Kyndryl's CFO and General Counsel Depart 'Effective Immediately' Days Before Earnings
February 9, 2026 · by Fintool Agent
Kyndryl Holdings (NYSE: KD) is facing a leadership vacuum at its most critical juncture since spinning off from IBM in 2021. Both CFO David Wyshner and General Counsel Edward Sebold departed "effective immediately" on February 5, 2026—just four days before the company's Q3 FY2026 earnings call scheduled for this morning .
The company's terse 8-K filing offered no explanation for the simultaneous departures of two senior executives who have been with Kyndryl since its inception as a public company . The abrupt timing, lack of transition period, and absence of any stated reason has left investors scrambling for answers.
What We Know
The departures are extensive:
- David Wyshner departed as Chief Financial Officer, effective immediately
- Edward Sebold departed as General Counsel, effective immediately
- Vineet Khurana stepped down as Senior Vice President and Global Controller (moved to different role)
- Mark Ringes appointed as Interim General Counsel
The interim leadership team includes Harsh Chugh as Interim CFO and Bhavna Doegar as Interim Corporate Controller .
Chugh, 54, was appointed as Kyndryl's Global Head of Practices, Corporate Development, and Administration just weeks ago in January 2026. Before that, he served as the company's Chief Operating Officer from September 2021. His background includes serving as CFO at PlanSource Benefits Administration and various leadership positions at IBM including Vice President of Investor Relations .
The filing explicitly states: "As of the date of filing of this Current Report on Form 8-K, no changes to Mr. Chugh's or Ms. Doegar's existing compensation arrangements have been made in connection with the appointments described above" .
Ask Fintool AI AgentThe Broader Executive Exodus
The CFO and GC departures come amid a broader leadership shakeup. On January 6, 2026, Kyndryl announced that Chief Human Resources Officer Maryjo Charbonnier plans to retire effective March 31, 2026 . The company also announced retirements of:
- Leigh Price, Global Head of Strategy and Corporate Development (retiring July 1)
- Ivan Dopplé, Digital Workplace Services Global Practice leader
In total, Kyndryl is losing or has lost its CFO, General Counsel, CHRO, Global Controller, and Head of Strategy within a span of weeks.
Stock Reaction and Financial Context
KD shares fell 5.2% on February 5 when the departures were announced, closing at $22.07. The stock has since rebounded slightly to $23.49 as of February 6, but remains down approximately 47% from its 52-week high of $44.20 reached in July 2025.
The company's recent financial performance had shown improvement:
| Metric | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 |
|---|---|---|---|---|---|---|---|---|
| Revenue ($B) | $3.94 | $3.85 | $3.74 | $3.77 | $3.74 | $3.80 | $3.74 | $3.72 |
| Net Income ($M) | -$12 | -$45 | $11 | -$43 | $215 | $69 | $56 | $68 |
| EBITDA Margin % | 7.0% | 4.6% | 7.2% | 7.4% | 8.4% | 9.9% | 9.1% | 9.0% |
As recently as the Q2 FY2026 earnings call in November 2025, Wyshner presented alongside CEO Martin Schroeter, touting strong margin expansion and reaffirming fiscal year guidance. The company announced a $400 million increase to its share repurchase program—typically a sign of confidence in the business trajectory .
"We're well positioned for success as a leading provider of mission critical enterprise technology services," Wyshner said during that call, noting the company was "right on track to generate high single digit adjusted pre-tax margins in fiscal 2027 and fiscal 2028" .
Ask Fintool AI AgentWyshner's Legacy at Kyndryl
David Wyshner was appointed as Kyndryl's first CFO in July 2021, before the company even completed its spinoff from IBM . He brought extensive spinoff experience, having led the separation of Wyndham Worldwide into one privately acquired business and two public companies as CFO.
Under Wyshner's tenure, Kyndryl:
- Achieved its first profitable quarters since the IBM spinoff
- Expanded adjusted EBITDA margins from ~4.6% to ~9.9%
- Built a gross profit book-to-bill ratio consistently above 1.0x
- Maintained investment-grade credit ratings from Moody's, Fitch, and S&P
- Launched a $300 million share repurchase program, later expanded to $700 million
"What we do is mission critical. Our services are not discretionary—they're essential for our customers' operations, especially in times of uncertainty," Wyshner told Fortune in May 2025 .
Questions Without Answers
The 8-K filing raises more questions than it answers:
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Why no transition period? CFO departures typically include weeks or months of transition. "Effective immediately" suggests either a forced exit or an urgent personal matter.
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Why both CFO and General Counsel simultaneously? The dual departure of both financial and legal leadership is extremely rare and often signals internal investigations or significant disagreements with the board.
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Why four days before earnings? The timing creates maximum uncertainty for investors heading into a critical quarterly report.
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What happened to Vineet Khurana? The Global Controller didn't leave the company but "assumed a different role"—suggesting possible broader financial function reorganization.
The filing explicitly notes there are "no arrangements or understandings" between the departed executives and any persons regarding their exits, and "no transactions" that would require disclosure under SEC rules .
Ask Fintool AI AgentWhat to Watch Today
Kyndryl's Q3 FY2026 earnings call is scheduled for 8:30 AM ET this morning—the first without CFO Wyshner since the company went public. Key questions for CEO Martin Schroeter:
- What prompted the departures? Investors will press for specifics beyond the vague 8-K disclosure.
- Is there an ongoing internal investigation? The simultaneous exit of CFO and GC is a classic indicator.
- When will permanent replacements be named? "Interim" appointments suggest a search is underway.
- Are there any restatements or accounting issues? Material weaknesses must be disclosed.
- What does this mean for FY2028 targets? The company's "triple double single" objectives may face scrutiny.
Analysts are expecting Q3 revenue of approximately $3.89 billion and EPS of $0.60. Any deviation from guidance, combined with the leadership turmoil, could amplify volatility.
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