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Compared to Estimates, Teradata (TDC) Q3 Earnings: A Look at Key Metrics

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For the quarter ended September 2026, Teradata (TDC - Free Report) reported revenue of $399 million, down 4.1% over the same period last year. EPS came in at $0.70, compared to $0.72 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $395.1 million, representing a surprise of +0.99%. The company delivered an EPS surprise of +20.69%, with the consensus EPS estimate being $0.58.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Teradata performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
  • Annual recurring revenue (ARR) - Total: $1.51 billion versus $1.52 billion estimated by two analysts on average.
  • Annual recurring revenue (ARR) - Public Cloud: $700 million versus the two-analyst average estimate of $714.94 million.
  • Revenue- Recurring: $359 million versus $356.56 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -1.9% change.
  • Revenue- Consulting services: $37 million compared to the $34.54 million average estimate based on two analysts. The reported number represents a change of -21.3% year over year.
  • Gross profit- Recurring: $239 million versus the two-analyst average estimate of $233.34 million.

View all Key Company Metrics for Teradata here>>>

Shares of Teradata have returned +18.7% over the past month versus the Zacks S&P 500 composite's -0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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