Kyndryl misses third-quarter revenue estimates as strong dollar weighs
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Kyndryl missed Wall Street estimates for third-quarter revenue due to the impact of a strong dollar and the company's strategy of shedding lower-margin deals, despite strong AI-linked sales.
February 03, 2025 | 9:30 pm
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Kyndryl's third-quarter revenue fell short of expectations due to the negative impact of a strong dollar and the company's focus on shedding lower-margin deals, despite strong AI-linked sales.
The missed revenue estimates are likely to negatively impact Kyndryl's stock price in the short term. The strong dollar reduced the value of international sales, and the company's strategy to shed lower-margin deals, while potentially beneficial in the long term, contributed to the revenue shortfall. Despite strong AI-linked sales, these factors combined to result in a miss, which is typically viewed unfavorably by investors.
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IMPORTANCE 80
RELEVANCE 100