Stock Monitor: GDS Holdings Post Earnings Reporting
LONDON, UK / ACCESSWIRE / March 14, 2018 / Active-Investors.com has just released a free earnings report on Teradata Corp. (NYSE: TDC). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/'symbol=TDC. Teradata reported its fourth quarter and fiscal 2017 operating and financial results on February 08, 2018. The data management Company provided guidance for the upcoming quarter and fiscal year. Register today and get access to over 1,000 Free Research Reports by joining our site below:
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Active-Investors.com is currently working on the research report for GDS Holdings Limited (NASDAQ: GDS), which also belongs to the Technology sector as the Company Teradata. Do not miss out and become a member today for free to access this upcoming report at:
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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Teradata most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
www.active-investors.com/registration-sg/'symbol=TDC
Earnings Highlights and Summary
Teradata reported revenue of $626 million for the quarter ended December 31, 2017, at par with the $626 million reported in Q4 2016. The Company's reported numbers exceeded analysts' estimates of $610.5 million.
Teradata's full-year (FY) 2017 revenue was $2.16 billion compared to revenue of $2.32 billion in FY16.
During Q4 2017, Teradata reported GAAP gross margin of 48.9% versus 50.3% for Q4 2016. On a non-GAAP basis, excluding stock-based compensation expense and special items, the Company's gross margin for the reported quarter was 51.8% versus 53.7% in the prior year's same quarter. The drop in non-GAAP gross margin for the reported quarter resulted from a higher mix of services revenue and lower services margin due to investments related to Teradata's transformation.
For Q4 2017, Teradata's operating income was $59 million compared to $98 million of operating income in Q4 2016. On a non-GAAP basis, excluding stock-based compensation expense and special items, operating income was $91 million in the reported quarter versus $131 million in the year ago same period.
Due to the enactment of The Tax Cuts and Jobs Act of 2017 (Tax Reform) in December 2017, Teradata reported GAAP net loss of $74 million, or $0.61 per share, compared to net income of $58 million, or $0.44 per diluted share, in Q4 2016.
Teradata's non-GAAP net income in Q4 2017, excluding the tax-related charge, stock-based compensation expense, and other special items was $72 million, or $0.58 per diluted share, compared to non-GAAP net income of $92 million, or $0.70 per diluted share, in Q4 2016. The Company's earnings beat Wall Street's estimates of $0.50 per share.
For FY17, including the impact of the charge related to the Tax Reform, Teradata reported a net loss of $67 million, or $0.53 per share, compared to net income of $125 million, or $0.95 per diluted share, in FY16.
The Company's non-GAAP net income was $173 million, or $1.35 per diluted share, in FY17 compared to $338 million, or $2.57 per diluted share, in FY16. The decline in 2017 non-GAAP earnings per share for Q4 2017 and FY17 was largely due to increased investments related to the Company's transformation initiatives as well as revenue from subscription-based transactions being recognized over time versus upfront as was largely the case for Teradata's transactions in FY16.
Cash Matters
During Q4 2017, Teradata generated $23 million of cash from operating activities compared to $52 million in Q4 2016. For FY17, the Company generated $324 million of cash from operating activities compared to $446 million in FY16.
In Q4 2017, Teradata generated $2 million of free cash flow compared to $20 million in Q4 2016. For FY17, Teradata's free cash flow was $237 million compared to $328 million in FY16.
Teradata ended Q4 2017 with $1.09 billion in cash. As of December 31, 2017, Teradata had total debt of approximately $780 million, consisting of $540 million outstanding under a term loan and $240 million in borrowings under its $400 million revolving credit facility.
During FY17, the Company used $351 million of cash to repurchase approximately 11.5 million shares. On February 05, 2018, Teradata's Board of Directors authorized an additional $310 million to be utilized to repurchase the Company's common stock under its open market share repurchase program. Teradata now has a total of approximately $500 million authorized for share repurchases under this share repurchase program, and it expires on February 05, 2021.
Guidance
For FY18, Teradata is forecasting revenue in the range of $2.15 billion to $2.20 billion. The Company's revenue is expected to be in the $490 million to $500 million range in Q1 2018.
For FY18, Teradata is projecting GAAP earnings per share is expected to be $0.67 to $0.77. On a non-GAAP basis, earnings per share is expected to be in the $1.50 to $1.60 range. The Company is anticipating GAAP loss per share in Q1 2018 to be in the band of $0.08 to $0.05 range, and non-GAAP earnings per share in the $0.13 to $0.16 range.
Stock Performance Snapshot
March 13, 2018 - At Tuesday's closing bell, Teradata's stock was slightly down 0.68%, ending the trading session at $42.30.
Volume traded for the day: 844.29 thousand shares.
Stock performance in the last month - up 20.86%; previous three-month period - up 10.88%; past twelve-month period - up 36.50%; and year-to-date - up 9.98%
After yesterday's close, Teradata's market cap was at $5.13 billion.
Price to Earnings (P/E) ratio was at 87.22.
The stock is part of the Technology sector, categorized under the Data Storage Devices industry.
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