Kyndryl Holdings Inc (KD)

Operating 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
Operating income (ttm)	US$ in thousands	287,000	434,000	343,000	291,000	201,000	-161,000	-249,000	-390,000	-492,000	-387,000	-836,000	-1,156,000	-1,378,000	-1,657,000	-1,844,000	-1,546,000	-1,507,000	-1,542,500
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
Operating profit margin		1.91%	2.87%	2.24%	1.87%	1.25%	-0.98%	-1.48%	-2.30%	-2.89%	-2.25%	-4.79%	-6.47%	-7.52%	-8.88%	-9.69%	-8.01%	-7.81%	-7.99%

March 31, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $287,000K ÷ $15,057,000K
= 1.91%

Kyndryl Holdings Inc's operating profit margin has shown a declining trend from December 2020 to March 2023, with negative percentages indicating the company's operating expenses were exceeding its operating income during this period. However, from March 2023 onwards, there has been a consistent improvement in the operating profit margin, turning positive in March 2024 and continuing to increase through March 2025.

This improvement in operating profit margin suggests that Kyndryl Holdings Inc has been able to control its operating expenses more effectively while increasing its operating income, leading to a healthier financial performance. It indicates potential operational efficiency gains and/or revenue growth strategies that have positively impacted the company's profitability over time. Continued monitoring of this metric will be important to assess the company's ability to sustain and further enhance its profitability in the future.