Kyndryl CEO on the company's turnaround after IBM split

Shares of Kyndryl (KD) are rising in extended-hours trading after topping Wall Street estimates in its fourth quarter earnings. The IT services company brought in $3.85 billion in revenue, more than the expected $3.76 billion.

Kyndryl CEO Martin Schroeter tells Yahoo Finance that the company "finished a great quarter that was the end of a terrific year." He points to the investments being made in the Kyndryl Bridge platform and its alliance network which "have really become a part of the ecosystem that's driving our return to growth."

Following the company's spin-off from IBM in 2021, Schroeter says Kyndryl has been able to create and evolve "really deep, meaningful relationships" with other tech giants like Microsoft (MSFT) and Amazon (AMZN), leading to a $500 million revenue stream. Schroeter expects that figure to rise to about $1 billion this year alone, saying the partnerships are "vital."

"They've been a great part of our turnaround story and we expect that to continue," he tells Yahoo Finance.

For more expert insight and the latest market action, click here to watch this full episode.

This post was written by Melanie Riehl