Kyndryl — Second Quarter Fiscal 2027 Earnings Summary

Kyndryl reported second-quarter fiscal 2027 revenues of $3.7 billion, representing a 1.9% decline year-over-year, while pretax income rose to $112 million and net income reached $59 million. The company achieved adjusted EBITDA of $699 million and adjusted net income of $92 million, driven by a 27.2% growth in hyperscaler-related revenue and a 4.2% increase in Kyndryl Consult revenue. Kyndryl incurred $38 million in workforce rebalancing charges during the quarter and completed the acquisition of Healthcare IT Leaders, LLC to expand its healthcare capabilities. The company reaffirmed its fiscal 2027 outlook, projecting adjusted pretax income between $600 million and $700 million and free cash flow between $400 million and $500 million.