Teradata Corp ( (TDC) ) has released its Q1 earnings. Here is a breakdown of the information Teradata Corp presented to its investors.
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Teradata Corporation is a leading provider of cloud analytics and data platforms, specializing in AI-driven solutions for businesses across various industries. The company recently released its first quarter 2025 financial results, highlighting significant achievements and challenges.
In the first quarter of 2025, Teradata reported a 15% increase in public cloud annual recurring revenue (ARR), reaching $606 million. The company’s GAAP operating margin improved to 15.8%, and non-GAAP operating margin rose to 21.8%. However, total ARR saw a slight decline of 3%, and total revenue decreased by 10% compared to the previous year.
Key financial metrics revealed a GAAP diluted EPS of $0.45 and a non-GAAP diluted EPS of $0.66. While cash flow from operations dropped to $8 million, the company maintained a free cash flow of $7 million. Despite these mixed results, Teradata’s recurring revenue accounted for 86% of total revenue, indicating a strong focus on subscription-based models.
Looking ahead, Teradata’s management remains cautiously optimistic, reaffirming its growth outlook for public cloud ARR and total ARR for the full year 2025. The company aims to continue leveraging its hybrid platform and AI capabilities to drive innovation and value for its clients in a dynamic market environment.