Teradata Corporation (TDC) saw its loss narrow to $2 million, or $0.02 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $46 million, or $0.36 a share. On the other hand, adjusted net income for the quarter stood at $37 million, or $0.28 a share compared with $62 million or $0.47 a share, a year ago. Revenue during the quarter dropped 9.91 percent to $491 million from $545 million in the previous year period. Gross margin for the quarter contracted 374 basis points over the previous year period to 45.62 percent. Operating margin for the quarter stood at negative 0.20 percent as compared to a negative 7.71 percent for the previous year period.
Operating loss for the quarter was $1 million, compared with an operating loss of $42 million in the previous year period.
However, the adjusted operating income for the quarter stood at $58 million compared to $92 million in the prior year period. At the same time, adjusted operating margin contracted 507 basis points in the quarter to 11.81 percent from 16.88 percent in the last year period.
“I remain confident in our strategy and our people as we power through our business transformation. Our technology remains best of breed and our customers continue to rely on our services; and now, we offer greater choices in how our customers can purchase and deploy Teradata for analytics. This is a winning combination,” said Victor Lund, president and chief executive officer, Teradata Corporation. “Our team is focused on driving successful business outcomes for our customers and is energized about our future."
Operating cash flow remains almost stableTeradata Corporation has generated cash of $248 million from operating activities during the quarter, down 0.80 percent or $ 2 million, when compared with the last year period. The company has spent $18 million cash to meet investing activities during the quarter as against cash outgo of $29 million in the last year period.
The company has spent $44 million cash to carry out financing activities during the quarter as against cash outgo of $145 million in the last year period.
Cash and cash equivalents stood at $1,164 million as on Mar. 31, 2017, up 26.94 percent or $247 million from $917 million on Mar. 31, 2016.
Working capital increases
Teradata Corporation has recorded an increase in the working capital over the last year. It stood at $869 million as at Mar. 31, 2017, up 22.57 percent or $160 million from $709 million on Mar. 31, 2016. Current ratio was at 2.04 as on Mar. 31, 2017, up from 1.73 on Mar. 31, 2016.
Days sales outstanding went up to 94 days for the quarter compared with 92 days for the same period last year.
Debt comes down
Teradata Corporation has recorded a decline in total debt over the last one year. It stood at $561 million as on Mar. 31, 2017, down 16.27 percent or $109 million from $670 million on Mar. 31, 2016. Total debt was 22.59 percent of total assets as on Mar. 31, 2017, compared with 27.19 percent on Mar. 31, 2016. Debt to equity ratio was at 0.59 as on Mar. 31, 2017, down from 0.84 as on Mar. 31, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
