Teradata

TDC · NYSE · Information Technology · Financials, fiscal 2016 to 2025

TDC · Last close · November 6, 2026

$31.80

Teradata's revenue fell 5.0% to $1.7 billion in fiscal 2025. Its operating margin was 12.3%, up from 11.9% a year earlier. Free cash flow was $286 million, up 2.5%. It paid out $140 million in dividends and buybacks, 49% of free cash flow. The diluted share count fell 1.6%.

TERADATA CORPORATION Latest fiscal year ended December 31, 2025 10-K filed February 27, 2026 · 0001628280-26-012671 Updated November 6, 2026

Revenue

$1.7B

5.0%

Operating margin

12.3%

0.4 pts

Net income

$130M

14.0%

Free cash flow

$286M

2.5%

Return on capital

52.7%

0.5 pts

Market cap

$3.0B

Nov 6 close

P/E

6.7x

On $4.74 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

Charts show fiscal years, from the 10-K filings.

What Teradata does

Teradata sells data and analytics software that large organizations use to store, manage and analyze their data, including as a base for artificial intelligence (AI) tools. Its platform can run in the public clouds of Amazon, Microsoft and Google, in a customer's private cloud, on the customer's own computers (on-premises), or in a mix of these. It also offers an on-premises AI package for regulated industries and for customers with rules on where data must stay.

Most of its revenue is recurring: customers pay for subscriptions and support to use the software. It also earns money from consulting services, and from a small amount of perpetual software licenses, hardware and other sales. The company says it is moving away from perpetual licenses and toward recurring revenue, and it has reduced consulting work as it relies more on partner firms.

Teradata had about 5,100 employees at the end of 2025, with most of them outside the United States. It says no single customer accounts for more than 10% of its revenue.

Its biggest risks, as it describes them

Failing to carry out its business transformation and its investments in research and development.
Customers that do not renew subscriptions or support agreements, or renew on worse terms.
Reliability, quality or security problems in its new offerings.
Cybersecurity incidents at Teradata or its outside providers.
Dependence on strategic partners, key suppliers and other third parties.

From Teradata's annual report on Form 10-K, filed February 27, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new annual report.

Income statement

Revenue and net income

US$ billions, fiscal years; net losses in red. Revenue on the left axis, net income on the right; zero is the same line on both.

Revenue (left axis)Net income (right axis)

Gross profit, R&D and operating income

US$ billions, fiscal years. Gross profit is revenue minus the cost of what was sold; research and development is one of the costs paid from it; what remains after all operating costs is operating income. Losses in red.

Gross profitResearch and developmentOperating income

Margins

Percent of revenue

GrossOperatingNetFree cash flow

From fiscal 2016 to 2025, earnings per share grew 4.0% a year and net income 0.4% a year, as buybacks cut the share count by 27%.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Balance sheet

Cash and debt

US$ billions, at each fiscal year end. Debt includes finance leases.

Cash and short-term investmentsDebt

Assets, liabilities and equity

US$ billions, at each fiscal year end. Assets equal liabilities plus equity; negative equity in red.

Total assetsTotal liabilitiesShareholders' equity

Debt and liquidity ratios

Times. Debt to equity, current assets over current liabilities, and net debt over EBITDA (a full year's).

Debt to equityCurrent ratioNet debt to EBITDA

Five years at a glance

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	592	569	486	420	493
Debt incl. finance leases	542	619	628	567	551
Net debt (negative means net cash)	−50	50	142	147	58
Net debt to EBITDA	−0.1x	0.2x	0.5x	0.5x	0.2x
Debt to equity	1.2x	2.4x	4.7x	4.3x	2.4x
Interest coverage	8.9x	4.9x	6.2x	7.2x	7.9x
Current ratio	1.1x	1.0x	0.9x	0.8x	0.9x
Quick ratio	1.1x	1.0x	0.9x	0.8x	0.9x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Cash flow

Cash from operations, capital spending and free cash flow

US$ billions, fiscal years. Free cash flow is cash from operations minus capital spending; negative years in red.

Cash from operationsCapital spendingFree cash flow

Stock-based compensation and buybacks

US$ billions, fiscal years. Shares paid to employees (stock-based compensation, a cost that uses no cash) against cash spent buying shares back. Buybacks that only match it leave the share count roughly where it was.

Stock-based compensationShare buybacks

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Projections

Project Teradata's revenue, net income and earnings per share five years ahead in a bull, a base and a bear case with your own figures, and see the share prices your P/E estimates give them, or value it with a discounted cash flow model. Every projected figure is yours: it is not a forecast of ours.

Open Teradata's projections

What Teradata says to expect

Fourth quarter 2026: GAAP diluted EPSGAAP diluted EPS is expected to be in the range of $0.26 to $0.30 per share
Fourth quarter 2026: non-GAAP diluted EPSNon-GAAP diluted EPS is expected to be in the range of $0.58 to $0.62 per share
Full year 2026: GAAP diluted EPSGAAP diluted EPS is now expected to be in the range of $4.63 to $4.67
Full year 2026: non-GAAP diluted EPSNon-GAAP diluted EPS is now expected to be in the range of $2.86 to $2.90 per share

The company's own words, from its earnings release (Form 8-K, Exhibit 99), filed November 5, 2026. They are its expectations, not ours, and not a forecast or price target from The Filing Desk. Replaced when the next release is out.

Insider trades

Over the 12 months between November 7, 2025 and November 6, 2026, no insider bought Teradata shares on the open market, and 8 insiders sold $10.1 million, $4.2 million of it under trading plans set up in advance.

Buys and sells by month

US$ millions, open-market purchases (up) and sales (down) by officers, directors and 10% owners in each month.

BoughtSold

Date	Insider	Trade	Shares	Price	Value	Filing
Sep 15, 2026	Michael D HutchinsonChief Operating Officer	Sold plan	48,077	$30.00	$1.4 million	Form 4
Sep 15, 2026	Stephen McMillanPresident and CEO, Director	Sold plan	10,000	$30.02	$300,200	Form 4
Jun 8, 2026	Timothy C K ChouDirector	Sold plan	5,657	$33.72	$190,754	Form 4
Jun 1, 2026	Richard J PetleyChief Revenue Officer	Sold plan	17,227	$35.00	$602,955	Form 4
May 22, 2026	Todd McElhattonDirector	Sold	15,000	$33.47	$502,050	Form 4
May 19, 2026	Sumeet AroraChief Product Officer	Sold plan	15,000	$33.00	$495,000	Form 4
May 12, 2026	Stephen McMillanPresident and CEO, Director	Sold	20,000	$31.71	$634,200	Form 4
May 7, 2026	Richard J PetleyChief Revenue Officer	Sold plan	34,317	$30.84	$1.1 million	Form 4
May 7, 2026	Sumeet AroraChief Product Officer	Sold plan	2,645	$30.84	$81,572	Form 4
Feb 26, 2026	Stephen McMillanPresident and CEO, Director	Sold	50,000	$30.26	$1.5 million	Form 4
Feb 24, 2026	Michael P GianoniDirector	Sold	25,000	$29.97	$749,250	Form 4
Feb 11, 2026	Lynrock Lake LP10% owner	Sold	61,990	$40.29	$2.5 million	Form 4

Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Indicators

Four widely used measures, worked out from the company's filings. The cutoffs are the ones their authors or users go by, not a verdict of ours.

Indicator	FY23	FY24	FY25
Piotroski F-score	7 of 9	6 of 9	8 of 9
Rule of 40	21.5%	11.4%	12.2%
Altman Z''	−2.85	−3.44	−2.88
Accruals ratio	−16.1%	−10.6%	−10.1%

Piotroski F-score: how many of nine simple tests of profitability, funding and efficiency the company passed in the year (Piotroski, 2000); 8 or 9 is strong, 0 to 2 weak. Rule of 40: revenue growth plus free cash flow margin; software investors treat 40% or more as the bar. Altman Z'': working capital, retained earnings, operating income and equity weighed against assets and liabilities (Altman, 1995); Altman puts above 2.6 in the safe zone and below 1.1 in the distress zone. Accruals ratio: net income minus cash from operations, over average total assets; lower means profit is backed by cash.

The nine F-score tests

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Pass	Pass	Pass
Return on assets rose	Pass	Pass	Pass
Cash from operations exceeds net income	Pass	Pass	Pass
Debt fell relative to assets	Fail	Fail	Pass
Current ratio rose	Fail	Fail	Pass
Share count didn't rise	Pass	Pass	Pass
Gross margin rose	Pass	Fail	Fail
Revenue rose relative to assets	Pass	Pass	Pass
F-score	7 of 9	6 of 9	8 of 9

Companies that report no gross profit are scored on the other eight.

Compare

Put Teradata side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Teradata	FY25	−5.0%	12.3%	17.2%	52.7%	0.2x	8
Globant	FY25	1.6%	7.0%	11.5%	5.8%	—	3	Compare
NCR Voyix	FY25	−4.7%	1.0%	−14.0%	1.3%	3.5x	3	Compare
Everforth	FY25	−2.9%	5.8%	7.2%	5.9%	2.9x	5	Compare
EPAM Systems	FY25	15.4%	9.5%	11.2%	16.3%	−2.0x	6	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score under Indicators.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	2,322	2,156	2,164	1,899	1,836	1,917	1,795	1,833	1,750	1,663
Revenue growth	−8.2%	−7.2%	0.4%	−12.2%	−3.3%	4.4%	−6.4%	2.1%	−4.5%	−5.0%
Gross profit	1,189	1,024	1,026	955	1,019	1,186	1,081	1,115	1,058	987
Research and development	212	305	317	327	334	309	313	294	284	280
Operating income	235	68	43	10	16	231	118	186	209	205
Net income	125	−67	30	−20	129	147	33	62	114	130
Diluted EPS (US$)	0.95	−0.53	0.25	−0.18	1.16	1.30	0.31	0.61	1.16	1.35
Diluted shares (millions)	132	126	121	114	112	113	106	102	98	97
Cash flow
Cash from operations	446	324	364	148	267	463	419	375	303	305
Capital expenditure	53	78	153	54	44	28	14	19	24	19
Free cash flow	393	246	211	94	223	435	405	356	279	286
Dividends paid	0	0	0	0	0	0	0	0	0	0
Share buybacks	82	351	300	300	100	244	387	308	215	140
Acquisitions	0	0	0	0	0	0	0	0	0	0
Stock-based compensation	62	68	65	83	101	112	126	126	119	112
Balance sheet at fiscal year end
Cash and short-term investments	974	1,089	715	494	529	592	569	486	420	493
Debt incl. finance leases	568	778	544	609	600	542	619	628	567	551
Total assets	2,413	2,556	2,360	2,057	2,193	2,169	2,022	1,873	1,704	1,779
Total liabilities	1,442	1,888	1,865	1,795	1,793	1,709	1,764	1,738	1,571	1,549
Shareholders' equity	971	668	495	262	400	460	258	135	133	230
Margins and ratios
Gross margin	51.2%	47.5%	47.4%	50.3%	55.5%	61.9%	60.2%	60.8%	60.5%	59.4%
Operating margin	10.1%	3.1%	2.0%	0.5%	0.9%	12.1%	6.6%	10.2%	11.9%	12.3%
Net margin	5.4%	−3.1%	1.4%	−1.1%	7.0%	7.7%	1.8%	3.4%	6.5%	7.8%
Free cash flow margin	16.9%	11.4%	9.8%	5.0%	12.2%	22.7%	22.6%	19.4%	15.9%	17.2%
Rule of 40 (growth + FCF margin)	8.7%	4.3%	10.1%	−7.3%	8.8%	27.1%	16.2%	21.5%	11.4%	12.2%
Return on capital	19.7%	7.4%	12.6%	2.2%	3.0%	40.1%	16.4%	33.7%	52.2%	52.7%
Return on equity	13.7%	−8.2%	5.2%	−5.3%	39.0%	34.2%	9.2%	31.6%	85.1%	71.6%
Return on assets	5.1%	−2.7%	1.2%	−0.9%	6.1%	6.7%	1.6%	3.2%	6.4%	7.5%
Net debt to EBITDA	−1.1x	−1.5x	−1.0x	0.7x	0.4x	−0.1x	0.2x	0.5x	0.5x	0.2x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Teradata's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Teradata.