Slide 1: Q4'24 and 2024 Earnings Results
February 2025 Q4’24 and 2024 Earnings Results Teradata Investor Relations © 2025 Teradata. All rights reserved.
Slide 2: Forward-looking statements; Non-GAAP Financial Measures
Forward-looking statements Non-GAAP Financial Measures This release contains forward-looking statements within transformation program or restructuring, sales and This presentation and the accompanying discussion the meaning of Section 21E of the Securities and operational execution initiatives, and
Slide 3: Teradata – at a glance
Teradata – at a glance Corporate purpose What we do How we do it We believe people thrive when We are the hybrid cloud platform We deliver harmonized data, empowered with trusted for Trusted AI. We drive value and Trusted AI, and faster innovation information. innovation at scale, making it faster f
Slide 4: 2024 Financials
2024 Financials © 2025 Teradata. All rights reserved. 4
Slide 5: Teradata – by the numbers Q4'24
Teradata – by the numbers Q4’24 Public Cloud ARR Total ARR Recurring Revenue Total Revenue $609M $1.474B $351M $409M + 15% YoY - 6% YoY - 6% YoY - 11% YoY + 18% YoY in CC - 4% YoY in CC - 4% YoY in CC - 9% YoY in CC Notes: Total annual recurring revenue (ARR) is defined as the annual value at a poin
Slide 6: Teradata – by the numbers Q4'24 (EPS and cash flow)
Teradata – by the numbers Q4’24 GAAP Diluted Earnings per Non-GAAP Diluted Share Earnings per Share Cash Flow from Operations Free Cash Flow $0.26 $0.53 $156M $148M + from ($0.07) in Q4’23 - from $0.56 in Q4’23 - from $176M in Q4’23 - from $168M in Q4’23 NOTES: Non-GAAP diluted earnings per share an
Slide 7: Teradata – by the numbers FY24
Teradata – by the numbers FY24 Public Cloud ARR Total ARR Recurring Revenue Total Revenue $609M $1.474B $1.479B $1.750B + 15% YoY - 6% YoY - 1% YoY - 5% YoY + 18% YoY in CC - 4% YoY in CC + 1% YoY in CC - 3% YoY in CC Notes: Total annual recurring revenue (ARR) is defined as the annual value at a po
Slide 8: Teradata – by the numbers FY24 (EPS and cash flow)
Teradata – by the numbers FY24 GAAP Diluted Earnings per Non-GAAP Diluted Share Earnings per Share Cash Flow from Operations Free Cash Flow $1.16 $2.42 $303M $277M + from $0.61 in FY23 + from $2.07 in FY23 - from $375M in FY23 - from $355M in FY23 NOTES: Non-GAAP diluted earnings per share and free
Slide 9: ARR by product
ARR by product 1,506 1,523 1,524 1,570 1,480 1,465 1,482 1,474 173 198 99 $1.474B 259 233 139 121 119 869 793 766 816 802 - 6% YoY 876 872 859 - 4% YoY in CC - $34M QoQ FX Impact 528 525 542 570 609 388 414 454 41% Cloud ARR as a % of Total ARR Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Cloud S
Slide 10: Cloud ARR & TTM Net Expansion Rate
Cloud ARR & TTM Net Expansion Rate 615 140% 605 595 585 $609M 575 565 555 545 130% 535 525 515 124% 505 123% 123% 123% + 15% YoY 495 121% 485 120% 475 119% + 18% YoY in CC 465 455 117% 120% 445 435 - $11M QoQ FX Impact 425 415 405 395 117% 110% Cloud Net 385 375 365 Expansion Rate 355 345 335 325 38
Slide 11: Revenue by type
Revenue by type 1,833 1,750 296 248 45 $409M 23 476 462 457 465 438 436 440 74 409 78 73 69 13 71 8 63 61 13 7 12 5 7 55 3 - 11% YoY 1,492 1,479 - 9% CC 389 371 372 388 368 372 360 351 86% Recurring Revenue as a % of Total Revenue Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 FY23 FY24 Recurring P
Slide 12: Non-GAAP gross margin
$300 78% Gross Margin ($M) Non-GAAP gross margin 75% $275 72% 72% 72% 72% Recurring 73% 71% 71% $250 70% $225 68% Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Total Gross Margin % of Revenue $400 $20 80% Gross Margin ($M) $15 33% 29% 60% 64% 15% Perpetual 40% 65% 8% 0% 0% 0% $300 62% 62% 62% 62%
Slide 13: Non-GAAP operating expenses
Non-GAAP operating expenses SG&A R&D 150 40% 70 20% 68 66 64 31% 62 125 30% 29% 29% 29% 60 28% 30% 58 16% 26% 56 25% 54 15% 15% 52 100 50 14% 14% 14% 14% 48 46 13% 20% 44 42 75 40 38 36 134 141 133 131 134 114 109 117 34 64 67 68 63 66 61 63 60 32 50 10% 30 10% Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3
Slide 14: Non-GAAP operating margin & earnings per share
Non-GAAP operating margin & earnings per share Non-GAAP Operating Margin Earnings per Share $150 23% 23% 2.42 22% 25% $2.25 2.07 19% 19% 18% 20% 16% $1.75 $100 14% 15% $1.25 1.16 10% $0.75 0.61 0.56 0.53 $50 0.26 5% $0.25 $0 0% -$0.25 -0.07 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 FY23 FY24 Q
Slide 15: Free cash flow & capital allocation
Free cash flow & capital allocation 375 355 Q4’24 Capital Allocation FY24 Capital Allocation 303 Stock repurchase Stock repurchase 277 176 168 156 148 $29M $215M Approximately 0.9 million shares Approximately 5.8 million shares Return of Q4’24 FCF = 20% Return of FY24 FCF = 78% Target = at least 75%
Slide 16: Select cash and debt balances
Select cash and debt balances Net Cash (Debt) $800 $ Millions Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 $600 $400 Cash and cash $ 486 $ 337 $ 301 $ 348 $ 420 equivalents $200 $ Millions $- Total debt $ (499) $ (499) $ (492) $ (486) $ (480) $(200) $(400) Finance lease $(600) $ (129) $ (121) $ (110) $ (100) $ (87
Slide 17: 2025 Financial Outlook
2025 Financial Outlook © 2025 Teradata. All rights reserved. 17
Slide 18: FY25 financial outlook
FY25 financial outlook Public cloud ARR Recurring revenue Non-GAAP diluted EPS growth of 14% to 18% YoY in CC in the range of -3% to -5% YoY in CC in the range of $2.15 to $2.25 Total ARR Total revenue Free cash flow growth of flat to 2% YoY in CC in the range of -4% to -6% YoY in CC of $250 to $280
Slide 19: Q1'25 financial outlook
Q1’25 financial outlook Recurring revenue Total revenue Non-GAAP diluted EPS in the range of -4% to -6% YoY in CC in the range of -6% to -8% YoY in CC in the range of $0.55 to $0.59 Notes: Non-GAAP diluted earnings per share (EPS) is a non-GAAP measures. Please see the Appendix for reconciliation of
Slide 20: FY25 key modeling assumptions
FY25 key modeling assumptions Non-GAAP Tax Rate WASO 23% 97.4 million Return of FCF Other Expense Target at least 50% Approximately $43 million © 2025 Teradata. All rights reserved. 20
Slide 21: Industry and ESG Recognition
Industry and ESG Recognition © 2025 Teradata. All rights reserved. 21
Slide 22: Industry recognition
Industry recognition Leader in The Teradata recognized Forrester Wave : for our vision and Enterprise Data Fabric, execution in the Q1 2024 2024 Gartner® Magic Quadrant for Leader in The Cloud Database Forrester Wave : Management Systems Cloud Data Warehouses, Q2 2023 550+ ratings "works well with o
Slide 23: Gartner Magic Quadrant for Cloud Database Management Systems
Figure 1. Magic Quadrant to Cloud Database Management Systems Teradata recognized for our Ability to Execute and Completeness of Vision in the Gartner® Magic Quadrant for Cloud Database Management Systems We offer a bold vision for how trusted AI will impact business and transform enterprises amid
Slide 24: Gartner Critical Capabilities for Cloud Database Management Systems
Strong performance across all evaluated Use Cases in Gartner® Critical Capabilities for Cloud Database Management Systems for Analytical Use Cases • Tied for second in the Enterprise Data Warehouse Use Case • Placed among the highest ranked five vendors across every evaluated Use Case—highlighting t
Slide 25: Teradata is a Customers' Choice
Teradata is a Customers’ Choice Teradata receives a 2024 Customers’ Choice for Cloud Database Management Systems in the Gartner® Peer Insights ‘Voice of the Customer’ report! Recognition is based on reviews and ratings from verified end- users, reflecting genuine satisfaction and positive experience
Slide 26: Teradata recognized as Exemplary in four ISG Research Buyers Guides
Teradata recognized as Exemplary in four ISG Research Buyers Guides: • Analytic Data Platforms Named a Leader in Product Experience and Capability • AI Platforms Named a Leader in Manageability • GenAI Platforms Named a Leader in Manageability • Machine Learning Operations Named a Leader in
Slide 27: Teradata named a Leader in Enterprise Data Fabric
The Forrester Wave : Enterprise Data Fabric, Q1 2024 Teradata named a Leader in Enterprise Data Fabric, recognized for: • “A clear, differentiated vision that focuses on intelligent processing, democratizing data, accelerating time to value, empowering users, agile data onboarding, and semantic know
Slide 28: Teradata named a Leader in Cloud Data Warehouses
The Forrester Wave : Cloud Data Warehouses, Q2 2023 Teradata named a Leader in Cloud Data Warehouses, recognized for: • “Exceptional analytics at scale and a strong vision [that] focuses on a strategy that includes AI/ML at scale, integrated data plane, data fabric, data mesh, semantic mapping, data
Slide 29: Teradata is strongly committed to ESG
Teradata is strongly committed to ESG Accolades Recognition Affiliations © 2025 Teradata. All rights reserved. 29
Slide 30: Appendix
Appendix © 2025 Teradata. All rights reserved. 30
Slide 31: Impacts to ARR and Revenue
Impacts to ARR and Revenue ARR Q1 Q2 Q3 Q4 FY22 Q1 Q2 Q3 Q4 FY23 Q1 Q2 Q3 Q4 FY24 2022 2022 2022 2022 2023 2023 2023 2023 2024 2024 2024 2024 Reported YoY Growth Rate 2% -3% -4% -1% -1% 6% 10% 11% 6% 6% -2% -4% -3% -6% -6% Positive/(Negative) on Reported YoY Growth Rate: FX -1% -4% -4% -3% -3% -1% 1
Slide 32: GAAP to Non-GAAP Reconciliations and Additional Information
GAAP to Non-GAAP Reconciliations and Additional Information Use of Non-GAAP Measures Teradata reports its results in accordance with GAAP. However, as described below, the Company believes that certain non- GAAP measures such as free cash flow, non-GAAP gross profit, non-GAAP operating expenses, non
Slide 33: Three months ended December 31, 2024 and 2023
GAAP to Non-GAAP Reconciliation Three months ended December 31, 2024 and 2023 Amounts in U.S. Dollars in Millions, except per share amounts. Amounts are unaudited. NOTES: 1. While Teradata reports its results using generally accepted accounting principles in the U.S. (GAAP), certain non-GAAP financi
Slide 34: Three months ended September 30, 2024 and 2023
GAAP to Non-GAAP Reconciliation Three months ended September 30, 2024 and 2023 Amounts in U.S. Dollars in Millions, except per share amounts. Amounts are unaudited. NOTES: 1. While Teradata reports its results using generally accepted accounting principles in the U.S. (GAAP), certain non-GAAP financ
Slide 35: Three months ended June 30, 2024 and 2023
GAAP to Non-GAAP Reconciliation Three months ended June 30, 2024 and 2023 Amounts in U.S. Dollars in Millions, except per share amounts. Amounts are unaudited. NOTES: 1. While Teradata reports its results using generally accepted accounting principles in the U.S. (GAAP), certain non-GAAP financial m
Slide 36: Three months ended March 31, 2024 and 2023
GAAP to Non-GAAP Reconciliation Three months ended March 31, 2024 and 2023 Amounts in U.S. Dollars in Millions, except per share amounts. Amounts are unaudited. NOTES: 1. While Teradata reports its results using generally accepted accounting principles in the U.S. (GAAP), certain non-GAAP financial
Slide 37: Twelve months ended December 31, 2024 and 2023
GAAP to Non-GAAP Reconciliation Twelve months ended December 31, 2024 and 2023 Amounts in U.S. Dollars in Millions, except per share amounts. Amounts are unaudited. NOTES: 1. While Teradata reports its results using generally accepted accounting principles in the U.S. (GAAP), certain non-GAAP financ
Slide 38: Earnings per share
GAAP to Non-GAAP Reconciliation Earnings per share NOTES: i. Represents the income tax effect of the pre-tax adjustments to reconcile GAAP to Non-GAAP income based on the applicable jurisdictional statutory tax rate of the underlying item. Including the income tax effect assists investors in underst
Slide 39: Free cash flow reconciliation – December 31, 2024 and 2023
GAAP to Non-GAAP Reconciliation Free cash flow reconciliation – December 31, 2024 and 2023 NOTES: The Company believes that free cash flow is a useful non-GAAP measure for investors. Free cash flow does not have a uniform definition under GAAP in the United States and therefore, Teradata's definitio
Slide 40: Thank you
Thank you © 2025 Teradata. All rights reserved.
Slide 41: Teradata
teradata.