Slide 1: Q1'25 Earnings Results
May 2025 Q1’25 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 refreshed brand, business transformation program or This presentation and the accompanying discussion the meaning of Section 21E of the Securities and restructuring, sales and operational e
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: Q1'25 Financials
Q1’25 Financials © 2025 Teradata. All rights reserved. 4
Slide 5: Teradata – by the numbers Q1'25
Teradata – by the numbers Q1’25 Public Cloud ARR Total ARR Recurring Revenue Total Revenue $606M $1.442M $358M $418M + 15% YoY - 3% YoY - 8% YoY - 10% YoY + 16% YoY in CC - 2% YoY in CC - 6% YoY in CC - 8% YoY in CC Notes: Total annual recurring revenue (ARR) is defined as the annual value at a poin
Slide 6: Teradata – by the numbers Q1'25
Teradata – by the numbers Q1'25 GAAP Diluted Earnings per Non-GAAP Diluted Share Earnings per Share Cash Flow from Operations Free Cash Flow $0.45 $0.66 $8M $7M + from $0.20 in Q1'24 + from $0.57 in Q1'24 - from $27M in Q1'24 - from $21M in Q1'24 NOTES: Non-GAAP diluted earnings per share and free c
Slide 7: ARR by product
ARR by product 1,523 1,524 1,570 1,480 1,465 1,482 1,474 1,442 173 233 198 139 121 119 99 95 $1.442M 876 872 869 816 802 793 766 741 - 3% YoY - 2% YoY in CC 528 525 542 570 609 606 42% 454 Cloud ARR as a % 414 of Total ARR Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Cloud Subscription Maint & SW
Slide 8: Cloud ARR & TTM Net Expansion Rate
Cloud ARR & TTM Net Expansion Rate 615 140% 605 595 585 $606M 575 565 555 545 130% 535 525 515 123% 124% 505 123% 123% 495 + 15% YoY 485 475 121% 120% 465 117% 120% + 16% YoY in CC 455 445 115% 435 425 415 115% 405 Cloud Net 395 110% 385 Expansion Rate 375 365 355 345 335 325 414 454 528 525 542 570
Slide 9: Revenue by type
Revenue by type 1,822 1,703 291 229 40 $418M 25 462 457 465 438 436 440 409 418 78 73 69 71 8 63 61 50 13 7 12 5 7 55 10 3 - 8% YoY 1,491 1,449 - 6% CC 371 372 388 368 372 360 351 358 86% Recurring Revenue as a % of Total Revenue Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 LTM24 LTM25 Recurring
Slide 10: Non-GAAP gross margin
$300 73% 72% 72% 72% 72% Gross Margin ($M) Non-GAAP gross margin $275 71% 71% 70% 70% Recurring $250 $225 68% Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Total Gross Margin % of Revenue $400 $20 80% Gross Margin ($M) $15 33% 29% 60% 10% 40% 8% Perpetual 0% 0% 0% 65% $10 20% $300 62% 62% 62% 62%
Slide 11: 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 30% 58 16% 26% 56 25% 54 15% 15% 24% 52 100 50 14% 14% 14% 14% 14% 48 46 20% 44 42 75 40 38 36 141 133 131 134 114 109 117 101 34 67 68 63 66 61 63 60 60 32 50 10% 30 10% Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4
Slide 12: Non-GAAP operating margin & earnings per share
Non-GAAP operating margin & earnings per share Non-GAAP Operating Margin Earnings per Share $150 23% 2.52 22% 22% 25% $2.50 19% 19% 2.03 18% 20% 16% $2.00 $100 14% 15% $1.50 1.42 $1.00 10% $50 0.57 0.66 0.42 0.45 $0.50 0.20 5% $0 0% $0.00 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 LTM24 LTM25 Q
Slide 13: Free cash flow & capital allocation
Free cash flow & capital allocation 293 284 Q1'25 Capital Allocation 271 263 Stock repurchase $44M Approximately 1.6 million shares 27 21 Return of Q1'25 FCF = 629% 8 7 LTM24 LTM25 Q1'24 Q1'25 Cash from Operations Free Cash Flow Notes: Amounts in U.S. Dollars in Millions. Free cash flow (FCF) is a n
Slide 14: Select cash and debt balances
Select cash and debt balances Net Cash (Debt) $800 $ Millions Q1’24 Q2’24 Q3’24 Q4’24 Q1'25 $600 $400 Cash and cash $ 337 $ 301 $ 348 $ 420 $ 368 equivalents $200 $ Millions $- Total debt $ (499) $ (492) $ (486) $ (480) $ (474) $(200) $(400) Finance lease $(600) $ (121) $ (110) $ (100) $ (87) $ (105
Slide 15: 2025 Financial Outlook
2025 Financial Outlook © 2025 Teradata. All rights reserved. 15
Slide 16: 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 -7% YoY in CC of $250 to $280
Slide 17: Q2'25 financial outlook
Q2’25 financial outlook Recurring revenue Total revenue Non-GAAP diluted EPS in the range of -5% to -7% YoY in CC in the range of -7% to -9% YoY in CC in the range of $0.37 to $0.41 Notes: Non-GAAP diluted earnings per share (EPS) is a non-GAAP measures. Please see the Appendix for reconciliation of
Slide 18: FY25 key modeling assumptions
FY25 key modeling assumptions Non-GAAP Tax Rate WASO 23.1% 97 million Return of FCF Other Expense Target at least 50% Approximately $47 million © 2025 Teradata. All rights reserved. 18
Slide 19: Industry and ESG Recognition
Industry and ESG Recognition © 2025 Teradata. All rights reserved. 19
Slide 20: Industry recognition
Industry recognition Leader in The Forrester Teradata recognized Wave : Data for our vision and Management for execution in the Analytics Platforms, 2024 Gartner® Magic Q2 2025 Quadrant for Cloud Database Leader in The Management Systems Forrester Wave : Enterprise Data Fabric, Q1 2024 550+ ratings
Slide 21: Teradata recognized in the 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 22: Strong performance across all evaluated Use Cases in Gartner Critical Capabilities
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 23: 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 24: 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 25: 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 26: Teradata is strongly committed to ESG
Teradata is strongly committed to ESG Accolades Recognition Affiliations © 2025 Teradata. All rights reserved. 26
Slide 27: Appendix
Appendix © 2025 Teradata. All rights reserved. 27
Slide 28: 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 29: Three months ended March 31, 2025 and 2024
GAAP to Non-GAAP Reconciliation Three months ended March 31, 2025 and 2024 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 30: 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 31: 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 32: 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 33: 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 34: 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 35: 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 36: Free cash flow reconciliation – March 31, 2025 and 2024
GAAP to Non-GAAP Reconciliation Free cash flow reconciliation – March 31, 2025 and 2024 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 definition m
Slide 37: Thank you
Thank you © 2025 Teradata. All rights reserved.
Slide 38: teradata.
teradata.