Teradata delivers strong quarter, ups 2010 outlook

Summary:Teradata's third quarter revenue tally of $489 million was up 15 percent from a year ago.

Teradata delivered a strong quarter across the board and raised its outlook for the year.

The company reported third quarter earnings of $75 million, or 44 cents a share. Non-GAAP earnings were 46 cents a share. Teradata's third quarter revenue tally of $489 million was up 15 percent from a year ago.

Wall Street was expecting earnings of 39 cents a share on revenue of $464.2 million.

Meanwhile, Teradata increased its outlook for 2010. The company projected revenue growth of 12 percent up from its previous outlook for growth of 8 percent to 10 percent. Teradata also projected earnings of $1.71 a share to $1.74 a share. Non-GAAP earnings were projected to be $1.80 to $1.83. Wall Street was expecting 2010 earnings of $1.70 a share.

Teradata's results are notable given that it plays in the hot data warehousing and analytics market. The company also happens to be a fine acquisition target for larger players trying to beef up their analytics capabilities.

By the numbers:

  • Gross margin was 57.1 percent in the third quarter, up from 53.4 percent a year ago.
  • Revenue in the Americas was $292 million, up 18 percent from a year ago. Europe Middle East and Africa revenue was $109 million, and Asia Pacific/Japan sales were $88 million.
  • The company ended the quarter with $741 million.

Related:

Topics: Banking, Enterprise Software

About

Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic. He was most recently Executive Editor of News and Blogs at ZDNet. Prior to that he was executive news editor at eWeek and news editor at Baseline. He also served as the East Coast news editor and finance editor at CN... Full Bio

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