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Investor Presentation
First Quarter 2016
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.
INTEGRATED DISCOVERY PLATFORM
INTEGRATED DATA WAREHOUSE
DATA
PLATFORM
UNIFIED DATA ARCHITECTURE
Marketing
Executives
Operational
Systems
Frontline
Workers
Customers
Partners
Engineers
Data
Scientists
Business
Analysts
Math
and Stats
Data
Mining
Business
Intelligence
Applications
Languages
Marketing
USERS
ANALYTIC TOOLS &
APPS
Search
TERADATA ASTER DATABASE
TERADATA DATABASE
INTEGRATED
BIG DATA PLATFORM
TERADATA
PORTFOLIO FOR
HADOOP
REAL TIME PROCESSINGERP
SCM
CRM
Images
Audio
and Video
Machine
Logs
Text
Web and
Social
SOURCES
Marketing
Executives
Operational
Systems
Knowledge
Workers
Customers
Partners
Engineers
Data
Scientists
Business
Analysts
USERS
4
Teradata Analytical Ecosystem
1000 series
2000 series
600 series
6000 series
2000 series
6000 series
5
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 20TB 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
6
Broadest, Most Flexible Hadoop Offerings in Market
Aster Big Analytics
Appliance
Appliance for Hadoop
Commodity Offering
with Dell
Software 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
Segment
Business 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
7
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)
Schema
Sophistication
Query
Freedom
Query
Complexity
Query
Concurrency
Mixed
Workload
Query Data Volume
Data
Freshness
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
8
Hybrid Cloud: Same Software, Many Options
Performance
Flexibility
Teradata Workload-
Specific Platform Family
Teradata
Cloud
Teradata
Database on …
On-Premises Managed Cloud Public Cloud
9
36% 37%
41% 43%
47%
2011 2012 2013 2014 2015
Revenue Mix
Approximate percentages of product and consulting services revenue by industry
Industry Vertical 2007 2008 2009 2010 2011 2012 2013 2014 2015
Financial Services 24% 29% 28% 28% 28% 30% 31% 31% 30%
Communications 28% 28% 23% 24% 24% 21% 19% 19% 19%
Retail 19% 16% 17% 16% 16% 16% 14% 14% 14%
Manufacturing 9% 11% 10% 13% 12% 12% 13% 13% 14%
Healthcare 5% 4% 8% 6% 7% 7% 8% 6% 10%
Travel &
Transportation
6% 6% 6% 6% 5% 6% 6% 7% 5%
Government 7% 5% 7% 7% 6% 6% 6% 7% 5%
Other 2% 1% <1% <1% 2% 2% 3% 3% 3%
Revenue by Type
($ in millions)
2015
%
of Total
Products (SW / HW) $1,057 42%
Consulting Services 780 31%
Maintenance Services 693 27%
Total Revenue $2,530
Recurring Revenue
(as a % of total revenue)
10
Balance Sheet / Cash Flow / Share Repurchase Activity
Balance Sheet
($ in millions)
2007 2008 2009 2010 2011 2012 2013 2014 2015
Cash and Cash
Equivalents $270 $402 $661 $883 $772 $729 $695 $834 $839
Working Capital $301 $475 $609 $837 $717 $728 $787 $577 $887
Total Assets $1,294 $1,430 $1,569 $1,883 $2,616 $3,066 $3,096 $3,132 $2,632
Debt 0 0 0 0 $301 $289 $274 $468 $780
Total Deferred Revenue $246 $283 $280 $290 $363 $405 $415 $388 $382
Total Shareholders’ Equity $631 $777 $910 $1,189 $1,494 $1,779 $1,857 $1,707 $939
Cash Flow*
($ in millions)
2007 2008 2009 2010 2011 2012 2013 2014 2015
Net Income $232 $269 $271 $317 $399 $489 $459 $452 $292
Cash from Operations $387 $440 $455 $413 $513 $575 $510 $680 $401
Free Cash Flow $292 $369 $367 $330 $403 $427 $372 $551 $281
Share Repurchases
($ in millions)
2007 2008 2009 2010 2011 2012 2013 2014 2015
- $176 $175 $87 $127 $281 $378 $560 $647
*Non-GAAP

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Q1 2016 investor presentation 2 5 2016 web copy

  • 2. 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. INTEGRATED DISCOVERY PLATFORM INTEGRATED DATA WAREHOUSE DATA PLATFORM UNIFIED DATA ARCHITECTURE Marketing Executives Operational Systems Frontline Workers Customers Partners Engineers Data Scientists Business Analysts Math and Stats Data Mining Business Intelligence Applications Languages Marketing USERS ANALYTIC TOOLS & APPS Search TERADATA ASTER DATABASE TERADATA DATABASE INTEGRATED BIG DATA PLATFORM TERADATA PORTFOLIO FOR HADOOP REAL TIME PROCESSINGERP SCM CRM Images Audio and Video Machine Logs Text Web and Social SOURCES Marketing Executives Operational Systems Knowledge Workers Customers Partners Engineers Data Scientists Business Analysts USERS
  • 4. 4 Teradata Analytical Ecosystem 1000 series 2000 series 600 series 6000 series 2000 series 6000 series
  • 5. 5 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 20TB 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
  • 6. 6 Broadest, Most Flexible Hadoop Offerings in Market Aster Big Analytics Appliance Appliance for Hadoop Commodity Offering with Dell Software 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 Segment Business 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
  • 7. 7 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) Schema Sophistication Query Freedom Query Complexity Query Concurrency Mixed Workload Query Data Volume Data Freshness 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
  • 8. 8 Hybrid Cloud: Same Software, Many Options Performance Flexibility Teradata Workload- Specific Platform Family Teradata Cloud Teradata Database on … On-Premises Managed Cloud Public Cloud
  • 9. 9 36% 37% 41% 43% 47% 2011 2012 2013 2014 2015 Revenue Mix Approximate percentages of product and consulting services revenue by industry Industry Vertical 2007 2008 2009 2010 2011 2012 2013 2014 2015 Financial Services 24% 29% 28% 28% 28% 30% 31% 31% 30% Communications 28% 28% 23% 24% 24% 21% 19% 19% 19% Retail 19% 16% 17% 16% 16% 16% 14% 14% 14% Manufacturing 9% 11% 10% 13% 12% 12% 13% 13% 14% Healthcare 5% 4% 8% 6% 7% 7% 8% 6% 10% Travel & Transportation 6% 6% 6% 6% 5% 6% 6% 7% 5% Government 7% 5% 7% 7% 6% 6% 6% 7% 5% Other 2% 1% <1% <1% 2% 2% 3% 3% 3% Revenue by Type ($ in millions) 2015 % of Total Products (SW / HW) $1,057 42% Consulting Services 780 31% Maintenance Services 693 27% Total Revenue $2,530 Recurring Revenue (as a % of total revenue)
  • 10. 10 Balance Sheet / Cash Flow / Share Repurchase Activity Balance Sheet ($ in millions) 2007 2008 2009 2010 2011 2012 2013 2014 2015 Cash and Cash Equivalents $270 $402 $661 $883 $772 $729 $695 $834 $839 Working Capital $301 $475 $609 $837 $717 $728 $787 $577 $887 Total Assets $1,294 $1,430 $1,569 $1,883 $2,616 $3,066 $3,096 $3,132 $2,632 Debt 0 0 0 0 $301 $289 $274 $468 $780 Total Deferred Revenue $246 $283 $280 $290 $363 $405 $415 $388 $382 Total Shareholders’ Equity $631 $777 $910 $1,189 $1,494 $1,779 $1,857 $1,707 $939 Cash Flow* ($ in millions) 2007 2008 2009 2010 2011 2012 2013 2014 2015 Net Income $232 $269 $271 $317 $399 $489 $459 $452 $292 Cash from Operations $387 $440 $455 $413 $513 $575 $510 $680 $401 Free Cash Flow $292 $369 $367 $330 $403 $427 $372 $551 $281 Share Repurchases ($ in millions) 2007 2008 2009 2010 2011 2012 2013 2014 2015 - $176 $175 $87 $127 $281 $378 $560 $647 *Non-GAAP