Here's What Key Metrics Tell Us About Teradata (TDC) Q4 Earnings

Core Insights - Teradata reported $409 million in revenue for Q4 2024, a year-over-year decline of 10.5% and an EPS of $0.53, down from $0.56 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $410.76 million by 0.43%, while the EPS exceeded the consensus estimate of $0.42 by 26.19% [1] Financial Performance Metrics - Annual recurring revenue (ARR) totaled $1.47 billion, below the average estimate of $1.52 billion [4] - Public Cloud ARR was $609 million, compared to the average estimate of $633.39 million [4] - Revenue from perpetual software licenses and hardware was $3 million, significantly lower than the average estimate of $7.51 million, representing a 75% year-over-year decline [4] - Recurring revenue was $351 million, slightly above the estimated $343.30 million, but down 5.7% from the previous year [4] - Consulting services revenue was $55 million, below the average estimate of $60.30 million [4] - Gross profit from recurring revenue was $243 million, slightly below the average estimate of $244.72 million [4] - Gross profit from consulting services was $2 million, compared to the average estimate of $6.85 million [4] - Gross profit from perpetual software licenses and hardware was -$2 million, better than the estimated -$6.19 million [4] Stock Performance - Teradata shares returned +2% over the past month, while the Zacks S&P 500 composite increased by +4.2% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market [3]