Post on 05-Aug-2015
Investor PresentationSecond Quarter 2015
2
Note to Investors
• Certain non-GAAP financial information regarding operating results may be discussed during this presentation. Reconciliations of the differences between GAAP and non-GAAP measures are available on the Investor page at www.teradata.com/investor.
• Remarks and responses associated with this presentation include forward-looking statements that are based on current expectations and assumptions. These forward-looking statements are subject to a number of risks and uncertainties that could affect our future results and could cause actual results to differ materially from those expressed in such forward-looking statements.
• These risks and uncertainties are detailed in Teradata’s Registration Statement on Form 10 and in our SEC reports, including, but not limited to, our periodic and current reports on Forms 10-K, 10-Q, and 8K, as well as the company’s annual report to shareholders.
3
Two Streamlined DivisionsThree Large Markets
Teradata TodayAligned for Accelerating Growth
Data Warehouse
Big Data Analytics
Marketing Applications
Data & Analytics Division
Marketing Applicatio
ns Division
Shared Services:Corp. Marketing, IT, Operations
Best-in-Class Consulting & Support Services Everything Available On-Premises and/or Cloud
4
Gartner & Forrester – Teradata Leads In Analytics
The Forrester Wave™:
Enterprise Data Warehousing Platforms,
Q4 2013
Gartner Magic Quadrant for Data
Warehouse and Data Management
Solutions for AnalyticsFebruary 2015
INTEGRATED DISCOVERY PLATFORM
INTEGRATED DATA WAREHOUSE
DATA PLATFORM
UNIFIED DATA ARCHITECTURE
MarketingExecutives
OperationalSystems
FrontlineWorkers
CustomersPartners
Engineers
DataScientists
BusinessAnalysts
Math and Stats
DataMining
BusinessIntelligence
Applications
Languages
Marketing
USERSANALYTIC TOOLS &
APPS
Search TERADATA ASTER DATABASE
TERADATA DATABASE
INTEGRATEDBIG DATA PLATFORM
TERADATA PORTFOLIO FOR
HADOOP
REAL TIME PROCESSINGERP
SCM
CRM
Images
Audio and Video
Machine Logs
Text
Web and Social
SOURCES
MarketingExecutives
OperationalSystems
KnowledgeWorkers
CustomersPartners
Engineers
DataScientists
BusinessAnalysts
USERS
6
Teradata Analytical Ecosystem
1000 series
2000 series500 series
6000 series
2000 series
6000 series
7
Teradata Workload-Specific Platforms
Data Mart Appliance
Extreme Data
Appliance
Data Warehouse Appliance
Active Enterprise
Data Warehouse
Appliance for Hadoop
Aster Big Analytics Appliance
600 Series 1000 Series 2000 Series 6000 Series
Scale Up to 8TB Up to 186PB Up to 1.6PB Up to 61PB Up to 10PB Up to 5PB
Workloads
Test /Development
or Smaller Data Marts
Analytical Archive,
Deep Dive Analytics
Strategic Intelligence,
Decision Support
System, Fast Scan
Strategic & Operational Intelligence,
Real Time Update, Active
workloads
Appliance for Storing,
Capturing and Refining Data. Hortonworks
HDP 1.1
Discovery Platform for Big Data Analytics with embedded SQL MapReduce
for new data types & sources
8
Broadest, Most Flexible Hadoop Offerings in Market
Aster Big Analytics Appliance
Appliance for HadoopCommodity Offering
with DellSoftware Only
Overview Premier Premier Commodity Commodity
Value Proposition
Big data analytics in an integrated package
Enterprise-ready Hadoop with single vendor support
Pre-designed, cost-effective commodity hardware with Teradata software support
Flexible hardware options with Teradata software support
Value Add
Single best analytics & discovery platform
SQL-MapReduce & 70+ analytics
Integrated hardware/software
Software to simplify operation of Hadoop
Integrated hardware/software that is engineered, staged, & delivered complete.
Data staging & refining
Software to simplify operation of Hadoop
Hardware staged, delivered by Dell
Teradata software install & support
Teradata software install & support
SegmentBusiness Value Based IT
“Buy it”
Value Based IT
“Buy it”
Cost-Based IT
“Buy it, Build it”
Engineering IT
“Build it”
100% Open Source, Community-Driven Enterprise Apache Hadoop
9
Continuous update and time-sensitive queries become important
OPERATIONALIZINGWHAT IS happening now?
Event-based triggering takes hold
ACTIVATING MAKE it happen!
Primarily batch and some ad hoc reports
Increase in ad hoc analysis
ANALYZINGWHY did it happen?
REPORTINGWHAT happened?
Analytical modeling grows
PREDICTINGWHAT WILL happen?
Work
load
Sop
his
ticati
on
Scalability
Stage 1
Stage 2
Stage 3
Stage 4
Stage 5
Teradata’s Data Warehouse Evolution/Vision
10
Teradata’s Industry-Leading Technology
Technology Demands
• Extreme scalability
• Extreme performance
• Extreme availability
• Extreme data load and access
Scalability Across Multiple Dimensions
Data Volume(Raw, User Data)
SchemaSophistication
QueryFreedom
QueryComplexity
QueryConcurrency
MixedWorkload
Query Data Volume
DataFreshness
Teradata can scale simultaneously across multiple dimensions. Driven by business!
Competition scales one dimension at the expense
of others.Limited by technology!
Mission critical 7x24
11© 2014 Teradata
Teradata Cloud
As a Service…..
EasyScale-up
Secure&
Reliable
High Performance
WorkloadManagement
Data Warehouse Discovery
Data Management
INTEGRATED DATA
WAREHOUSEDATA
PLATFORM DISCOVERY PLATFORM
12
Teradata Integrated Marketing Cloud – Solutions
MARKETING PLANS
SPEND MANAGEMENT
WORKFLOW & COLLABORATION
ASSET MANAGEMENT
OFFER MANAGEMENT
MARKETING RESOURCE MANAGEMENT
INBOUND & OUTBOUND COMMUNICATIONS
REAL-TIME DECISIONING
DIGITAL DELIVERY
OPTIMIZATION
ACTIONABLE ANALYTICS
OMNI-CHANNEL MARKETING
EMAIL MARKETING
MOBILE MARKETING
SOCIAL MARKETING
WEB MARKETING
DIGITAL ANALYTICS
DIGITALMARKETING
MARKETING ANALYTICS
BUSINESS INTELLIGENCE BIG DATA ANALYTICS PREDICTIVE ANALYTICS
Teradata Marketing Applications
13
Revenue Mix
Approximate percentages of product and consulting services revenue by industry
Financial Services 24% 29% 28% 28% 28% 30% 31% 31%
Communications 28% 28% 23% 24% 24% 21% 19% 19%
Retail 19% 16% 17% 16% 16% 16% 14% 14%
Manufacturing 9% 11% 10% 13% 12% 12% 13% 13%
Healthcare 5% 4% 8% 6% 7% 7% 8% 6%
Travel & Transportation
6% 6% 6% 6% 5% 6% 6% 7%
Government 7% 5% 7% 7% 6% 6% 6% 7%
Other 2% 1% <1% <1% 2% 2% 3% 3%
Operating Segments
Marketing Applications8% of total revenue
40% + of Teradata’s revenue is from recurring revenue sources.
Data & Analytics
92% of total revenue
Products (SW / HW) $1,227M 45%
Consulting Services 817M 30%
Maintenance Services 688M 25%
Total Revenue $2,732M
Revenue by Type 2014 % of Total
Industry Vertical 2007 2008 2009 2010 2011 2012 2013 2014
14
Strong Balance Sheet & Cash Flow
Cash and Cash Equivalents $270 $402 $661 $883 $772 $729 $695 $834 $881
Working Capital $301 $475 $609 $837 $717 $728 $787 $577 $741
Total Assets $1,294 $1,430 $1,569 $1,883 $2,616 $3,066 $3,096 $3,132 $3,103
Debt 0 0 0 0 $301 $289 $274 $468 $600
Total Deferred Revenue $246 $283 $280 $290 $363 $405 $415 $388 $508
Total Shareholders’ Equity $631 $777 $910 $1,189 $1,494 $1,779 $1,857 $1,707 $1,444
Net Income $200 $250 $254 $301 $353 $419 $377 $367
Cash from Operations $387 $440 $455 $413 $513 $575 $510 $680
Free Cash Flow $292 $369 $367 $330 $403 $427 $372 $551
Balance Sheet 2007 2008 2009 2010 2011 2012 2013 2014 3/31/2015 ($ in millions)
Cash Flow 2007 2008 2009 2010 2011 2012 2013 2014 ($ in millions)