KYNDRYL ANNOUNCES $300 MILLION SHARE REPURCHASE AUTHORIZATION
Kyndryl (NYSE: KD) has announced a $300 million share repurchase program, demonstrating confidence in its business outlook and profitable growth. The company may execute repurchases through various methods including open market transactions, accelerated buybacks, tender offers, and private negotiations. The program has no set expiration date and can be adjusted based on market conditions and management's evaluation. The announcement comes as Kyndryl reports improvements in margin expansion and free cash flow generation, enabling the company to initiate shareholder capital returns while maintaining strategic flexibility.
Kyndryl (NYSE: KD) ha annunciato un programma di riacquisto di azioni da 300 milioni di dollari, dimostrando fiducia nelle prospettive aziendali e nella crescita redditizia. L'azienda può effettuare i riacquisti attraverso vari metodi, tra cui transazioni sul mercato aperto, riacquisti accelerati, offerte pubbliche e negoziazioni private. Il programma non ha una data di scadenza fissa e può essere modificato in base alle condizioni di mercato e alla valutazione della direzione. L'annuncio arriva mentre Kyndryl riporta miglioramenti nell'espansione dei margini e nella generazione di flussi di cassa liberi, consentendo all'azienda di avviare i ritorni di capitale agli azionisti mantenendo un'intera flessibilità strategica.
Kyndryl (NYSE: KD) ha anunciado un programa de recompra de acciones de 300 millones de dólares, demostrando confianza en las perspectivas de negocio y en el crecimiento rentable. La compañía puede llevar a cabo las recompras mediante varios métodos, incluidos transacciones en el mercado abierto, recompras aceleradas, ofertas públicas y negociaciones privadas. El programa no tiene una fecha de expiración establecida y puede ajustarse según las condiciones del mercado y la evaluación de la gestión. El anuncio se produce mientras Kyndryl informa mejoras en la expansión de márgenes y en la generación de flujo de caja libre, lo que permite a la empresa iniciar los retornos de capital a los accionistas manteniendo una flexibilidad estratégica.
Kyndryl (NYSE: KD)는 3억 달러 규모의 자사주 매입 프로그램을 발표하며 비즈니스 전망과 수익성 있는 성장에 대한 신뢰를 나타냈습니다. 회사는 공개 시장 거래, 가속 매입, 공개 매수 제안 및 비공식 협상 등 다양한 방법을 통해 매입을 실행할 수 있습니다. 이 프로그램은 만료일이 정해져 있지 않으며 시장 상황과 경영진의 평가에 따라 조정될 수 있습니다. 이번 발표는 Kyndryl이 마진 확장 및 자유 현금 흐름 생성에서 개선을 보고하면서 이루어졌으며, 이를 통해 회사는 전략적 유연성을 유지하면서 주주 자본 반환을 시작할 수 있게 되었습니다.
Kyndryl (NYSE: KD) a annoncé un programme de rachat d'actions de 300 millions de dollars, démontrant ainsi sa confiance dans ses perspectives d'affaires et sa croissance rentable. La société peut effectuer des rachats par divers moyens, y compris des transactions sur le marché libre, des rachats accélérés, des offres publiques et des négociations privées. Le programme n’a pas de date d’expiration fixe et peut être ajusté en fonction des conditions du marché et de l’évaluation de la direction. L’annonce survient alors que Kyndryl rapporte des améliorations dans l’expansion des marges et la génération de flux de trésorerie libre, permettant à l’entreprise d’initier des retours de capital aux actionnaires tout en maintenant une flexibilité stratégique.
Kyndryl (NYSE: KD) hat ein Aktienrückkaufprogramm über 300 Millionen Dollar angekündigt und damit Vertrauen in die Geschäftsaussichten und das profitable Wachstum gezeigt. Das Unternehmen kann Rückkäufe durch verschiedene Methoden durchführen, einschließlich öffentlicher Markttransaktionen, beschleunigter Rückkäufe, Übernahmeangebote und privater Verhandlungen. Das Programm hat kein festes Ablaufdatum und kann je nach Marktbedingungen und Bewertung des Managements angepasst werden. Die Ankündigung erfolgt, während Kyndryl Verbesserungen in der Margenausweitung und der Generierung von freiem Cashflow berichtet, was es dem Unternehmen ermöglicht, Kapitalrückflüsse an die Aktionäre zu initiieren und gleichzeitig strategische Flexibilität zu bewahren.
- Authorization of $300 million share repurchase program
- Improved margin expansion reported
- Enhanced free cash flow generation
- Flexibility maintained for strategic initiatives
- None.
Insights
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The flexible structure of the buyback program, without a set expiration date, gives management strategic optionality to execute purchases opportunistically. This approach, combined with the company's emphasis on maintaining a prudent capital structure, suggests a balanced approach to capital allocation. The announcement indicates improving free cash flow generation and margin expansion, marking a transition from a focus on operational stability to returning capital to shareholders.
"Our share repurchase authorization reflects the confidence we have in our business and our outlook for profitable growth," said Martin Schroeter, Kyndryl Chairman and Chief Executive Officer. "Our significant progress in expanding our margins and generating free cash flow is allowing us to begin returning capital to shareholders, while maintaining a prudent capital structure and flexibility to execute on our strategic initiatives."
Under the share repurchase program, the Company may repurchase shares of its common stock from time to time in open market transactions and may also repurchase shares in accelerated share buyback programs, tender offers, privately negotiated transactions or by other means. Repurchases may also be made under a Rule 10b5-1 trading plan. The timing and amount of repurchase transactions will be determined by the Company's management based on its evaluation of market conditions, share price, legal requirements and other factors. The program does not have a set expiration date and may be suspended, modified or discontinued at any time without prior notice.
Additionally, as previously announced, Kyndryl will host an Investor Day today beginning at 9:00 a.m. ET. Mr. Schroeter, along with additional members of the executive leadership team, will discuss Kyndryl's market opportunities and growth strategy. A live video webcast of the event can be accessed by visiting investors.kyndryl.com on Kyndryl's investor relations website. A slide presentation will be made available on Kyndryl's investor relations website immediately following the event. A replay of the event will be available via webcast for twelve months at investors.kyndryl.com.
About Kyndryl
Kyndryl (NYSE: KD) is the world's largest IT infrastructure services provider, serving thousands of enterprise customers in more than 60 countries. The Company designs, builds, manages and modernizes the complex, mission-critical information systems that the world depends on every day. For more information, visit www.kyndryl.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this press release, including statements concerning the Company's plans, objectives, goals, beliefs, business strategies, future events, business condition, results of operations, financial position, business outlook and business trends and other non-historical statements, are forward-looking statements. Such forward-looking statements often contain words such as "aim," "anticipate," "believe," "contemplate," "could," "estimate," "expect," "forecast," "intend," "may," "objective," "opportunity," "plan," "poised," "position," "predict," "project," "should," "seek," "target," "will," "would" and other similar words or expressions or the negative thereof or other variations thereon. Forward-looking statements are based on the Company's current assumptions and beliefs regarding future business and financial performance.
The Company's actual business, financial condition or results of operations may differ materially from those suggested by forward-looking statements as a result of risks and uncertainties which include, among others: failure to attract new customers, retain existing customers or sell additional services to customers; failure to meet growth and productivity objectives; competition; impacts of relationships with critical suppliers and partners; failure to address and adapt to technological developments and trends; inability to attract and retain key personnel and other skilled employees; impact of economic, political, public health and other conditions; damage to the Company's reputation; inability to accurately estimate the cost of services and the timeline for completion of contracts; service delivery issues; the Company's ability to successfully manage acquisitions and dispositions, including integration challenges, failure to achieve objectives, the assumption of liabilities and higher debt levels; the impact of our business with government customers; failure of the Company's intellectual property rights to prevent competitive offerings and the failure of the Company to obtain, retain and extend necessary licenses; the impairment of our goodwill or long-lived assets; risks relating to cybersecurity, data governance and privacy; risks relating to non-compliance with legal and regulatory requirements; adverse effects from tax matters and environmental matters; legal proceedings and investigatory risks; the impact of changes in market liquidity conditions and customer credit risk on receivables; the Company's pension plans; the impact of currency fluctuations; risks related to the Company's spin-off; and risks related to the Company's common stock and the securities market.
Additional risks and uncertainties include, among others, those risks and uncertainties described in the "Risk Factors" section of the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2024, and may be further updated from time to time in the Company's subsequent filings with the Securities and Exchange Commission. Any forward-looking statement in this press release speaks only as of the date on which it is made. Except as required by law, the Company assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Kyndryl Investor Contact:
investors@kyndryl.com
Kyndryl Media Contact:
press@kyndryl.com
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SOURCE Kyndryl
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