Teradata Announces 2011 Fourth Quarter and Full-Year Results
ATLANTA, Feb. 9, 2012 /PRNewswire-FirstCall/ -- Teradata Corporation (NYSE: TDC) today reported revenue of $673 million for the quarter ended December 31, 2011, an increase of 23 percent from $548 million in 2010. For the full-year 2011, revenue was $2.362 billion, a 22 percent increase from $1.936 billion in 2010. The fourth-quarter revenue comparison was not impacted by currency translation, while the full-year comparison was benefited by 3 percentage points.(1)
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Stock-based compensation expense and a number of special items (primarily acquisition-related) had a net impact of $46 million on Teradata's 2011 net income as reported under U.S. Generally Accepted Accounting Principles (GAAP).
Gross margin in the fourth quarter of 55.6 percent was roughly the same as the 55.7 percent reported in the fourth quarter of 2010. On a non-GAAP basis, excluding the special items and stock-based compensation expense described in footnote #2 below,(2) fourth-quarter gross margin was 56.5 percent, an improvement from 55.8 percent in the fourth quarter of 2010. The increase in non-GAAP gross margin resulted from a favorable deal mix and leverage from increased product revenue, as well as improved consulting margins as compared to the prior-year period. Gross margin for full year 2011 was 54.7 percent, versus 56.2 percent in 2010. On a non-GAAP basis, excluding the special items described below, 2011 full-year non-GAAP gross margin was 55.9 percent, versus 56.4 percent for the full-year 2010. The decline in non-GAAP gross margin for the full year resulted from a higher mix of consulting revenue.
Teradata reported fourth-quarter net income under GAAP of $98 million, or $0.57 per diluted share, which compared to GAAP net income of $85 million, or $0.50 per diluted share, in the fourth quarter of 2010. For the full year 2011, Teradata reported GAAP net income of $353 million, or $2.05 per diluted share, which compared to GAAP net income of $301 million or $1.77 per diluted share, for the full year 2010. Excluding stock compensation expense and the special items described below, non-GAAP net income in the fourth quarter of 2011 was $113 million, or $0.66 per diluted share, versus $90 million, or $0.53 per diluted share in the fourth quarter of 2010.(2) Full-year non-GAAP net income was $399 million, or $2.32 per diluted share in 2011, compared to $317 million, or $1.86 per diluted share in 2010.(2)
"Teradata finished the year strong, resulting in our best quarter and best year ever. Both the fourth quarter and full-year 2011 were records for the company on a number of metrics including revenue growth rate, non-GAAP product gross margin and operating margin rates which resulted in 25 percent growth in non-GAAP earnings per share for both the quarter and the year. We also added the highest number of new customers for both a quarter and a year," said Mike Koehler, president and chief executive officer, Teradata Corporation.
"Many corporations have established analytics as a top priority over the past several years. However, faced with today's accelerating data volumes and new types of data, more corporations are coming to the realization that big data and analytics are much more challenging, and also an opportunity to gain competitive advantage from insights from new data sources such as mobile, sensors, and social networks. Teradata works closely with our customers to provide the optimal data strategy, architecture and technology necessary to manage these challenges, and cost effectively create new insights from all their data to win in the marketplace."
Regional Operating Segment Results
Teradata reports its results in three regional operating segments.
Americas
Teradata generated $415 million of revenue in its Americas region in the fourth quarter of 2011, up 22 percent from $341 million in the fourth quarter of 2010. For the full year, revenue in the Americas region increased 23 percent to $1.436 billion in 2011, up from $1.166 billion in 2010. Currency translation had no impact on the quarterly or annual revenue comparisons for the Americas region.(1)
Europe, Middle East and Africa (EMEA)
Revenue in Teradata's EMEA region in the fourth quarter of 2011 was $145 million, up 22 percent from $119 million generated in the fourth quarter of 2010. For the full year 2011, revenue in the EMEA region increased 24 percent to $548 million. Currency translation did not impact the revenue comparison in EMEA for the quarter, but did benefit the annual comparison in EMEA by 6 percentage points.(1)
Asia Pacific / Japan (APJ)
Teradata generated $113 million of revenue in its APJ region in the fourth quarter of 2011, a 28 percent increase from $88 million in the fourth quarter of 2010. For the full year 2011, revenue in the APJ region grew 15 percent to $378 million. Currency translation benefited the reported revenue growth in the APJ region by 2 percentage points in the fourth quarter and 7 percentage points for the year. (1)
Operating Income
Fourth-quarter operating income of $133 million increased from $117 million reported in the fourth quarter of 2010. On a non-GAAP basis, fourth quarter operating income of $155 million increased 24 percent from the fourth quarter of 2010.(2)
Full-year operating income was $456 million in 2011, versus $415 million in 2010. On a non-GAAP basis, full-year operating income was $557 million, a 26 percent increase from $441 million in 2010.(2) For both the quarter and full year, higher revenue more than offset the increased investment in selling expense and research and development expense.
Cash Flow
During the fourth quarter of 2011, Teradata generated $126 million of cash from operating activities, compared to $148 million in the prior-year period. Capital expenditures in the fourth quarter totaled $23 million compared to $21 million in the fourth quarter of 2010. Teradata generated $103 million of free cash flow (cash from operations less capital expenditures and additions to capitalized software) (3) in the fourth quarter of 2011, versus $127 million in the same period in 2010.
For the full year, cash from operating activities was $513 million, versus $413 million generated in 2010. Capital expenditures in 2011 totaled $110 million compared to $83 million in 2010. Teradata's free cash flow for the full year was $403 million, a 22 percent increase from $330 million generated in 2010.(3)
For the Periods Ended December 31
(in millions)
Three Months Twelve Months
------------ -------------
2011 2010 2011 2010
---- ---- ---- ----
Net Income (GAAP) $98 $85 $353 $301
--- --- ---- ----
Cash provided by
operating activities
(GAAP) $126 $148 $513 $413
Less capital expenditures
for:
-------------------------
Expenditures for property
and equipment (11) (9) (42) (34)
Additions to capitalized
software (12) (12) (68) (49)
--- --- --- ---
Total capital
expenditures (23) (21) (110) (83)
Free Cash Flow (non-
GAAP measure) (3) $103 $127 $403 $330
==== ==== ==== ====
Balance Sheet
Teradata ended 2011 with $772 million in cash, an $81 million increase from September 30, 2011, and a $111 million decrease from December 31, 2010. During 2011, the company repurchased approximately 2.5 million shares for $127 million.
As of December 31, 2011, Teradata had total debt of $300 million outstanding under a 5-year term loan. Additionally, Teradata has $300 million available through a pre-arranged credit facility; however no funds were drawn from the credit facility.
Share Repurchase Authorization
Teradata's Board of Directors has approved a new authorization to repurchase a total of $300 million of the company's shares under its general open market share repurchase program. The program, which was initially established in February 2008 and was set to expire on February 10, 2012, has been extended for an additional three-year period now expiring in February 2015. As of January 31, 2012, the Company had purchased a total of 18.2 million shares of its common stock investing approximately $475 million of the $550 million that was previously authorized under this program.
2012 Outlook
In 2012, Teradata expects revenue to increase approximately 10 to 12 percent from the revenue it generated in 2011. Teradata anticipates that currency translation will negatively impact the year-over-year revenue comparison by approximately 1 percentage point, based on currency rates on January 31, 2012.
GAAP earnings per share in 2012 is expected to be in the $2.27 to $2.37 range. Excluding special items associated with 2011 acquisitions (which include the amortization of acquisition-related intangible assets, estimated purchase accounting adjustments, and transaction and integration costs) as well as stock-based compensation expense, non-GAAP EPS for 2012 is expected to be in the $2.56 to $2.66 range.(2)
2011 Fourth-Quarter Earnings Conference Call
A conference call is scheduled today at 8:30 a.m. (EST) to discuss the company's fourth-quarter and full-year 2011 results. Access to the conference call, as well as a replay of the call, is available on Teradata's web site at www.teradata.com/investor.
Supplemental financial information regarding Teradata's operating results is also available on the Investor Relations page of Teradata's web site.
About Teradata
Teradata Corporation (NYSE: TDC) is the world's leading analytic data solutions company focused on integrated data warehousing, big data analytics, and business applications. Teradata's innovative products and services deliver data integration and business insight to empower organizations to achieve competitive advantage. Visit teradata.com for details.
Teradata is a trademark or registered trademark of Teradata Corporation in the United States and other countries.
1. The impact of currency is determined by calculating the prior-period results using the current-year monthly average currency rates. See the foreign currency schedule on the Investor Relations page of the company's web site www.teradata.com/investor.
For the Periods Ended December 31
(in millions)
Three Months Twelve Months
------------ -------------
% Chg % % Chg %
As Chg As Chg
Revenue 2011 2010 Rept'd CC 2011 2010 Rept'd CC
---- ---- ------ ---- ---- ---- ------ ----
Products
(software/
hardware) $331 $267 24% 24% $1,122 $933 20% 18%
Consulting
services 197 156 26% 25% 695 536 30% 25%
Maintenance
services 145 125 16% 16% 545 467 17% 14%
--- --- --- ---
Total services 342 281 22% 21% 1,240 1,003 24% 20%
--- --- ----- -----
Total revenue $673 $548 23% 23% $2,362 $1,936 22% 19%
==== ==== ====== ======
% Chg % % Chg %
As Chg As Chg
By segment/region 2011 2010 Rept'd CC 2011 2010 Rept'd CC
---- ---- ------ ---- ---- ---- ------ ----
Americas region $415 $341 22% 22% $1,436 $1,166 23% 23%
EMEA region 145 119 22% 22% 548 442 24% 18%
APJ region 113 88 28% 26% 378 328 15% 8%
--- --- --- ---
Total revenue $673 $548 23% 23% $2,362 $1,936 22% 19%
==== ==== ====== ======
2. Teradata reports its results in accordance with Generally Accepted Accounting Principles in the United States, or GAAP. However, as described below, the company believes that certain non-GAAP measures (such as non-GAAP gross margin, non-GAAP operating income, non-GAAP net income, and non-GAAP EPS, which exclude certain items as well as free cash flow) are useful for investors. Our non-GAAP measures are not meant to be considered in isolation or as substitutes for or superior to results determined in accordance with GAAP, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP.
In 2011, a number of special items were included in Teradata's results reported under GAAP. For the fourth quarter of 2011, Teradata's non-GAAP results as reported in this release included $6 million of amortization of acquisition-related intangible assets; $4 million of transaction, integration and reorganization costs; $2 million of acquisition-related purchase accounting adjustments; and $10 million of stock-based compensation expense. For the full-year results for 2011, Teradata's non-GAAP results as reported in this release included $24 million of amortization of acquisition-related intangible assets; $25 million of transaction, integration and reorganization costs; $17 million of acquisition-related purchase accounting adjustments; $28 million of gains on equity investments; and $35 million of stock-based compensation expense. Included in Teradata's 2010 results was $8 million of stock-based compensation expense in the fourth quarter and $26 million for the full-year.
The following tables reconcile Teradata's actual and projected results and earnings per diluted share, or EPS, under GAAP to the company's actual and projected non-GAAP results and EPS for the periods presented, which exclude certain items. Our management regularly uses supplemental non-GAAP financial measures, such as gross margin, operating income, net income and EPS, excluding certain items internally, to understand, manage and evaluate our business and support operating decisions. The company believes such non-GAAP financial measures (1) provide useful information to investors regarding the underlying business trends and performance of the company's ongoing operations, (2) are useful for period-over-period comparisons of such operations and results, that may be more easily compared to peer companies and allow investors a view to the company's operating results during the integration period of the acquisitions of Aprimo and Aster Data, (3) provide useful information to management and investors regarding present and future business trends, and (4) provide consistency and comparability with past reports and projections of future results.
(a) Gross Margin Reconciliation of GAAP to Non-
GAAP Measures
For the Periods Ended December 31
Three Months Twelve Months
------------ -------------
(Shown
in
$M) % chg % chg
2011 2010 2011 2010
---- ---- ---- ----
Gross
Margin
(GAAP) $374 $305 23% $1,293 $1,088 19%
%
of
Revenue
(GAAP) 55.6% 55.7% 54.7% 56.2%
Excluding:
Stock-
based
compensation
expense 1 1 4 3
Purchase
accounting
adjustments 2 17
Amortization
of
acquisition-
related 3 14
intangible
assets
Transaction,
integration
and
reorganization 2 4
related
costs --- ---
Adjusted
Gross
Margin
(non-
GAAP) $382 $306 25% $1,332 $1,091 22%
==== ==== ====== ======
%
of
Revenue
(non-
GAAP) 56.5% 55.8% 55.9% 56.4%
(b) Operating Income Reconciliation of GAAP
to Non-GAAP Measures
For the Periods Ended December 31
Three Months Twelve Months
------------ -------------
(Shown
in
$M) % chg % chg
2011 2010 2011 2010
---- ---- ---- ----
Operating
Income
(GAAP) $133 $117 14% $456 $415 10%
%
of
Revenue
(GAAP) 19.8% 21.4% 19.3% 21.4%
Excluding:
Stock-
based
compensation
expense 10 8 35 26
Purchase
accounting
adjustments 2 17
Amortization
of
acquisition-
related 6 24
intangible
assets
Transaction,
integration
and
reorganization 4 25
related
costs --- ---
Adjusted
Operating
Income
(non-
GAAP) $155 $125 24% $557 $441 26%
==== ==== ==== ====
%
of
Revenue
(non-
GAAP) 22.9% 22.8% 23.4% 22.8%
(c) Net Income Reconciliation of GAAP to Non-
GAAP Measures
For the Periods Ended December 31
Three Months Twelve Months
------------ -------------
(Shown
in
$M) % chg % chg
2011 2010 2011 2010
---- ---- ---- ----
Net
Income
(GAAP) $98 $85 15% $353 $301 17%
%
of
Revenue
(GAAP) 14.6% 15.5% 14.9% 15.5%
Excluding:
Gain
from
equity
investments (22)
Stock-
based
compensation
expense 6 5 22 16
Purchase
accounting
adjustments 1 11
Amortization
of
acquisition-
related 3 15
intangible
assets
Transaction,
integration
and
reorganization 5 20
related
costs --- ---
Adjusted
Net
Income
(non-
GAAP) $113 $90 26% $399 $317 26%
==== === ==== ====
%
of
Revenue
(non-
GAAP) 16.7% 16.4% 16.7% 16.4%
(d) Earnings Per Share Reconciliation of GAAP to
Non-GAAP Measures
For the Periods Ended December
31
Three Months Twelve Months 2012 FY
------------ -------------
2011 2010 2011 2010 Guidance
---- ---- ---- ---- --------
Diluted
Earnings
Per
Share
(GAAP) $0.57 $0.50 $2.05 $1.77 $2.27 -$2.37
Excluding:
Gain
from
equity
investments (0.13)
Stock-
based
compensation
expense 0.04 0.03 0.13 0.09 0.15
Purchase
accounting
adjustments 0.06 0.01
Amortization
of
acquisition-
related 0.02 0.09 0.10
intangible
assets
Transaction,
integration
and
reorganization 0.03 0.12 0.03
related
costs ---- ---- ----
Adjusted
Diluted
Earnings
Per
Share
(non-
GAAP) $0.66 $0.53 $2.32 $1.86 $2.56 - $2.66
===== ===== ===== ===== =============
3. As described above, the company believes that free cash flow is a useful non-GAAP measure for investors. Teradata defines free cash flow as cash provided/used by operating activities less capital expenditures for property and equipment, and additions to capitalized software. Free cash flow does not have a uniform definition under GAAP and therefore, Teradata's definition may differ from other companies' definitions of this measure. Teradata's management uses free cash flow to assess the financial performance of the company and believes it is useful for investors because it relates the operating cash flow of the company to the capital that is spent to continue and improve business operations. In particular, free cash flow indicates the amount of cash generated after capital expenditures for, among other things, investment in the company's existing businesses, strategic acquisitions, strengthening the company's balance sheet, repurchase of company stock and repayment of the company's debt obligations, if any. Free cash flow does not represent the residual cash flow available for discretionary expenditures since there may be other nondiscretionary expenditures that are not deducted from the measure. This non-GAAP measure is not meant to be considered in isolation or as a substitute for or superior to results determined in accordance with GAAP, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP.
Note to Investors
This news release contains forward-looking statements, including statements as to anticipated or expected results, beliefs, opinions and future financial performance, within the meaning of Section 21E of the Securities and Exchange Act of 1934. Forward-looking statements include projections of revenue, profit growth and other financial items, future economic performance and statements concerning analysts' earnings estimates, among other things. These forward-looking statements are based on current expectations and assumptions and involve risks and uncertainties that could cause Teradata's actual results to differ materially. In addition to the factors discussed in this release, other risks and uncertainties could affect our future results, and could cause actual results to differ materially from those expressed in such forward-looking statements. Such factors include those relating to: the global economic environment in general or on the ability of our suppliers to meet their commitments to us, or the timing of purchases by our current and potential customers, and other general economic and business conditions; the rapidly changing and intensely competitive nature of the information technology industry and the enterprise data warehousing business, including the increased pressure on price/performance for data warehousing solutions; fluctuations in our operating results, unanticipated delays or accelerations in our sales cycles and the difficulty of accurately estimating revenues; risks inherent in operating in foreign countries, including the impact of economic, political, legal, regulatory, compliance, cultural, foreign currency fluctuations and other conditions abroad; the timely and successful development, production or acquisition and market acceptance of new and existing products and services, including our ability to accelerate market acceptance of new products and services as well as the reliability, quality and operability of new products because of the difficulty and complexity associated with their testing and production; tax rates; turnover of workforce and the ability to attract and retain skilled employees; availability and successful exploitation of new acquisition and alliance opportunities; our ability to execute integration plans for newly acquired entities, including the possibility that expected synergies and operating efficiencies may not be achieved, that such integration efforts may be more difficult, time-consuming or costly than expected, and that operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers, clients or suppliers) may be greater than expected following the transaction; recurring revenue may decline or fail to be renewed; changes in Generally Accepted Accounting Principles (GAAP) and the resulting impact, if any, on the company's accounting policies; continued efforts to establish and maintain best-in-class internal information technology and control systems; and other factors described from time to time in the company's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 10-K and subsequent quarterly reports on Forms 10-Q, as well as the company's annual reports to stockholders. The company does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Schedule A
TERADATA CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(in millions, except per share amounts)
For the Period Ended December 31
--------------------------------
Three Months Twelve Months
------------ -------------
2011 2010 % Chg 2011 2010 % Chg
---- ---- ----- ---- ---- -----
Revenue
Products $331 $267 24% $1,122 $933 20%
Services 342 281 22% 1,240 1,003 24%
--- --- ----- -----
Total revenue 673 548 23% 2,362 1,936 22%
Product gross
margin 221 176 741 627
% of Revenue 66.8% 65.9% 66.0% 67.2%
Services gross
margin 153 129 552 461
% of Revenue 44.7% 45.9% 44.5% 46.0%
---- ---- ---- ----
Total gross margin 374 305 1,293 1,088
% of Revenue 55.6% 55.7% 54.7% 56.2%
Selling, general
and administrative
expenses 185 149 663 526
Research and
development
expenses 56 39 174 147
--- --- --- ---
Income from
operations 133 117 456 415
% of Revenue 19.8% 21.4% 19.3% 21.4%
Other (expense)
income, net - (1) 25 (1)
Income before
income taxes 133 116 481 414
% of Revenue 19.8% 21.2% 20.4% 21.4%
Income tax expense 35 31 128 113
--- --- --- ---
% Tax rate 26% 27% 27% 27%
Net income $98 $85 $353 $301
=== === ==== ====
% of Revenue 14.6% 15.5% 14.9% 15.5%
Net income per common
share
Basic $0.59 $0.51 $2.10 $1.80
Diluted $0.57 $0.50 $2.05 $1.77
Weighted average common
shares outstanding
Basic 167.4 167.7 168.1 167.4
Diluted 171.3 171.0 171.9 170.4
Schedule B
TERADATA CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in millions)
December September December
31, 30, 31,
2011 2011 2010
---- ---- ----
Assets
------
Current assets
Cash and cash equivalents $772 $691 $883
Accounts receivable, net 494 441 402
Inventories 61 64 65
Other current assets 85 65 56
--- --- ---
Total current assets 1,412 1,261 1,406
Property and equipment, net 120 119 105
Capitalized software, net 140 140 116
Goodwill 742 736 136
Acquired intangible assets 163 171 12
Deferred income taxes 28 48 59
Other assets 11 11 49
--- --- ---
Total assets $2,616 $2,486 $1,883
====== ====== ======
Liabilities and stockholders' equity
------------------------------------
Current liabilities
Accounts payable $97 $96 $102
Payroll and benefits
liabilities 169 140 134
Deferred revenue 339 353 263
Other current liabilities 90 82 70
--- --- ---
Total current liabilities 695 671 569
Long-term debt 290 293 -
Pension and other
postemployment plan
liabilities 77 83 85
Other liabilities 60 38 40
--- --- ---
Total liabilities 1,122 1,085 694
----- ----- ---
Stockholders' equity
Preferred stock - - -
Common stock 2 2 2
Paid-in capital 765 744 690
Treasury Stock (526) (494) (399)
Retained earnings 1,237 1,139 884
Accumulated other
comprehensive income 16 10 12
--- --- ---
Total stockholders' equity 1,494 1,401 1,189
----- ----- -----
Total liabilities and
stockholders' equity $2,616 $2,486 $1,883
====== ====== ======
Schedule C
TERADATA CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in millions)
For the Period Ended December
31
------------------------------
Three
Months Twelve Months
------ -------------
2011 2010 2011 2010
---- ---- ---- ----
Operating activities
Net income $98 $85 $353 $301
Adjustments to reconcile
net income to net cash
provided
by operating activities:
Depreciation and
amortization 28 17 102 60
Stock-based
compensation expense 10 8 35 26
Excess tax benefit
from stock-based
compensation (4) (7) (14) (10)
Deferred income taxes 40 25 71 41
Gain on investments - - (28) -
Changes in assets and
liabilities:
Receivables (53) 9 (65) (15)
Inventories 3 - 3 (18)
Current payables and
accrued expenses 28 16 28 9
Deferred revenue (12) (1) 45 10
Other assets and
liabilities (12) (4) (17) 9
--- --- --- ---
Net cash provided by
operating activities 126 148 513 413
Investing activities
Expenditures for
property and
equipment (11) (9) (42) (34)
Additions to
capitalized software (12) (12) (68) (49)
Business acquisitions
and other investing
activities, net - (1) (722) (62)
--- --- ---- ---
Net cash used in
investing activities (23) (22) (832) (145)
Financing activities
Repurchases of common
stock (32) - (127) (88)
Proceeds from long-
term borrowings - - 600 -
Repayments of long-
term borrowings - - (300) -
Excess tax benefit
from stock-based
compensation 4 7 14 10
Other financing
activities, net 6 10 25 31
--- --- --- ---
Net cash (used in)
provided by financing
activities (22) 17 212 (47)
Effect of exchange
rate changes on cash
and cash equivalents - (1) (4) 1
--- --- --- ---
Increase (decrease) in
cash and cash
equivalents 81 142 (111) 222
Cash and cash
equivalents at
beginning of period 691 741 883 661
--- --- --- ---
Cash and cash
equivalents at end of
period $772 $883 $772 $883
==== ==== ==== ====
Schedule D
TERADATA CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in millions)
For the Period Ended December 31
--------------------------------
Three Months Twelve Months
------------ -------------
%
% Change Change % Change % Change
As Constant As Constant
2011 2010 Reported Currency 2011 2010 Reported Currency
---- ---- --------- --------- ---- ---- --------- ---------
Segment Revenue
Americas $415 $341 22% 22% $1,436 $1,166 23% 23%
EMEA 145 119 22% 22% 548 442 24% 18%
APJ 113 88 28% 26% 378 328 15% 8%
--- --- --- ---
Total revenue 673 548 23% 23% 2,362 1,936 22% 19%
Segment gross margin
Americas 245 205 837 702
% of Revenue 59.0% 60.1% 58.3% 60.2%
EMEA 73 62 281 232
% of Revenue 50.3% 52.1% 51.3% 52.5%
APJ 56 38 175 154
% of Revenue 49.6% 43.2% 46.3% 47.0%
Total gross
margin 374 305 1,293 1,088
% of Revenue 55.6% 55.7% 54.7% 56.2%
Selling,
general and
administrative
expenses 185 149 663 526
Research and
development
expenses 56 39 174 147
--- --- --- ---
Income from
operations $133 $117 $456 $415
==== ==== ==== ====
% of Revenue 19.8% 21.4% 19.3% 21.4%
SOURCE Teradata Corporation