Teradata - IIS Windows...
Transcript of Teradata - IIS Windows...
TeradataThe Leader in Enterprise Data Warehousing
March 2009
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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.
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Operational Systems Help Run the Business
Analytic Systems Drive Business Decisions
Operational/Transactional Systems
Transactional Databases
Oracle, SAP
Oracle, IBM, Microsoft
Servers, Storage...
Operational/Transactional Systems
Transactional Databases
Oracle, SAP
Oracle, IBM, Microsoft
Servers, Storage...
Business Intelligence/Analytical Applications
Oracle, SAP, SAS, Business Objects, Cognos, Microsoft, TeradataTeradata
Servers, Storage...
Data Warehouse DatabasesOracle, IBM, Microsoft TeradataTeradata
Business Intelligence/Analytical Applications
Oracle, SAP, SAS, Business Objects, Cognos, Microsoft, TeradataTeradata
Servers, Storage...
Data Warehouse DatabasesOracle, IBM, Microsoft TeradataTeradata
Enterprise Application Integration
Informatica, IBM, Oracle
IBM, BEA, TIBCO, Oracle, SAP
Data Acquisition & Integration
Enterprise Application Integration
Informatica, IBM, Oracle
IBM, BEA, TIBCO, Oracle, SAP
Data Acquisition & Integration
Information Technology Landscape
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The Problem
Accts. Payable
Accts. Receivable
Invoicing
Sales/Orders
Finance G/L
Customer Support
HR
Payroll
Purchasing
Order Fulfillment
Manufacturing
Inventory …
Marketing
Supply Chain
Finance
Risk Management
Maintenance
Sales
Operations
Inventory
Call Center …
Proliferation of Data Marts has resulted in fragmented data, higher costs, poor decisions
OPERATIONAL SYSTEMS DECISION MAKERS
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The Teradata Solution
Accts. Payable
Accts. Receivable
Invoicing
Sales/Orders
Finance G/L
Customer Support
HR
Payroll
Purchasing
Order Fulfillment
Manufacturing
Inventory …
Enterprise Enterprise Data Data
WarehouseWarehouse(EDW)(EDW)
OPERATIONAL SYSTEMS DECISION MAKERS
Integrated data provides data consistency, lower costs, better decisions
Marketing
Supply Chain
Finance
Risk Management
Maintenance
Sales
Operations
Inventory
Call Center …
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The Value of EDW
Data Mart Consolidation
Product Data
Transaction Data
Customer Data
Financial Data
Supplier Data Business
Value
EDW Investment
Sales + Market Basket + Customer + Profitability + InventoryAnalysis Analysis Analysis Analysis
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InventoryOrders
The Value of Integrated Data
• Fragmented data offers limited business insight, providing answers to subject-specific questions, only.
• With each new data mart, IT repeats its development efforts – and duplicates data
• Combining subject areas drives greater business insight –providing sophisticated answers to cross-functional questions
• Requires only incremental work for each new subject area
2515
Duplicated Data Shared Data
15 25 42
96
156
InventoryOrders Demand
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40%
28% 26%22%
15% 14% 13%
Revenue by Industry
Teradata Industry PenetrationGlobal 3000
Financial
29%
Comms.
28%
Retail
16%Manuf.
11%Travel & Trans.
6%
Gov't.
5%
Healthcare
4%
Other
1%
2008*
* Approximate percentages of product and professional services revenue by industry.
1%
4%
5%
6%
11%
16%
28%
29%
2008
2%Other
5%Healthcare
7%Government
6%Travel & Transportation
9%Manufacturing
19%Retail
28%Communications
24%Financial Services
2007
Comms. Retail Financial Travel & Healthcare Manufacturing GovernmentTransportation
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Teradata’s Industry-Leading Technology
Technology Demands
• Extreme scalability
• Extreme performance
• Extreme availability
• Extreme data load and access
Teradata’s Multi-dimensional Scalability
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
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Gartner MQ for Data Warehouse DBMS, 2008
The Magic Quadrant is copyrighted 23 December 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphicalrepresentation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.
Magic Quadrant for Data Warehouse DBMS, 2008
Donald Feinberg, Mark A. Beyer (23 December 2008)
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Forrester Rates Teradata #1
“Teradata provides the most scalable, mature, and flexible EDW solution on the market, and, through its recently released 2550 and 1550 platforms, offers an increasingly cost-effective solution portfolio for diverse customer requirements.”- James Kobielus, Forrester Research, Inc. 02/06/2009
The Forrester Wave™: Enterprise Data Warehousing Platforms, Q1 2009
The Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of the Forrester Research, Inc. The Forrester Wave is a graphical representation of Forrester’s call on a market and is plotted using a detailed spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse and vendor, product, or service depicted in the Forrester Wave. Information is based on best available resources. Opinions represent judgment at the time and are subject to change.
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Teradata’s Purpose-Built Platform Family
SoftwareSoftwareOnly Only
EditionEdition
Data Mart Data Mart ApplianceAppliance
551551
Extreme Data Extreme Data ApplianceAppliance
15501550
Data Data WarehouseWarehouseApplianceAppliance
25502550
Active Enterprise Active Enterprise Data WarehouseData Warehouse
55505550
PurposePurpose
Teradata on anyIntel
Platform
Test & Development
or Smaller Data Marts
Analytics on Extreme Data Volumes from
New Data Types
Entry Level Data Warehouse or Departmental
Data Marts
Enterprise Scalefor both
Strategic and Operational IntelligenceEDW/ADW
ScalabilityScalability Up to 6 TB Up to 6 TB Up to 50 PB Up to 140 TB Up to 10 PB
PricePriceStarting at $40K
Starting at $67K / TB
Starting at$16.5K / TB
Starting at $99K / TB
Starting at$200K / TB
All Powered by TeradataCovering All Sizes and Analytical Requirements
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Active (Access/Loads)
Multi-generational coexistence
Workload Mgmt. (Mixed)
Availability
Cross Functional (Complexity)
Query Concurrency
Data Scalability
Database Functionality
Active Enterprise Data Warehouse (5550)
Data Warehouse Appliance (2550)
Extreme Data Appliance (1550)
Data Mart Appliance (551)
Data Warehouse Platform Requirements
The degree of operational/active on the vertical axis and the scope/scalability on the horizontal axis determines a company’s location on the chart and its corresponding needs of the platform (shown in colored outline), based on the data warehouse criteria. The number of Xs in each grid denotes the weight of importance for that criterion, increasing as the needs move up and to the right.
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Scope/Scalability
Op
era
tion
al/
Activ
e
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1,120 1,131
1,217 1,203
1,349
1,467
1,547
1,702
1,762
2000 2001 2002 2003 2004 2005 2006 2007 2008
Revenue Growth ... Improving Profitability$ in millions
26% 1% 8% (1)% 12% 9% 5% 10% 4%
Revenue Growth Rate
Revenue
(3)% (3)% 8% 10% 15% 19% 20% 19% 19%
Operating Margin
Operating Income
(35) (36)
96
124
199
284302
320333
2000 2001 2002 2003 2004 2005 2006 2007 2008
2000 2001
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Revenue Mix & Operating Segments
$1,762Total Revenue
24%427Maintenance Services
28%485Professional Services & Installation Services(80% - 90% PS)
48%$ 849Products (SW/HW)(more than 50% SW)
% of Total2008Revenue Mix
Maintenance and subscription revenues contribute more than 30% of Teradata’s total revenue.
Americas
Revenuemix
56%
GrossMargin
57%
EMEA
Revenuemix
26%
GrossMargin
52%
Operating Segments
APJ
Revenuemix
18%
GrossMargin
48%
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Strong/Improving Balance Sheet & Cash Flow
Balance Sheet
148%146%FCF % of Net Income
77369292Free Cash Flow
53440387Cash from Operating Income
50250200Net Income
Change20082007($ in millions)
Cash Flow
782631540Total Shareholders Equity
255246236Deferred Revenue
000Debt
1,4451,2941,075Total Assets
464301222Working Capital
4422700Cash & Short-Term Investments
Dec. 31 2008
Dec. 31 2007
Sep. 30 2007($ in millions)
STRONG LIQUIDITY$442M of Cash & Short-Term Investments ▫ $300M Credit Facility
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Looking Forward
SG&AFlat to down vs. 2008
R&DHigher than 2008, lower than 2007
26% - 27%Tax Rate26% - 27%
7% - 9% Revenue4 pts. of FX headwind*
Long-Term Objective2009 Guidance
* Based on currency rates as of February 9, 2009.
• Long-Term Revenue Growth: 7% - 9%• Operating Margin:
> Short-term:– Absorb …
– Expense of adding new sales territories: $13M in 2009– Higher R&D expense (2009 vs. 2008)
– Improve Efficiency …– Sales and PS resources, G&A expenses
– Reduce …– Discretionary costs, travel and no salary increases
> Longer-term:– Expand operating margin percentage 2010 - 2011, while continuing to
invest in …– R&D, sales territories, solutions, partnerships & consulting
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