I still don’t think we will get ahead. Too much debt around the neck and not enough growth to cover for it. Your thoughts?
9 replies (most recent on top)
Lol! the quarterly profit is less than Schroeter's paycheck.
Ok yeah the balance sheet show's 11 mill. So what, that does not make Kyndryl a profitable company. The post about the two ledger positions ( profit & debt ) is spot on. This company is holding debt it did not create through expansion or investment in it's own growth. This company was handed the debt it is currently being crushed under. They just borrowed a huge sum of money to cover a debt payment coming up this year. They effectively borrowed debt to pay debt. The topper on this, is they used senior notes to do it and the interest is staggeringly bad. Be carful on what you taught as a profit. You'll soon to find your cheering from the outside in.
What do you mean? The balance sheet shows a net income of $11 million.
It is all corporate spin. What monies came in, and what monies went out. It's that simple. Everything said after that fact is just double speak yammering to muddy up the waters. If a company takes in more than it spends. It is a profitable company, if the revenue is not enough to cover expenditures it is at a loss. Folks when was the last time you told your neighbors my paycheck almost paid my bills. Better yet confessing to your neighbor your maxing out your credit line to maintain the lifestyle. This is exactly what Kyndryl is doing. It is just doing it with the complicity of wall street. It's all smoke and mirror's. This company is in trouble.
There is no new business of significance. Business Development is a joke.
That is a great assessment of kyndryls troubles. More over it is an honest one with out the corporate spin. Let's see how many dislikes it will receive. Persons or people in general have a hard time accepting truth.
The numbers are better than expected for sure. Just keep this in mind. This economy is still out performing expectations. If this is the best they can do in this booming econ and market. Then why have our numbers not been even better. Yeah, I know they are still on the hook for IBM's debt burden. That aside this company should be thriving . It is not for one simple reason. It can not compete with the smaller more agile companies in this line of work. Kyndryl is having a hard time defining its self. Kyndryl is still to closely associated with IBM. Lets face the facts IBM has a tu-d of a reputation, and Kyndryl is being viewed as just another extension of IBM. That view would not be entirely wrong. Old IBM management running Kyndryl, same business protocols and structuring, they even share physical space together. Kyndryls stock should be through the roof after all it is a tech company. The stock is so under valued investors should be jumping over each other to acquire this stock at is basement bargain price. They do not The stock price should be shooting up. It is not, it only ebbs and flows minutely. That means this stock, is bought only to park an investors money until they can put that money some where else. If kyndryl does not make a clean break from IBM, it will not survive a economic down turn. They just won't, its that simple.
another financial engineering, not more than that.As insider I can say you that clients are not renewing contracts therefore I see only bad future or no future for company. Is dead cow
Don't need growth. So long as they keep dumping the 0 margin IBM contracts and become more profitable they'll be able to bear to survive. Not se-y but the company can manage