Kyndryl Holdings Inc (KD)
Gross profit margin
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 2,318,000 | 3,034,000 | 3,023,000 | 2,924,000 | 2,863,000 | 2,790,000 | 2,745,000 | 2,660,000 | 2,527,000 | 2,491,000 | 2,329,000 | 2,160,000 | 2,075,000 | 1,921,000 | 2,036,000 | 2,163,000 | 2,156,000 | 2,215,000 |
| Revenue (ttm) | US$ in thousands | 15,057,000 | 15,107,000 | 15,299,000 | 15,598,000 | 16,052,000 | 16,457,000 | 16,824,000 | 16,930,000 | 17,025,000 | 17,201,000 | 17,454,000 | 17,854,000 | 18,317,000 | 18,657,000 | 19,028,000 | 19,305,000 | 19,291,000 | 19,304,500 |
| Gross profit margin | 15.39% | 20.08% | 19.76% | 18.75% | 17.84% | 16.95% | 16.32% | 15.71% | 14.84% | 14.48% | 13.34% | 12.10% | 11.33% | 10.30% | 10.70% | 11.20% | 11.18% | 11.47% |
March 31, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $2,318,000K ÷ $15,057,000K
= 15.39%
Kyndryl Holdings Inc's gross profit margin has shown fluctuations over the period from December 31, 2020, to March 31, 2025. The trend indicates that the company's gross profit margin initially hovered around the 11% mark in late 2020 and early 2021, showing a slight decline by September 2021. However, there was a gradual improvement in the margin in subsequent quarters, reaching its peak of 20.08% by December 31, 2024.
The increase in gross profit margin from late 2021 to the end of 2024 suggests that the company effectively managed its cost of goods sold and increased its profitability on sales. The significant improvement in the gross profit margin over this period indicates that Kyndryl Holdings may have implemented cost-cutting measures, negotiated favorable terms with suppliers, or introduced more profitable products or services.
However, there was a notable decline in the gross profit margin to 15.39% as of March 31, 2025. This decline could be attributed to various factors such as increasing costs, pricing pressure, changes in the product mix, or changes in the competitive landscape.
Overall, the increasing trend in gross profit margin from 2021 to 2024 reflects positively on Kyndryl Holdings Inc's ability to generate profits from its core business operations. Nonetheless, the recent dip in the margin as of March 31, 2025, may warrant further analysis to identify the underlying reasons and assess the company's profitability outlook for the upcoming periods.
Peer comparison
Mar 31, 2025