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Kyndryl Holdings Incorporation (KD)
NYSE:KD
Earnings Data
Report Date
May 13, 2026After Close (Confirmed)
Period Ending
2026 (Q4)Consensus EPS Forecast
0.49Last Year’s EPS
0.52Same Quarter Last Year
Based on 6 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presented a balanced picture: notable operational progress (strong Consult and hyperscaler growth, disciplined signings with healthy projected margins, automation and accounts remediation delivering sizable savings, positive cash generation and a solid balance sheet) was offset by meaningful near-term headwinds (elongated sales cycles, adverse IBM mix impact, localized market softness, higher-than-expected labor costs, a downward revision to fiscal 2026 profit and free cash flow guidance, and an SEC document request delaying the filing). While the company emphasized confidence in its multiyear fiscal 2028 targets, the combination of near-term revenue/margin timing issues and the SEC matter tempers the tone.Company Guidance
Revenue and Quarterly Result
Reported revenue of $3.9 billion for the quarter, up 3% year-over-year on a reported basis and unchanged in constant currency; company noted margin expansion, higher earnings, and positive free cash flow for the quarter.
Strong Consult Growth
Kyndryl Consult grew 20% year-over-year in constant currency and represented 25% of total revenue in the quarter, reflecting expansion into higher-value services.
Signings and Backlog Quality
Quarter signings of $3.9 billion (including 11 contracts > $50M) and $15.4 billion of signings over the last twelve months; gross profit book-to-bill of 1.2 over the last 12 months with average projected gross margin of 26% on those signings, adding nearly $4 billion of projected gross profit to backlog.
Hyperscaler Momentum
Hyperscaler-related revenue of $500 million in the quarter, up 58% year-over-year; company is on track to realize nearly $2 billion in hyperscaler-related revenue by the end of 2026.
Operational Efficiency Initiatives
Three A's initiatives producing tangible results: Kyndryl Bridge advanced delivery automation cited as yielding roughly $950 million of annualized savings and focus accounts remediation delivering cumulative annualized profit savings of $975 million.
Profitability and Cash Generation
Adjusted pretax income in the quarter grew 5% year-over-year to $168 million; adjusted EBITDA was $696 million; free cash flow of $217 million generated in the quarter and company reaffirmed multi-year targets (combined fiscal 2025–2026 adjusted PTI ~$1.1 billion and combined free cash flow target of $800 million).
Balance Sheet and Capital Returns
Cash balance of $1.35 billion at quarter-end, net leverage of 0.7x adjusted EBITDA (well within target), investment-grade ratings intact, and continued share repurchases (3.7 million shares bought for $100 million in the quarter; ~5% of shares repurchased since program inception, ~$350 million repurchase capacity remaining).
KD Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
KD Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 09, 2026 | $23.49 | $10.59 | -54.92% |
Nov 04, 2025 | $27.43 | $26.14 | -4.70% |
Aug 04, 2025 | $36.70 | $28.94 | -21.14% |
May 07, 2025 | $33.14 | $36.63 | +10.53% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Kyndryl Holdings Incorporation (KD) report earnings?
Kyndryl Holdings Incorporation (KD) is schdueled to report earning on May 13, 2026, After Close (Confirmed).
What is Kyndryl Holdings Incorporation (KD) earnings time?
Kyndryl Holdings Incorporation (KD) earnings time is at May 13, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is KD EPS forecast?
KD EPS forecast for the fiscal quarter 2026 (Q4) is 0.49.