Teradata Warns Of Q3 Miss; Cuts FY13 Outlook

(RTTNews) - Teradata Corp. (TDC) warned Monday that its third quarter results would come in below analysts' current consensus estimates due to weakness in Asia, the Middle East and Africa, and parts of the Americas region. The company also cut its outlook for the full year 2013.

The Dayton, Ohio-based analytic data solutions company said it expects third quarter revenue of about $665 million, earnings of $0.58 to $0.59 per share and adjusted earnings of $0.69 to $0.70 per share.

Analysts polled by Thomson Reuters currently expect the company to earn $0.81 per share on revenue of $698.92 million for the third quarter. Analysts' estimates typically exclude special items.

For the full year 2013, Teradata now expects zero revenue growth, earnings of $2.25 to $2.35 per share and adjusted earnings of $2.70 to $2.80 per share. Previously, the company expected revenue growth of 4%, earnings of $2.64 to $2.79 per share and adjusted earnings of $3.05 to $3.20 per share. Analysts currently expect the company to earn $3.05 per share on revenue growth of 4.50%.

"Although we were disappointed with our preliminary results for the third quarter of 2013, we were pleased with our performance in Europe and in the U.S., which are our two largest markets. We remain confident in our competitive position in all the markets we serve over the long term," said Mike Koehler, Teradata's president and chief executive officer.

Teradata will release its third quarter financial results before the market opens on October 31.

Teradata also said its Board of Directors has authorized an additional $300 million to be utilized to repurchase company shares under its general open market share repurchase program. The company now has a total of about $509 million authorized for share repurchases under that program.

Teradata shares are currently losing 11.75% in after hours trading after closing the day's regular trading session at $52.58, down 37 cents.