Kyndryl Amps Up Tech Collaboration with Stellantis: Details

Kyndryl Holdings, Inc. KD expanded a multi-year deal with Stellantis N.V. STLA to manage and operate select essential business operations.

The operations include networking, data center support, and local IT services support across Europe, North America, and South America.

The deal is an extension of the agreement announced in February 2023, as per which Kyndryl will continue to modernize Stellantis’ IT infrastructure to broaden access to skilled technical resources. 

Gilles Feuntun, Stellantis’ Vice President of Global Technology & Operations, said, “Stellantis is working to reimagine mobility as we know it today and set new benchmarks in our fast-evolving industry. It means teaming with the world’s technology leaders to offer innovative and sustainable products and solutions that meet the evolving needs of both customers and the planet.”

“Our collaboration is based on a shared vision of digital transformation and innovation, leveraging Kyndryl’s global scale, industry knowledge and technology expertise to help Stellantis achieve its strategic goals and ambitions,” said Angelo Cirocco, Managing Partner, Kyndryl.

Last month, Kyndryl reported Q3 adjusted EPS of $(0.05), beating the consensus of $(0.26), and sales of $3.94 billion surpassed the $3.92 billion estimate.

In its quarterly report, Kyndryl revised its FY24 outlook for adjusted pretax income to at least $150 million, an adjusted EBITDA margin to at least 14.5%, and a constant-currency revenue decline of (6%) to (7%).

Price Action: KD shares are trading lower by 0.18% at $22.20 premarket on the last check Monday.