Teradata Earnings: Third Straight Quarter of Rising Profit

S&P 500 (NYSE:SPY) component Teradata Corporation (NYSE:TDC) reported net income above Wall Street’s expectations for the third quarter. Teradata provides enterprise data warehousing, including enterprise analytic technologies and services.

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Teradata Corporation Earnings Cheat Sheet

Results: Net income for Teradata Corporation rose to $104 million (60 cents per share) vs. $87 million (51 cents per share) in the same quarter a year earlier. This marks a rise of 19.5% from the year-earlier quarter.

Revenue: Rose 7.5% to $647 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Teradata Corporation reported adjusted net income of 69 cents per share. By that measure, the company beat the mean estimate of 63 cents per share. It beat the average revenue estimate of $586.8 million.

Quoting Management: “In Q3, Teradata continued to deliver solutions that create value for our customers and solid financial results for Teradata, given the macro-economic environment,” said Mike Koehler, president and chief executive officer of Teradata Corporation. “Teradata’s competitive position has never been stronger, and we are well positioned with our market-leading technology and solutions in three growing and strategic markets – data warehousing, big data analytics and integrated marketing management.”

Key Stats:

The company has now seen net income rise in three straight quarters. In the second quarter, net income rose 8.7% and in the first quarter, the figure rose 40%.

The company has now surpassed analyst estimates for four quarters in a row. It beat the mark by 13 cents in the second quarter, by 4 cents in the first quarter, and by 4 cents in the fourth quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue increased 14.5% to $665 million in the second quarter. The figure rose 21.1% in the first quarter from the year earlier and climbed 22.8% in the fourth quarter of the last fiscal year from the year-ago quarter.

Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the fourth quarter has moved up from 71 cents a share to 72 cents over the last ninety days. The average estimate for the fiscal year has seen a bump from $2.63 per share sixty days ago to $2.64.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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