The Details
Teradata Corporation (TDC) reported its fourth-quarter financial results after the bell Monday. Here’s a look at the details.
Strong Quarterly Earnings, But Mixed Sales Performance
Teradata reported quarterly earnings of 56 cents per share, surpassing the analyst consensus estimate of 51 cents by 9.8%. This is a significant 60% increase over the 35 cents per share earned in the same period last year. However, the company’s quarterly sales of $457 million, while beating the analyst consensus estimate of $456.79 million by a slim 0.05%, only represented a modest 1.11% increase over last year’s sales of $452 million.
CEO’s Perspective and Guidance Below Estimates
According to Teradata’s CEO, Steve McMillan, the company ended 2023 with $528 million of Cloud ARR, showcasing a ten-fold growth in less than four years. Despite this optimism, the company issued guidance below estimates and anticipates first-quarter earnings between 53 cents and 57 cents per share, falling short of the 73 cents per share estimate. Similarly, Teradata expects fiscal year 2024 earnings to range between $2.15 and $2.31 per share, compared to the $2.38 per share estimate.
Stock Reaction
As per Benzinga Pro, Teradata shares experienced a 13.4% decline after-hours, trading at $42.26 at the time of publication.
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