Kyndryl’s Most Highly Compensated Executives In Fiscal 2023

It’s the first time that the IBM spin-off is disclosing the total compensation for top executives paid by the company itself and not by Big Blue.

Less than two years after its spin-off from IBM, New York-based solutions provider Kyndryl is for the first time disclosing its top executives’ total compensation from its own coffers.

Officially launching in November 2021 as a public company, Kyndryl focuses on a multitude of global managed services practices including cloud, digital workplace, security, network and edge and AI and offers advisory and implementation services.

But even with a growing need for services, the company is still finding its sweet spot to drive profits.

For the fiscal year that ended on March 31, 2023, Kyndryl reported revenue of $17 billion, a decline of 7 percent compared to the previous year, a pretax loss of $851 million in fiscal year 2023 and net loss of $1.4 billion.

For the fourth quarter in the same fiscal year, the company reported revenue of $4.3 billion, a year-over-year decline of 4 percent, but a 1 percent increase in constant currency. It had a pretax loss of $288 million and a net loss of $737 million. The pretax loss included transaction-related costs, workforce rebalancing charges and lease-exit costs.

“Our progress in fiscal year 2023 demonstrated that we’re executing a powerful strategy to move our business forward,” said Kyndryl chief financial officer David Wyshner during the Q4 investors call. “In fiscal 2024, we’re driving margin expansion through our three-A initiatives as we accelerate our transformation.”

A recently filed proxy statement shows that the five top named executives in the company also took a cut when transitioning to Kyndryl. CEO Martin Schroeter reported total compensation of $26,377,162 in 2021 but had a total compensation of $13,655,346 in 2023. In fact, all five executives’ total compensation was about half of what was reported in 2021, according to the proxy statement. They were paid a fraction of that during a transition period, which extended from January 1, 2022 through March 31, 2022. Prior to November 3, 2021, compensation was paid by IBM. Beginning November 3, 2021, amounts were paid by Kyndryl, the proxy stated.

Here are Kyndryl’s five most highly compensated executives in its fiscal year 2023.

5. Maryjo Charbonnier

Chief Human Resources Officer

Total Fiscal Year 2023 Compensation: $2,436,127

Transition year: $345,938

Totally Fiscal Year 2021 Compensation: $5,008,311

Charbonnier has been the chief human resources officer since 2021. Prior to Kyndryl, she worked at information services firm Wolters Kluwer where she served as chief human resources officer since 2015. Prior to that she worked at Broadridge Financial Solutions and PepsiCo Foods Americas.

For fiscal year 2023, Charbonnier’s salary was $615,000. Her non-equity incentive plan compensation was $768,750. Other compensation of $52,349 and stock awards totaling $1,000,028 brought Charbonnier’s total compensation to $2,436,127.

4. Edward Sebold

General Counsel and Secretary

Total Fiscal Year 2023 Compensation: $3,067,520

Transition year: $378,750

Totally Fiscal Year 2021 Compensation: $4,609,252

Sebold serves as Kyndryl’s general counsel and secretary with about 25 years experience. After leading numerous global legal functions at IBM he was a partner at Jones Day and represented clients in the banking, finance, healthcare and manufacturing industries.

For fiscal year 2023, Sebold’s salary was $666,667. His non-equity incentive plan compensation was $833,333. Other compensation of $67,500 and stock awards totaling $1,500,020 brought Sebold’s total compensation to $3,067,520.

3. David Wyshner

Chief Financial Officer

Total Fiscal Year 2023 Compensation: $5,768,416

Transition year: $438,750

Totally Fiscal Year 2021 Compensation: $14,052,225

Wyshner is Kyndryl’s chief financial officer and comes with about 15 years of experience leading billion-dollar public company’s asset sales, spin-offs and acquisitions.

Before Kyndryl he worked at finance at XPO Logistics, Wyndham Worldwide and Avis Budget Group.

For fiscal year 2023, Wyshner’s salary was $780,000. His non-equity incentive plan compensation was $975,000. Other compensation of $13,389 and stock awards totaling $4,000,027 brought Wyshner’s total compensation to $5,768,416.

2. Elly Keinan

Group President

Total Fiscal Year 2023 Compensation: $ 10,122,409

Transition year: $616,771

Totally Fiscal Year 2021 Compensation: $19,854,223

Keinan is the group president at Kyndryl and oversees global operations and profits and losses for 63 countries. He also heads the company’s six global practices, global alliances and its technology platform. In his more than 30 years at IBM he has served in numerous roles such as general manager of IBM North America, general manager of IBM Latin America and chairman of IBM Japan.

For fiscal year 2023, Keinan’s salary was $800,00. His non-equity incentive plan compensation was $1,600,000. Other compensation of $122,389 and stock awards totaling $7,600,020 brought Keinan’s total compensation to $10,122,409.

1. Martin Schroeter

Chairman and Chief Executive Officer

Total Fiscal Year 2023 Compensation: $13,655,346

Transition year: $774,244

Totally Fiscal Year 2021 Compensation: $26,377,162

Schroeter is Kyndryl’s chairman and chief executive officer and joined IBM in 1992.

Before joining Kyndryl, he served as IBM’s senior vice president of global markets and prior to that served as its chief financial officer and general manager of IBM global financing.For fiscal year 2023, Schroeter’s salary was $1,000,000. His non-equity incentive plan compensation was $2,000,000. Other compensation of $155,321 and stock awards totaling $10,500,025 brought Schroeter’s total compensation to $13,655,346.