Kyndryl Holdings Incorporation

Latest Results (16.11.2025):

Kyndryl Holdings Incorporation reported its first quarter fiscal 2026 results, demonstrating strong performance with $3.74 billion in revenue, $56 million in net income, and an adjusted EBITDA of $647 million. The results highlight double‐digit growth in its Kyndryl Consult segment, significant increases in hyperscaler-related revenue, and improved earnings margins, while the company reaffirmed its full fiscal 2026 outlook with ambitious targets for adjusted pretax income, EBITDA margin, and free cash flow.

Earnings and Profitability

The company recorded $3.74 billion in revenue and a net income of $56 million for the quarter ended June 30, 2025, with a notable increase in both GAAP earnings and adjusted performance measures compared to prior periods.

Consulting and Hyperscaler Growth

Kyndryl Consult experienced robust double-digit growth, with revenues growing 30% year-over-year and signings up 36% over the last twelve months, while hyperscaler-related revenue surged by 86% year-over-year to $400 million as part of the company’s strategic Alliances initiative.

Strategic Initiatives and Share Repurchases

The report highlighted strategic initiatives including three-A's projects for margin expansion and the launch of an enterprise-grade agentic AI framework. Additionally, the company repurchased 1.8 million shares at $65 million under its share repurchase program, reflecting its commitment to shareholder returns.

Reaffirmed Fiscal 2026 Outlook

Kyndryl reasserted its fiscal 2026 guidance, targeting an adjusted pretax income of at least $725 million, an adjusted EBITDA margin of approximately 18%, and free cash flow around $550 million, underscoring confidence in continued operational improvements and growth.