to value investors? We'll need to take a closer look to find out.There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank puts an emphasis on e ...

NEW YORK, April 25, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Kyndryl Holdings, Inc. (“Kyndryl” or the “Company”) (NYSE: KD).   Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.    The investigation concerns whether Kyndryl and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.  [Click here for information about joining the class action] On March ...

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 ...

New Kyndryl services using Microsoft Purview help organizations improve data discovery, protection and AI readiness NEW YORK, April 24, 2025 /PRNewswire/ -- Kyndryl (NYSE: KD), a leading provider of mission-critical enterprise technology services, today announced the launch of Kyndryl Consult Data Security Posture Management utilizing Microsoft Purview. The new services enhance data protection, privacy and risk mitigation capabilities, helping organizations ensure that their data is secure, discoverable and ...

NEW YORK, April 21, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Kyndryl Holdings, Inc. (“Kyndryl” or the “Company”) (NYSE: KD). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980. The investigation concerns whether Kyndryl and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.  [Click here for information about joining the class action] On March 27, ...