KD
Kyndryl Holdings Inc
Q1 2026 Report
Kyndryl Holdings Inc (KD) Q1 2026 Financial Results: Focus on Growth and Margin Expansion...
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Executive Summary
Kyndryl Holdings Inc (KD) demonstrated a solid financial performance for the fourth quarter of fiscal year 2025, with revenue reaching $3.8 billion, marking a 1.3% year-over-year increase in constant currency. The company's continued focus on strategic initiatives, including its Kyndryl Consult and the Advanced Delivery program, propelled signings growth by 48% to over $18 billion. Despite navigating challenges within the broader macro environment, Kyndryl successfully returned to positive revenue growth. Management highlighted an impressive increase in adjusted pretax income to $185 million, a 600% year-over-year improvement, underscoring robust operational execution and effective cost management. The company aims for sustained earnings and cash flow growth in fiscal 2026, continuing its trajectory of profitability and strategic market positioning.
Key Performance Indicators
Revenue
3.80B
QoQ: 1.50% | YoY:-1.30%
Operating Income
162.00M
QoQ: 39.66% | YoY:8 000.00%
Net Income
68.00M
QoQ: -68.37% | YoY:251.11%
EPS
0.30
QoQ: -67.74% | YoY:250.00%
Revenue Trend
Margin Analysis
Key Insights
**Revenue:** $3.8 billion, 1.3% YoY increase in constant currency. **Net Income:** $68 million, 251% increase YoY. **EBITDA:** $698 million, adjusted EBITDA margin at 18.4%. **Free Cash Flow:** $446 million, a 53% gain from last year. **Signings Growth:** 48% YoY, totaling $18 billion. **Key Ratios:** Adjusted pretax margin improved to 4.9%, with positive gross profit book-to-bill ratio indicating healthy future revenue streams. **Cash at End of Period:** $1.8 billion, with liquidity exceeding ...