Teradata Corp (TDC) 2023 Q1 法說會逐字稿

Good afternoon, my name is Francis, and I will be your conference operator today. At this time, I would like to welcome everyone to the Teradata First Quarter 2023 Earnings Call. (Operator Instructions)

下午好，我叫弗朗西斯，今天我將擔任你們的會議主持人。此時，我想歡迎大家參加 Teradata 2023 年第一季度財報電話會議。 （操作員說明）

I would now like to hand the conference over to your host today, Christopher Lee, Senior Vice President of Investor Relations and Corporate Development. You may begin your conference.

我現在想把會議交給今天的主持人，投資者關係和企業發展高級副總裁克里斯托弗·李。你可以開始你的會議。

Good afternoon, and welcome to Teradata's 2023 First Quarter Earnings Call. Steve McMillan, Teradata's President and Chief Executive Officer, will lead our call today; followed by Claire Bramley, Teradata's Chief Financial Officer, who will discuss our financial results and our outlook.

下午好，歡迎來到 Teradata 的 2023 年第一季度財報電話會議。 Teradata 總裁兼首席執行官 Steve McMillan 將主持我們今天的電話會議；隨後是 Teradata 的首席財務官 Claire Bramley，他將討論我們的財務業績和展望。

Our discussion today includes forecasts and other information that are considered forward-looking statements. While these statements reflect our current outlook, they are subject to a number of risks and uncertainties that could cause actual results to differ materially. These risk factors are described in today's earnings release and in our SEC filings, including our most recent Form 10-K and in the Form 10-Q for the quarter ended March 31, 2023, that is expected to be filed with the SEC within the next few days. These forward-looking statements are made as of today, and we undertake no duty or obligation to update our forward-looking statements.

我們今天的討論包括預測和其他被視為前瞻性陳述的信息。雖然這些陳述反映了我們目前的展望，但它們受到許多風險和不確定因素的影響，這些風險和不確定因素可能導致實際結果存在重大差異。這些風險因素在今天的收益發布和我們提交給美國證券交易委員會的文件中有所描述，包括我們最近的 10-K 表格和截至 2023 年 3 月 31 日的季度的 10-Q 表格，預計將在接下來的幾天。這些前瞻性陳述是在今天作出的，我們不承擔更新我們的前瞻性陳述的責任或義務。

On today's call, we will be discussing certain non-GAAP financial measures which excludes such items as stock-based compensation expense and other special items described in our earnings release. We will also discuss other non-GAAP items such as free cash flow and constant currency revenue comparisons. Unless stated otherwise, all numbers and results discussed on today's call are on a non-GAAP basis. A reconciliation of non-GAAP to GAAP measures is included in our earnings release, which is accessible on the Investor Relations page of our website at investor.teradata.com. A replay of this conference call will be available later today on our website.

在今天的電話會議上，我們將討論某些非 GAAP 財務措施，這些措施不包括基於股票的補償費用和我們的收益發布中描述的其他特殊項目等項目。我們還將討論其他非 GAAP 項目，例如自由現金流和固定貨幣收入比較。除非另有說明，否則今天電話會議上討論的所有數字和結果均基於非公認會計原則。非 GAAP 指標與 GAAP 指標的對賬包含在我們的收益發布中，可在我們網站 investor.teradata.com 的投資者關係頁面上訪問。本次電話會議的重播將於今天晚些時候在我們的網站上提供。

And now I will turn the call over to Steve.

現在我將把電話轉給史蒂夫。

Thank you, Chris, and welcome, everyone. Thanks for joining us today. Teradata is off to a great start in 2023, building on our market momentum. We achieved another quarter of robust cloud growth driven primarily by expansion activity. Our cloud ARR was up 89% year-on-year in constant currency, and we also experienced solid sequential dollar growth. We delivered on key financial metrics in the quarter and we continued to strengthen our position as a cloud leader. We also accelerated our growth in total ARR to $1.506 billion, growing both sequentially and year-over-year. We experienced our highest sequential growth in Q1 in more than 5 years.

謝謝克里斯，歡迎大家。感謝您今天加入我們。 Teradata 憑藉我們的市場勢頭，在 2023 年有了一個良好的開端。我們實現了另外一個季度強勁的雲增長，這主要是由擴展活動驅動的。按固定匯率計算，我們的雲 ARR 同比增長 89%，而且我們也經歷了穩定的連續美元增長。我們在本季度交付了關鍵財務指標，並繼續鞏固了我們作為雲領導者的地位。我們還加快了 ARR 總額的增長，達到 15.06 億美元，環比和同比均有增長。我們在第一季度經歷了 5 年多來最高的環比增長。

In addition to driving total ARR growth, we also delivered healthy profits. Recurring revenue grew by 4% in constant currency, which contributed to generating more than $300 million in gross profit and over $100 million in free cash flow.

除了推動總體 ARR 增長外，我們還實現了可觀的利潤。按固定匯率計算，經常性收入增長了 4%，這有助於產生超過 3 億美元的毛利潤和超過 1 億美元的自由現金流。

I am very proud of the team's execution across the board in the quarter, a clear indication that our transformation is moving full steam ahead. Our differentiated position in cloud analytics and data is recognized and growing and we are advancing our market reputation and driving our pipeline.

我為團隊在本季度的全面執行感到非常自豪，這清楚地表明我們的轉型正在全速前進。我們在雲分析和數據方面的差異化地位得到認可並不斷發展，我們正在提升我們的市場聲譽並推動我們的管道。

Organizations everywhere are investing in advanced analytics, including generative AI and machine learning, to drive automation and agile decision-making. To enable a future of AI-driven business, enterprises will require trust in data and the ability to massively scale with price performance. Teradata's deep data management capabilities, proven stewardship of the most trusted data in an enterprise and high-performing AI and ML at scale are fundamental requirements for organizations as they move into this new world.

世界各地的組織都在投資高級分析，包括生成人工智能和機器學習，以推動自動化和敏捷決策。為了實現 AI 驅動型業務的未來，企業將需要對數據的信任和大規模擴展性價比的能力。 Teradata 的深度數據管理能力、經過驗證的對企業中最受信任數據的管理以及大規模的高性能 AI 和 ML 是組織進入這個新世界的基本要求。

Let me share a recent example where we helped a customer deliver its retailer of the future model with advanced personalization in-store by training a generative AI, [thanks] ChatGPT, large language model in AWS SageMaker and running that model at scale in VantageCloud to provide real-time retail product recommendations to its shoppers. Building upon this example, we recently announced our integration with Google Vertex AI, rounding out our cloud service provider ML integrations, thereby extending analytics capabilities for customer use cases.

讓我分享一個最近的例子，在這個例子中，我們通過訓練生成人工智能，[感謝]ChatGPT，AWS SageMaker 中的大型語言模型，並在 VantageCloud 中大規模運行該模型，幫助客戶交付具有店內高級個性化的未來模型的零售商向購物者提供實時零售產品推薦。在此示例的基礎上，我們最近宣布與 Google Vertex AI 集成，完善了我們的雲服務提供商 ML 集成，從而擴展了客戶用例的分析能力。

We also announced the integration of VantageCloud with Microsoft Azure and machine learning. We are combining the scalability and openness of Teradata VantageCloud and ClearScape analytics with Azure MLs ability to simplify and accelerate the ML life cycle. Together, we are providing a platform designed to ensure that customers can execute complex analytics and AI/ML on massive data sets and in corporate they preferred data science tools, including Azure ML. This helps customers unlock the potential of their AI/ML investments as they deploy sophisticated models, including generative models and production, faster and with confidence.

我們還宣布了 VantageCloud 與 Microsoft Azure 和機器學習的集成。我們將 Teradata VantageCloud 和 ClearScape 分析的可擴展性和開放性與 Azure ML 功能相結合，以簡化和加速 ML 生命週期。我們共同提供了一個平台，旨在確保客戶可以對海量數據集執行複雜的分析和 AI/ML，而在企業中，他們更喜歡數據科學工具，包括 Azure ML。這有助於客戶在部署複雜模型（包括生成模型和生產）時更快、更有信心地釋放其 AI/ML 投資的潛力。

In addition to these customer benefits, we also delivered new visualizations that pervade consumption transparency for VantageCloud Lake, our new product built on our next-gen cloud native architecture. We're continuing to see adoption of VantageCloud Lake and are already bringing out enhancements. Customers can now see their consumption actually against plans across all of their environments. They can see their consumption patterns on an hourly, weekly, monthly and quarterly basis. This transparency helps our customers avoid end-of-quarter surprises, which is critical to enterprise customers and times of financial uncertainty. Having this type of financial governance is a major driver of value for our customers and a major differentiator against our competition.

除了這些客戶利益之外，我們還為 VantageCloud Lake 提供了新的可視化效果，使消費透明化，這是我們基於下一代云原生架構構建的新產品。我們繼續看到 VantageCloud Lake 的採用，並且已經推出了增強功能。客戶現在可以根據其所有環境中的計劃實際查看他們的消費情況。他們可以按小時、每週、每月和每季度查看他們的消費模式。這種透明度有助於我們的客戶避免季度末意外，這對企業客戶和財務不確定時期至關重要。擁有這種類型的財務治理是我們客戶價值的主要驅動力，也是我們與競爭對手的主要差異化因素。

We further strengthened our open approach and integrated with DBT to enhance our developer experience and enable more use cases for the important developer community. We are adding integration to this modern tool set that is popular with data engineers and as part of the modern data stack. It saves engineers and analysts valuable time while allowing them to focus on high-value pursuits and accelerate time to outcomes with advanced analytics, a real win-win.

我們進一步加強了我們的開放方法並與 DBT 集成，以增強我們的開發人員體驗並為重要的開發人員社區提供更多用例。我們正在將集成添加到這個深受數據工程師歡迎並作為現代數據堆棧的一部分的現代工具集中。它為工程師和分析師節省了寶貴的時間，同時讓他們能夠專注於高價值的追求，並通過高級分析加快取得成果的時間，這是真正的雙贏。

In another win-win, I'm particularly pleased with our continued customer momentum in the quarter. We added or expanded customers across industries, geographies and use cases. I meet with many customers, and they are relying on analytics grounded in the trusted data we provide to help them remain resilient during times like the current economic environment. Let's walk through a few representative examples.

在另一個雙贏中，我對本季度持續的客戶勢頭感到特別滿意。我們增加或擴大了跨行業、地域和用例的客戶。我與許多客戶會面，他們依靠基於我們提供的可信數據的分析來幫助他們在當前經濟環境等時期保持彈性。讓我們來看幾個有代表性的例子。

We closed one of the largest deals measured by total contract value in Teradata's history at a U.S.-based health care service provider. This deal was won with one of our valued partners and included an 8-figure cloud expansion in the quarter. Our customer signed a strategic multiyear cloud agreement, selecting Teradata on AWS and ClearScape Analytics to support areas such as customer engagement, Medicare/Medicaid services and, most importantly, cost of care as it serves its 100 million-plus members. These analytics will be instrumental in continuing to drive the cost of health care down by providers and increase the level of care to consumers.

我們完成了 Teradata 歷史上與一家美國醫療保健服務提供商的合同總價值衡量的最大交易之一。這筆交易是與我們重要的合作夥伴之一贏得的，其中包括本季度 8 位數的雲擴展。我們的客戶簽署了一項戰略性多年期雲協議，選擇 AWS 上的 Teradata 和 ClearScape Analytics 來支持客戶參與、醫療保險/醫療補助服務等領域，最重要的是，它為其 1 億多會員提供護理成本。這些分析將有助於繼續降低提供者的醫療保健成本並提高對消費者的醫療保健水平。

One of the largest integrated financial technology solution providers in the U.S., supporting the success of more than 2,400 financial institutions and representing more than 7.7 billion transactions annually, selected VantageCloud on AWS in a multiphase modernization program that includes our consulting services. It will now have the ability to scale on demand and perform macro-level analytics on aggregated data to drive the most value within units, including marketing, predictive end-state and member insights.

美國最大的綜合金融技術解決方案提供商之一，支持 2,400 多家金融機構取得成功，每年處理超過 77 億筆交易，在包括我們的諮詢服務在內的多階段現代化計劃中選擇了 VantageCloud on AWS。它現在將能夠按需擴展並對聚合數據執行宏觀層面的分析，以推動單位內的最大價值，包括營銷、預測最終狀態和會員洞察力。

An investment in commercial bank in the Middle East is a new logo for us. This customer is working to build small business solutions to serve specific departmental needs. The ability to tailor our world-class analytics to set each specific use case was a key to success in fulfilling the customer needs for the future.

對中東商業銀行的投資對我們來說是一個新標誌。該客戶正在努力構建小型企業解決方案以滿足特定部門的需求。定制我們世界一流的分析以設置每個特定用例的能力是成功滿足客戶未來需求的關鍵。

I mentioned that expansion activity was a key driver of growth in the quarter. I'm pleased to note that our cloud net expansion rate was 119%, ahead of Q4's rate, and customers who migrated to the cloud from just last year are already expanding on our platform in Q1 of this year. Additionally, we are seeing customers expand at the point of migration adding incremental workloads and use cases. This is a manifestation of customers realizing the value and our ability to provide best-in-class hybrid cloud environments, meeting them wherever they are on their journey to cloud.

我提到擴張活動是本季度增長的關鍵驅動力。我很高興地註意到，我們的雲淨擴張率為 119%，高於第四季度的速度，而且從去年遷移到雲的客戶已經在今年第一季度在我們的平台上擴張。此外，我們看到客戶在遷移時不斷擴展，增加了增量工作負載和用例。這是客戶意識到我們提供一流混合雲環境的價值和能力的體現，無論他們在雲之旅中的何處都能滿足他們的需求。

A key tenet of our transformation is building strong and lasting relationships with partners. They are a forced multiplier for our business. In Q1, we saw growth with the hyperscalers, capitalizing on our win-win relationships with AWS and Microsoft Azure.

我們轉型的一個關鍵原則是與合作夥伴建立牢固和持久的關係。它們是我們業務的強制倍增器。在第一季度，我們看到了超大規模企業的增長，利用我們與 AWS 和 Microsoft Azure 的雙贏關係。

In the quarter, we also deepened our relationship with Dell Technologies. Teradata and Dell have committed to jointly offer private cloud solutions that give the flexibility of the cloud with the control and security of on-prem. We have co-engineered and are bringing together our best-of-breed technologies, integrating Teradata Vantage with Dell's converged infrastructure. These solutions are ideal for companies wanting hybrid cloud analytic environments that include an on-prem element of the ecosystem, such as regulatory compliance.

在本季度，我們還加深了與 Dell Technologies 的關係。 Teradata 和戴爾已承諾共同提供私有云解決方案，以提供雲的靈活性以及內部部署的控制和安全性。我們共同設計並彙集了我們的同類最佳技術，將 Teradata Vantage 與戴爾的融合基礎設施相集成。這些解決方案非常適合需要混合雲分析環境的公司，這些環境包括生態系統的本地元素，例如合規性。

This is one more example of meeting customers where they are, with what they need today and offering a seamless path to the future. With customer adoption already underway, I'm excited about the market opportunity for both of our companies.

這是滿足客戶需求的又一個例子，滿足他們今天的需求，並提供通向未來的無縫路徑。隨著客戶的採用已經開始，我對我們兩家公司的市場機會感到興奮。

In the ESG arena, we are exceptionally proud that Teradata was named one of 2023 world's most ethical companies by Ethisphere for the 14th consecutive year. This designation is a testament to our fundamental thoughts of operating with the highest integrity and commitment to doing business the right way every day.

在 ESG 領域，Teradata 連續第 14 年被 Ethisphere 評為 2023 年全球最具商業道德的公司之一，我們感到無比自豪。這一稱號證明了我們以最高誠信經營的基本思想和每天以正確方式開展業務的承諾。

As I turn the call to Claire, I want to underscore that we are incredibly pleased with our strong start to 2023. Our resilience and growth this quarter gives us confidence in the market need for our connected multi-cloud analytics and data solutions. With our VantageCloud platform, we are strongly positioned across all data formats and deployments and the cloud, multi-cloud, hybrid and on-prem.

當我打電話給克萊爾時，我想強調的是，我們對 2023 年的強勁開局感到非常高興。本季度我們的彈性和增長讓我們對市場對我們連接的多雲分析和數據解決方案的需求充滿信心。憑藉我們的 VantageCloud 平台，我們在所有數據格式和部署以及雲、多雲、混合和本地部署方面都處於強勢地位。

You've heard me say we meet customers where they are and help them seamlessly get to a better, more efficient and more competitive place. Our results reflect the market need in an open and connected approach. Our teams are demonstrating the ability to be relevant and remain resilient in driving total ARR and cloud ARR growth at scale in the uncertain economic environment. Our technology continues to garner kudos as it outpaces the competition and our customers are building and growing their analytic futures on Teradata.

你聽我說過，我們會在客戶所在的地方與他們會面，並幫助他們無縫地到達更好、更高效和更具競爭力的地方。我們的結果以開放和互聯的方式反映了市場需求。我們的團隊展示了在不確定的經濟環境中大規模推動總 ARR 和雲 ARR 增長的相關性和保持彈性的能力。我們的技術不斷贏得讚譽，因為它超越了競爭對手，我們的客戶正在 Teradata 上構建和發展他們的分析未來。

Our Q1 performance gives us significant confidence in the year ahead. We are committed to our outlook for 2023, and we remain on track to achieve our fiscal 2025 target of more than $1 billion in cloud ARR.

我們第一季度的表現讓我們對來年充滿信心。我們致力於 2023 年的展望，並且我們仍有望實現 2025 財年雲 ARR 超過 10 億美元的目標。

And now I'll pass the call to Claire.

現在我會把電話轉給克萊爾。

Thank you, Steve, and good afternoon, everyone. As our results show, Teradata continues to have good momentum and is off to a strong start in 2023. A clear highlight of the quarter was year-over-year growth in total ARR of 6% as reported and 7% in constant currency. The sequential growth of $24 million is the first time we have seen growth from the fourth quarter to the first quarter for 3 years.

謝謝史蒂夫，大家下午好。正如我們的結果所示，Teradata 繼續保持良好勢頭，並在 2023 年開局強勁。本季度的一個明顯亮點是報告的總 ARR 同比增長 6%，按固定匯率計算為 7%。 2400 萬美元的環比增長是 3 年來我們第一次看到從第四季度到第一季度的增長。

Another highlight was our year-over-year public cloud growth of 86% as reported and 89% in constant currency. Sequential growth was $31 million, which was more than 4x greater than the growth in the same period last year.

另一個亮點是我們報告的公共云同比增長 86%，按固定匯率計算增長 89%。環比增長 3100 萬美元，比去年同期增長 4 倍多。

Free cash flow of $105 million and non-GAAP diluted earnings per share of $0.61 puts us on track to achieve our annual outlook for both metrics.

1.05 億美元的自由現金流和 0.61 美元的非 GAAP 稀釋每股收益使我們有望實現這兩個指標的年度展望。

Our first quarter financial results reflects the company's dedicated execution against the cloud-first profitable growth strategy we introduced just over 2 years ago. These results give me confidence to reiterate our 2023 outlook amidst the current macroeconomic environment.

我們第一季度的財務業績反映了公司對我們 2 年多前推出的雲優先盈利增長戰略的專注執行。這些結果讓我有信心在當前的宏觀經濟環境下重申我們對 2023 年的展望。

Let me now share some more details on our financial results, starting with revenue. First quarter recurring revenue was $389 million, 4% growth in constant currency and 1% as reported. Growth was driven by the strong execution of our go-to-market team last year and this quarter, including several large expansions and migrations in the 7- and 8-figure range. This dynamic contributed to strong cloud revenue growth year-over-year. Recurring revenue as a percentage of total revenue was 82%, which is up 4 percentage points from the same period last year.

現在讓我分享一些關於我們財務業績的更多細節，從收入開始。第一季度經常性收入為 3.89 億美元，按固定匯率計算增長 4%，按報告計算增長 1%。去年和本季度我們的上市團隊執行力強勁，推動了增長，包括數次 7 位數和 8 位數的大規模擴張和遷移。這種動態促成了雲收入同比強勁增長。經常性收入佔總收入的比例為82%，較去年同期上升4個百分點。

In the quarter, we experienced a very healthy renewal rate of on-prem subscription contracts that was better than previous years. This contributed to a net positive upfront recurring revenue of approximately $34 million, resulting in a year-over-year increase of $5 million or 1 point of growth. This growth was more than offset by the loss of revenue recognized from the Russian operations that we ceased partway through the first quarter of 2022.

在本季度，我們的本地訂閱合同續訂率非常健康，好於往年。這促成了約 3400 萬美元的淨正預付經常性收入，導致同比增長 500 萬美元或 1 個增長點。這一增長被我們在 2022 年第一季度中途停止的俄羅斯業務確認的收入損失所抵消。

First quarter total revenue was $476 million, flat year-over-year in constant currency and down 4% as reported. The year-over-year change is primarily due to our strategic transformation, impacting perpetual and consulting revenue.

第一季度總收入為 4.76 億美元，按固定匯率計算同比持平，據報導下降 4%。同比變化主要是由於我們的戰略轉型，影響了永久和諮詢收入。

Moving to profitability in the first quarter. Profitability was healthy. We reported $306 million in gross profit and a gross margin of over 64%. The primary driver of our strong gross profit performance continues to be the higher mix of recurring revenue. There was also a benefit of approximately 2 percentage points related to the net positive impact of upfront recurring revenue.

第一季度轉為盈利。盈利能力健康。我們報告的毛利潤為 3.06 億美元，毛利率超過 64%。我們強勁的毛利潤表現的主要驅動力仍然是更高的經常性收入組合。預付經常性收入的淨積極影響也帶來了大約 2 個百分點的收益。

Operating profit was $108 million, or an operating margin of approximately 23%. Total operating expenses were flat year-over-year and down sequentially despite higher SG&A expenses due primarily to increased fixed and variable compensation. We continue to maintain cost discipline as well as prioritize positive return-generating investments that are focused on our future growth.

營業利潤為 1.08 億美元，營業利潤率約為 23%。儘管主要由於固定和可變薪酬增加導致 SG&A 費用增加，但總運營費用同比持平並環比下降。我們繼續保持成本紀律，並優先考慮專注於我們未來增長的積極回報投資。

Non-GAAP diluted earnings per share was $0.61, which is in line with our outlook range. Our strong quarterly results enabled us to absorb an approximate $0.07 impact in other expense from unplanned currency devaluations in various geographies, such as Egypt and Pakistan.

非 GAAP 攤薄後每股收益為 0.61 美元，符合我們的展望範圍。我們強勁的季度業績使我們能夠吸收因埃及和巴基斯坦等不同地區的計劃外貨幣貶值而對其他費用產生的約 0.07 美元的影響。

Turning to free cash flow and capital allocation. We generated $105 million in the quarter driven by both solid income generation and an efficient cash conversion cycle. We continue to take advantage of our strong balance sheet to repurchase shares, resulting in a return of 84% of our first quarter free cash flow to shareholders, ahead of our annual target of 75%.

轉向自由現金流和資本配置。在穩定的收入產生和高效的現金轉換週期的推動下，我們在本季度產生了 1.05 億美元。我們繼續利用我們強勁的資產負債表來回購股票，從而使我們第一季度的自由現金流的 84% 回報給股東，超過了我們 75% 的年度目標。

With regards to the 2023 outlook, I'd like to provide some context on the second quarter and the rest of the year. We reaffirm all elements of our 2023 outlook. The midpoint of our annual outlook remains our best view of the year even though our first quarter results were ahead of last year's linearity. We have absorbed a slight sequential currency headwind in our 2023 outlook. We do not currently see any other material headwinds impacting our business. We will continue to monitor the macroeconomic environment very closely.

關於 2023 年展望，我想提供一些有關第二季度和今年剩餘時間的背景信息。我們重申 2023 年展望的所有要素。儘管我們的第一季度業績優於去年的線性水平，但我們年度展望的中點仍然是我們今年的最佳觀點。我們在 2023 年展望中吸收了輕微的連續貨幣逆風。我們目前沒有看到任何其他影響我們業務的重大不利因素。我們將繼續密切關注宏觀經濟環境。

Given the strength of our first quarter and the improved linearity versus the same period last year, we are not expecting an acceleration of total ARR and cloud ARR dollar growth from the first quarter to the second quarter. We do expect greater sequential dollar growth for cloud ARR in the second half of the year given the increasing market awareness for our VantageCloud platform and in line with historical seasonality. We continue to anticipate that our fourth quarter will be the strongest quarter this year for both total ARR and cloud ARR dollar growth.

鑑於我們第一季度的實力以及與去年同期相比線性度有所改善，我們預計第一季度到第二季度的總 ARR 和雲 ARR 美元增長不會加速。鑑於我們的 VantageCloud 平台的市場意識不斷增強，並且符合歷史季節性，我們確實預計今年下半年雲 ARR 的連續美元增長會更大。我們繼續預計第四季度將成為今年總 ARR 和雲 ARR 美元增長最強勁的季度。

We expect a solid improvement in cloud gross margin year-over-year as we achieve scale benefits. The increasing revenue mix shift to the cloud results in a slight headwind to total company gross margin in 2023, as noted on last quarter's earnings call. We also anticipate less of a gross margin benefit from upfront recurring revenue for the rest of the year as compared to the first quarter.

隨著我們實現規模效益，我們預計雲毛利率將同比穩步提高。正如上一季度的財報電話會議所指出的那樣，越來越多的收入組合轉向雲端，這對 2023 年公司的總毛利率造成了輕微的不利影響。與第一季度相比，我們還預計今年剩餘時間預付經常性收入帶來的毛利率收益會減少。

We are on track to achieve our annual outlook for non-GAAP earnings per share and are narrowing our range to $1.92 to $2.04, with the completion of the first quarter. Some updated modeling assumptions for 2023 include weighted average shares outstanding of approximately 102.3 million and other expense of approximately $55 million. There is no change to the non-GAAP tax rate of approximately 25%.

我們有望實現非 GAAP 每股收益的年度預期，並在第一季度結束時將範圍縮小至 1.92 美元至 2.04 美元。 2023 年的一些更新模型假設包括約 1.023 億股的加權平均流通股和約 5500 萬美元的其他費用。大約 25% 的非 GAAP 稅率沒有變化。

Our outlook for the second quarter of 2023 is as follows. We anticipate non-GAAP diluted earnings per share to be in the range of $0.43 to $0.47. We project the non-GAAP tax rate to be approximately 23% and the weighted average shares outstanding is the same estimate as the full year.

我們對 2023 年第二季度的展望如下。我們預計非 GAAP 攤薄後每股收益將在 0.43 美元至 0.47 美元之間。我們預計非 GAAP 稅率約為 23%，加權平均流通股與全年估計相同。

Before I open the call for questions, I would like to share that we are pleased with the team's execution, resulting in a great start to the year across all of our key metrics. We are excited about the year ahead as we maintain our relentless focus on our cloud-first profitable growth strategy.

在我開始提問之前，我想分享一下，我們對團隊的執行感到滿意，這為我們所有關鍵指標帶來了今年的良好開端。我們對未來一年感到興奮，因為我們將不懈地關注我們的雲優先盈利增長戰略。

Thank you very much for your time today. Now let's move to Q&A.

非常感謝你今天的時間。現在讓我們進入問答環節。

(Operator Instructions) The first question comes from the line of Chad Bennett with Craig-Hallum.

（操作員說明）第一個問題來自 Chad Bennett 與 Craig-Hallum 的對話。

Great job to start the year. I mean the cloud ARR is pretty staggering, especially in light of what we've heard from the hyperscalers and cloud guys. So I guess first question, and pardon me, I hopped on kind of midstream in prepared remarks, but Steve or Claire, just on the outperformance of the public cloud ARR you saw in the quarter and kind of reiterating the year, was there any kind of pull forward or accelerated migrations that boosted that number? And I apologize if you mentioned it in the prepared remarks.

偉大的工作開始了這一年。我的意思是雲計算 ARR 非常驚人，特別是考慮到我們從超大規模和雲計算人員那裡聽到的消息。所以我想第一個問題，請原諒，我在準備好的評論中跳到了中游，但是史蒂夫或克萊爾，只是關於你在本季度看到的公共雲 ARR 的出色表現，並重申了這一年，是否有任何類型推動這個數字的拉動或加速遷移？如果你在準備好的評論中提到它，我深表歉意。

Chad, I think we covered that a little bit, but no, we didn't have any significant pull forward from Q2. This was just great execution by the team. I think it really proves out the strategy of the company, the whole team getting behind that strategy and executing well in Q1. As we said on the call, the predominant growth was from expansions. We're incredibly proud of that in terms of seeing real traction for the Teradata VantageCloud platform inside our customers. So yes, nothing unusual from a transaction perspective.

乍得，我想我們已經涵蓋了一點，但不，我們沒有從第二季度開始有任何重大進展。這只是團隊的出色執行。我認為這確實證明了公司的戰略，整個團隊都支持該戰略並在第一季度執行良好。正如我們在電話會議上所說，主要的增長來自擴張。看到 Teradata VantageCloud 平台在我們客戶中的真正吸引力，我們為此感到無比自豪。所以是的，從交易的角度來看沒有什麼不尋常的。

Got it. And if that's the case, I guess, just in terms of whether it's kind of maintaining or improving your churn levels on your on-prem business, subscription business or it's actually seeing net new workloads, which I think you're hinting towards on a once-converted basis, like what -- considering the backdrop of all the consumption models, right? Coming in, people utilizing less, every hyperscaler is saying, "We're trying to optimize our customer spend," i.e., spend less, I know you have a different kind of model and your ROI pitch is extraordinary. But like how are you seeing the net expansion in workloads and maybe everybody else is decelerating? Just kind of any characterization there would be great. And then I'll hop off.

知道了。如果是這樣的話，我想，就它是維持還是提高你的本地業務、訂閱業務的流失率而言，還是它實際上看到了淨新的工作負載，我認為你在暗示once-converted basis，比如什麼——考慮到所有消費模式的背景，對吧？進來，人們使用更少，每個超大規模都在說，“我們正在努力優化我們的客戶支出”，即減少支出，我知道你有一種不同的模型，你的投資回報率非常高。但是就像你如何看待工作量的淨擴張，也許其他人都在減速？只是那種任何表徵都會很棒。然後我就下車了。

Thanks, Chad. So yes, the financial governance that we enable and deploy with the Teradata platform is clearly a differentiator for us and gives our customers' faith in expanding the workloads that they have on the Teradata platform and the cloud. Our patented capabilities with workload management and query optimization mean that customers essentially have a very predictable cost model in the cloud. And clearly, we don't get that with entirely 100% consumption-based solutions.

謝謝，乍得。所以，是的，我們使用 Teradata 平台啟用和部署的財務治理顯然是我們的差異化因素，讓我們的客戶有信心擴展他們在 Teradata 平台和雲上擁有的工作負載。我們在工作負載管理和查詢優化方面的專利功能意味著客戶在雲中基本上擁有一個非常可預測的成本模型。顯然，我們無法通過完全 100% 基於消費的解決方案來實現這一點。

In terms to your question about the types of expansion, we're continuing to see workload expansion and data growth in the Teradata platform. And also, using our open and connected methodology, we see more data becoming available to the Teradata VantageCloud platform, and that is causing those expansions to happen. We talked about a really big 8-figure deal, and that is ARR. The total TCV for that deal was in the 9 figures, probably the biggest AWS Marketplace deal that's been done. We also had a lot of 6- and 7-figure deals across the portfolio. So a good spread of different deal sizes, a good spread of different use cases, workloads and data expansion happening, but doing that data expansion in a very controlled way, which is really resonating well with our customers. Thanks for the question, Chad.

關於您關於擴展類型的問題，我們繼續看到 Teradata 平台中的工作負載擴展和數據增長。而且，使用我們開放和連接的方法，我們看到更多數據可用於 Teradata VantageCloud 平台，這導致了這些擴展的發生。我們談到了一筆非常大的 8 位數交易，那就是 ARR。該交易的總 TCV 達到了 9 位數，這可能是 AWS Marketplace 已經完成的最大一筆交易。我們在整個投資組合中也有很多 6 位數和 7 位數的交易。因此，不同交易規模的良好傳播，不同用例、工作負載和數據擴展的良好傳播正在發生，但以一種非常可控的方式進行數據擴展，這確實引起了我們客戶的共鳴。謝謝你的問題，乍得。

The next question comes from Howard Ma with Guggenheim.

下一個問題來自古根海姆的霍華德馬。

Steve, I also want to ask a related question about how Teradata is performing with respect to cloud optimization and delays in multiyear projects that we're hearing about across the board. Can you talk about how Teradata, as one of the major incumbents in the industry, may be benefiting in this environment relative to your cloud-only peers? Are you seeing more customers that had planned to migrate to a cloud competitor now more inclined to stick with Teradata and migrate and expand on Vantage?

史蒂夫，我還想問一個相關問題，即 Teradata 在雲優化和我們全面聽到的多年項目延遲方面的表現如何。您能否談談 Teradata 作為該行業的主要老牌企業之一，相對於您的純云同行，如何在這種環境中受益？您是否看到更多計劃遷移到雲競爭對手的客戶現在更傾向於堅持使用 Teradata 並在 Vantage 上遷移和擴展？

Yes, I think what we're seeing, Howard, is a real commitment to the Teradata VantageCloud platform, clearly, even in turbulent, or it's maybe especially in turbulent macroeconomic times. Organizations want to be nimble, innovative. They want to be able to respond quickly. And we do want to take advantage of cloud-based technologies. And so they want to get to the cloud as quickly and easily as possible with the least amount of risk. And then when they get to the cloud, they want to have a financial environment that's very controlled. And that's exactly what Teradata delivers. Teradata VantageCloud is the quickest, fastest, lease risk path to the cloud for our customers. I think they are seeing that.

是的，霍華德，我認為我們所看到的是對 Teradata VantageCloud 平台的真正承諾，顯然，即使在動盪時期，或者尤其是在動蕩的宏觀經濟時期。組織希望變得靈活、創新。他們希望能夠快速響應。我們確實希望利用基於雲的技術。因此，他們希望以最小的風險盡快、輕鬆地進入雲。然後當他們進入雲端時，他們希望擁有一個非常可控的財務環境。而這正是 Teradata 提供的。 Teradata VantageCloud 是我們客戶通往雲的最快、最快的租賃風險路徑。我認為他們正在看到這一點。

The fact that we can integrate, and I mentioned some of the integrations with the AI/ML capabilities across AWS, Google and Azure, the fact that they can start using these capabilities and new ways to deliver new value to the customers is something that they are really seeking out and something that Teradata VantageCloud platform can deliver. And certainly, having that VantageCloud capability, a completely differentiated capability compared to our competition, is giving our customers the confidence to commit and recommit and grow with Teradata in the cloud. And our expansion activity in Q1 is something that I'm very, very happy with.

事實上，我們可以集成，我提到了 AWS、谷歌和 Azure 與 AI/ML 功能的一些集成，他們可以開始使用這些功能和新方法為客戶提供新價值的事實是他們真正在尋找 Teradata VantageCloud 平台可以提供的東西。當然，擁有 VantageCloud 功能（與我們的競爭對手相比完全差異化的功能）讓我們的客戶有信心在雲中與 Teradata 一起承諾、重新承諾和成長。我們在第一季度的擴張活動讓我非常非常高興。

That's great. It all makes a lot of sense. And I have a follow-up for Claire. Claire, I see actually that operating income outperformed, as you mentioned in your prepared remarks. But EPS was near the low end of guidance and operating cash flow was a little bit light, at least relative to our model. It looks like the variance is in the other income line. What is in that other income line? Is that the reason for the very modest operating cash flow guidance for the full year?

那太棒了。這一切都很有道理。我有克萊爾的後續行動。克萊爾，正如你在準備好的發言中提到的，我實際上看到營業收入表現出色。但每股收益接近指導的低端，經營現金流量有點少，至少相對於我們的模型而言。看起來差異在另一條收入線上。其他收入線是什麼？這是否是全年運營現金流指引非常溫和的原因？

Thanks, Howard. Yes, so I did mention it briefly in my prepared remarks. We did see some other income and expense headwinds in Q1 related to currency and the devaluation in a couple of geographies, specifically to do with Egypt and Pakistan. So those currencies did devalue in Q1, and this is -- and so therefore, we have to take that hit in our Q1 other income and expense. So that's what we saw there.

謝謝，霍華德。是的，所以我確實在準備好的發言稿中簡要提到了它。我們確實在第一季度看到了一些與貨幣和幾個地區的貶值有關的其他收入和支出逆風，特別是與埃及和巴基斯坦有關。所以這些貨幣在第一季度確實貶值了，這是 - 因此，我們必須在第一季度的其他收入和支出中受到打擊。這就是我們在那裡看到的。

With regards to the overall impact on the cash from operations. So we have reiterated our free cash flow guide, and we still believe the midpoint of the guide that we have given is our best view. We have a few movements between our capital expenditures and our cash from ops. So that's why we've made a slight adjustment to the full year cash outlook, but still have great confidence in that free cash flow generation of the outlook that we previously gave and the reaffirmation that we've given today.

關於對運營現金的總體影響。所以我們重申了我們的自由現金流指南，我們仍然相信我們給出的指南的中點是我們最好的觀點。我們的資本支出和來自運營的現金之間有一些變動。因此，這就是為什麼我們對全年現金前景進行了微調，但仍然對我們之前給出的自由現金流產生前景以及我們今天給出的重申充滿信心。

The next question comes from Tyler Radke with Citi.

下一個問題來自花旗銀行的 Tyler Radke。

So Steve, clearly, the cloud ARR performance has been very impressive, frankly, since you joined the company. But I'm curious, just as you think about the implications for the perception of Teradata, to what extent have you started to maybe see some boomerang customers come back or customers that maybe have communicated their plans to migrate off Teradata years down the road kind of reverse those plans? Just wondering if you could comment on that and to what extent that, that has been a driver here in the performance.

所以史蒂夫，坦率地說，自從你加入公司以來，雲 ARR 的表現非常令人印象深刻。但我很好奇，就像您考慮對 Teradata 的看法的影響一樣，您在多大程度上可能開始看到一些迴旋鏢客戶回頭或客戶可能已經傳達了他們在未來幾年遷移出 Teradata 的計劃扭轉那些計劃？只是想知道您是否可以對此發表評論，以及在多大程度上，這一直是性能的驅動因素。

Yes, Tyler, I think I'd comment on the strength of the company in 3 dimensions. One is our technology and our technology capability, we have translated that into a cloud context, which is uniquely differentiated. And that certainly gives customers who didn't see a cloud strategy from Teradata in the past the confidence that they can migrate and transform their environment into a modern context on a hyperscaler in a very effective way. So the technology advances that we've made and the differentiation that we have with our competition is significant.

是的，泰勒，我想我會從 3 個維度來評論公司的實力。一個是我們的技術和我們的技術能力，我們已經將其轉化為雲環境，這是獨一無二的。這無疑讓過去沒有從 Teradata 看到雲戰略的客戶相信，他們可以以非常有效的方式將他們的環境遷移和轉換到超大規模上的現代環境中。因此，我們取得的技術進步以及我們與競爭對手的差異化意義重大。

I think the second thing that's leading to strength is our business model, the fact that we offer fixed capacity contracts. And remember, most of our customers run at over 90% utilization of the Teradata systems. It gives us a very solid base in terms of the recurring revenues that we have that are contracted like in a fixed capacity model.

我認為導致實力的第二件事是我們的商業模式，即我們提供固定容量合同的事實。請記住，我們大多數客戶的 Teradata 系統利用率超過 90%。就我們擁有的經常性收入而言，它為我們提供了非常堅實的基礎，就像在固定容量模型中一樣。

And then the third area, I think, where we have some differentiation is just the relationships we have with customers that are across industry, across geography, multiple absolutely mission-critical workloads. And I think what our customers are seeing is that the way that they can get those mission-critical workloads at the performance and scale that they require to the cloud means that Teradata is the absolutely logical choice. So we continuously see customers committing and recommitting to Teradata. And I'm very proud of all of the team inside Teradata's contribution to get us to that point.

然後是第三個領域，我認為，我們有一些差異化的地方就是我們與跨行業、跨地域、多個絕對任務關鍵型工作負載的客戶的關係。而且我認為我們的客戶看到的是，他們能夠以雲所需的性能和規模獲得這些關鍵任務工作負載的方式意味著 Teradata 是絕對合乎邏輯的選擇。因此，我們不斷看到客戶對 Teradata 的承諾和重新承諾。我為 Teradata 內部的所有團隊為使我們達到這一點所做的貢獻感到非常自豪。

Great. And Claire, so just on your updated guidance methodology. I guess a couple of questions. One, just wanted to clarify and better understand your comments on Q2 seasonality with respect to acceleration. Are you expecting ARR to grow sequentially in Q2, just not at the same pace as Q1? And then given that this was such a strong performance in Q1, and it doesn't really seem to be timing related, why not increase the full year outlook here given you're not really seeing any headwinds in the business and this seems like a clean outperformance?

偉大的。克萊爾，關於你更新的指導方法。我猜有幾個問題。第一，只是想澄清並更好地理解您對第二季度加速季節性的評論。您是否期望 ARR 在第二季度連續增長，只是與第一季度的增長速度不同？然後鑑於第一季度的表現如此強勁，而且它似乎與時間無關，為什麼不增加全年展望，因為你並沒有真正看到業務中的任何逆風，這似乎是一個乾淨的表現？

Yes. Thanks, Tyler. So jus on the linearity question. So we obviously are very happy with the Q1 start, and I'm particularly happy with the improved linearity that we've seen this year compared to the last year. I think it's also important to reiterate the point that we are growing total ARR sequentially for the first time in 3 years. I mentioned it in my prepared remarks, but that's a big milestone for us as a company. So as you said, great start to Q1.

是的。謝謝，泰勒。所以就在線性問題上。因此，我們顯然對第一季度的開始非常滿意，我對今年與去年相比線性度有所提高感到特別滿意。我認為重申這一點也很重要，即我們在 3 年內首次連續增長總 ARR。我在準備好的發言中提到了它，但這對我們公司來說是一個重要的里程碑。正如你所說，第一季度開局不錯。

As you look at the Q2 acceleration, as you know, we don't guide for the quarter. So we're really focused on that full year number. But my comments that I was leading to there is, previously, if you use last year's linearity by quarter as a starting point, we would normally see a sequential acceleration in dollar growth each quarter. So each quarter, the growth group getting higher and higher because we have obviously seen better linearity and a better performance in Q1 this year compared to last year. Just highlighting that we probably won't see an acceleration in the dollar growth, but we are absolutely expecting sequential dollar growth in Q2. We're just not expecting to see an acceleration. So hopefully, that answers your third question with regards to Q2.

如您所知，當您查看第二季度加速時，我們不會為該季度提供指導。所以我們真的很關注全年的數字。但我之前的評論是，如果你使用去年的季度線性作為起點，我們通常會看到每個季度的美元增長連續加速。所以每個季度，增長組越來越高，因為與去年相比，今年第一季度我們明顯看到更好的線性和更好的表現。只是強調我們可能不會看到美元增長加速，但我們絕對期待第二季度美元連續增長。我們只是不希望看到加速。所以希望這能回答你關於第二季度的第三個問題。

And then as it comes back to the full year guide, again, we see this as an improved linearity within the year, and we have great confidence in our full year outlook. But we think it's important to be realistic and prudent, not forgetting that Q4 is still going to be our biggest growth quarter both for cloud ARR and total ARR. And there's still a lot of macro uncertainty out there. So just keeping that conservative approach in terms of our outlook methodology, we still believe that the midpoint of our outlook is the best view for the full year.

然後回到全年指南，我們再次將其視為一年內線性度的改善，我們對全年前景充滿信心。但我們認為現實和謹慎很重要，不要忘記第四季度仍將是我們雲 ARR 和總 ARR 增長最快的季度。而且那裡仍然存在很多宏觀不確定性。因此，就我們的展望方法而言，只要保持這種保守的態度，我們仍然認為我們的展望中點是全年的最佳觀點。

The next question comes from Nehal Chokshi with Northland Capital Markets.

下一個問題來自 Northland Capital Markets 的 Nehal Chokshi。

My congrats as well on, by far, the strongest incremental ARR on a total and cloud basis for fiscal first quarter. You answered all the questions related to that. So I want to pivot towards a little bit more longer-term looking here, a question on you talked about continuing to invest to see future growth. Can you talk about what are those areas and which you are investing to see that future growth?

到目前為止，我也祝賀第一財季在總體和雲基礎上最強勁的增量 ARR。您回答了與此相關的所有問題。所以我想從更長遠的角度來看這裡，一個關於你談到繼續投資以看到未來增長的問題。你能談談這些領域是什麼以及你正在投資哪些領域以看到未來的增長嗎？

Thanks, Nehal, for the question. Yes, we continuously assess our investment envelope to ensure that we're taking those dollars and we're putting them in the right areas of the business to get traction. Clearly, our focus on analytics is absolutely key. One of the recent analysts reported that many of our customers don't use all of the analytics capabilities that are built into the platform today. And we believe that those analytics capabilities can provide differentiated capabilities for our customers as you move forward. So that's going to be a key area of investment for us, and it's going to manifest in that continuing integration with AI/ML stacks on the cloud service providers.

謝謝，Nehal，提出這個問題。是的，我們不斷評估我們的投資範圍，以確保我們將這些資金投入到正確的業務領域以獲得牽引力。顯然，我們對分析的關注絕對是關鍵。最近的一位分析師報告說，我們的許多客戶並未使用當今平台中內置的所有分析功能。我們相信，隨著您的前進，這些分析功能可以為我們的客戶提供差異化的功能。因此，這將成為我們投資的一個關鍵領域，並將體現在與雲服務提供商的 AI/ML 堆棧的持續集成中。

We have a unique approach where -- when we say that we look at the Teradata VantageCloud as a platform, it means that we want to open that platform up so that data scientists can utilize the tooling and the tools that they use on an everyday basis to get to the data that's stored in Teradata, the most valuable data probably in the world. And so that is where our investment from a product capabilities is going to be focused in terms of artificial intelligence and machine learning. And we will continue to invest in motions like our customer success motion, which drives expansion along with our sales teams. We're going to continue to invest in ensuring that we get more market awareness.

我們有一種獨特的方法——當我們說我們將 Teradata VantageCloud 視為一個平台時，這意味著我們希望開放該平台，以便數據科學家可以利用他們每天使用的工具和工具獲取存儲在 Teradata 中的數據，這可能是世界上最有價值的數據。因此，這就是我們對產品功能的投資將集中在人工智能和機器學習方面。我們將繼續投資於我們的客戶成功動議等動議，這將與我們的銷售團隊一起推動擴張。我們將繼續投資以確保我們獲得更多的市場意識。

And I think what we've seen over this past quarter is that market awareness for the Teradata platform continues to grow. I think we had a note from Forrester that really backed that up from our perspective. And so we are absolutely committed to being a profitable growth company. As Claire mentioned in her remarks, we absorbed some currency headwinds in terms of our full year guidance and increased our operational guidance from that perspective. But we are very proud of how the company's executing.

我認為我們在上個季度看到的是 Teradata 平台的市場意識持續增長。我認為我們從 Forrester 那裡得到了一份說明，從我們的角度來看，它確實支持了這一點。因此，我們絕對致力於成為一家盈利的成長型公司。正如克萊爾在她的評論中提到的，我們在全年指導方面吸收了一些貨幣逆風，並從這個角度增加了我們的運營指導。但我們對公司的執行方式感到非常自豪。

As a follow-up to that, one of the areas that seems like, from a product innovation perspective, possibly would be data sharing from an existing customer to any of their collaborative partners. And then also, my understanding is that going to a cloud-based analytics structure then can enable you to unify both OLTP and OLAP. Is that something that's in your road map?

作為後續行動，從產品創新的角度來看，其中一個領域可能是現有客戶與其合作夥伴之間的數據共享。然後，我的理解是，轉向基於雲的分析結構可以讓您統一 OLTP 和 OLAP。這是你的路線圖中的東西嗎？

So Nehal, a couple of points there. Data sharing is something that Teradata has done for years and years. Our perspective on data sharing is that the data sharing capabilities that are provided by native services by the CSPs is going to give customers the most valuable data sharing ecosystem. And so we integrate with all of the data sharing services, call it data services from the hyperscalers. That essentially enhances the built and data sharing capabilities that are in our platform today. And we are very proud of our governance and the fact that we can enable our customers to really control and manage their data and save the Teradata ecosystem.

Nehal，有幾點。數據共享是 Teradata 多年來一直在做的事情。我們對數據共享的看法是，CSP 原生服務提供的數據共享能力將為客戶提供最有價值的數據共享生態系統。因此，我們集成了所有數據共享服務，稱之為超大規模數據服務。這從本質上增強了我們今天平台中的構建和數據共享功能。我們為我們的治理以及我們能夠讓我們的客戶真正控制和管理他們的數據並拯救 Teradata 生態系統這一事實感到非常自豪。

Just in terms of the future from a cloud database management systems perspective, I'd refer you to the Gartner report where they looked across a number of different use cases with different types of workloads, and in all of the -- all 4 Gartner use cases, Teradata comes up as #1. So we are the best enterprise data warehouse, the best data lake, the best analytical use cases deployed on the platform. And so we really believe that our platform and capability is solidly differentiated from our competition and allows all of those workloads to converge on the Teradata platform and the cloud.

就雲數據庫管理系統的未來而言，我建議您參考 Gartner 報告，他們在其中查看了具有不同類型工作負載的許多不同用例，並且在所有 4 個 Gartner 使用中案例中，Teradata 排名第一。所以我們是最好的企業數據倉庫，最好的數據湖，部署在平台上的最好的分析用例。因此，我們真的相信，我們的平台和能力在競爭中脫穎而出，並允許所有這些工作負載集中在 Teradata 平台和雲上。

The next question comes from Derrick Wood with TD Cowen.

下一個問題來自 Derrick Wood 和 TD Cowen。

Great. Congrats on a solid quarter. Steve, you just have a lot of revenue from financial services, a lot of customers in that vertical. This has certainly been topical in terms of trying to get a pulse on the demand behavior out of customers in the banking vertical. How did you guys see business activity in Q1? And have you sensed any change in behavior when you're looking at your pipeline, especially when it comes to the appetite to migrate the cloud?

偉大的。祝賀一個穩定的季度。史蒂夫，你從金融服務中獲得了很多收入，在那個垂直領域有很多客戶。就試圖了解銀行垂直客戶的需求行為而言，這無疑是熱門話題。你們如何看待第一季度的業務活動？當您查看您的管道時，您是否感覺到行為發生了任何變化，尤其是當涉及到遷移雲的需求時？

Yes. Thanks, Derrick. The -- just a couple of points to know. Just in terms of the bank failures that have happened on a global basis, we haven't had any direct exposure or impact from those financial services organizations. We deal with the largest, most successful, most robust financial services organizations in the world. And we still see a demand from them to want to transform, want to build the bank of the future, right? Build the financial services organization of the future.

是的。謝謝，德里克。 - 只需了解幾點。就全球範圍內發生的銀行倒閉而言，我們沒有受到這些金融服務組織的任何直接影響或影響。我們與世界上最大、最成功、最穩健的金融服務機構打交道。我們仍然看到他們想要轉型，想要建立未來銀行的需求，對嗎？打造未來的金融服務機構。

I was talking to one of our South American banking customers yesterday, and they have a tremendous appetite to continue to use data in a cloud context to transform the customer experience that they deliver every single day. And I don't think any organization is kind of backing off the fact that, in turbulent times, they have to be nimble, they have to be agile. They have to have the right solutions in place to drive the outcomes for their organization. And I think that the experience that Teradata has, the use cases that we have, the -- working through turbulent times and growth times, those use cases and experiences give us the capability to get a unique perspective to our customers and help them transform and migrate to the cloud better than anything else.

昨天我與我們的一位南美銀行客戶交談，他們非常希望繼續在雲環境中使用數據來改變他們每天提供的客戶體驗。而且我認為任何組織都不會放棄這樣一個事實，即在動盪時期，他們必須靈活，他們必須敏捷。他們必須有正確的解決方案來推動組織取得成果。而且我認為 Teradata 擁有的經驗，我們擁有的用例，在動盪時期和增長時期工作，這些用例和經驗使我們能夠以獨特的視角了解我們的客戶並幫助他們轉變和遷移到雲端比什麼都好。

Okay. And Claire, nice job on gross margins. You had a pretty good jump sequentially in recurring revenue gross margins. Can you give us a sense for what drove this in the quarter? And I know you guys don't break out public cloud gross margins, but can you give us a sense of where they are today or kind of how much room there is for improvement as you scale that part of the business?

好的。克萊爾，毛利率不錯。你的經常性收入毛利率環比大幅躍升。您能告訴我們是什麼推動了本季度的發展嗎？而且我知道你們不會打破公共雲的毛利率，但是你能告訴我們他們今天的情況嗎？或者當你擴展這部分業務時有多少改進空間？

Yes, absolutely. So as you can see, we've had really strong performance from a gross margin. And as you look at recurring revenue as a percentage of total revenue, it's now up at 82%, and our recurring revenue runs at much higher margin. So that's great from an overall mix standpoint for total gross margin. As you specifically look at the recurring margins, we also had a strong performance, as you said, at 75%. We were helped as we are normally in Q1 with regards to higher upfront revenue recognition. So there is a couple of points there that helped us from an overall performance. So that's in line with normal seasonality. And we are seeing strong renewals, and that's also helped us from a recurring revenue standpoint and helped to keep that margin strong. So overall, happy with the performance to your point there, Derrick.

是的，一點沒錯。所以正如你所看到的，我們的毛利率表現非常強勁。當您查看經常性收入佔總收入的百分比時，它現在上升到 82%，而且我們的經常性收入的利潤率要高得多。因此，從總毛利率的整體組合角度來看，這很好。當您具體查看經常性利潤率時，正如您所說，我們的表現也很強勁，達到 75%。我們得到了幫助，因為我們通常在第一季度獲得更高的前期收入確認。因此，有幾點對我們的整體表現有所幫助。所以這符合正常的季節性。我們看到了強勁的續約，這也從經常性收入的角度幫助了我們，並幫助保持了強勁的利潤率。總的來說，Derrick 對你的表現感到滿意。

With regards to our cloud margins overall, as you say, we don't disclose the numbers, but I'm pleased with the progress that we're making. We still are making good margin expansion progress on our cloud margins as we continue to scale. And with a strong performance that we've seen in Q1 and being able to reaffirm the full year growth, we anticipate those cloud gross margins to continue to expand. They still are a dilutive impact on our total gross margin, but they are improving year-over-year and continuing to expand. And we're definitely on track with our overall plan with regards to cloud gross margins.

關於我們的整體雲利潤率，正如您所說，我們不會透露這些數字，但我對我們正在取得的進展感到滿意。隨著我們繼續擴大規模，我們的雲利潤率仍在取得良好的利潤率擴張進展。憑藉我們在第一季度看到的強勁表現並能夠重申全年增長，我們預計這些雲計算毛利率將繼續擴大。它們仍然對我們的總毛利率產生稀釋影響，但它們逐年改善並繼續擴大。而且我們在雲毛利率方面的總體計劃絕對是正確的。

Our next question comes from the line of Wamsi Mohan with Bank of America.

我們的下一個問題來自美國銀行的 Wamsi Mohan。

It's Ruplu filling in for Wamsi today. And I have 2 questions for Claire. The first one, Claire, just as a follow-up to the prior question. So you got some benefit from upfront recurring revenue payments in the first quarter. Can you give us your thoughts on the rest of the year? Should we expect any benefit in any of the remaining quarters? And if not, should we expect the margins on the recurring revenue side to kind of moderate as we go through 2Q, 3Q, 4Q? So just if you can talk about the puts and takes that can drive either the margins to sustain or moderate lower.

今天是 Ruplu 代替 Wamsi。我有兩個問題要問克萊爾。第一個，克萊爾，作為對先前問題的跟進。因此，您從第一季度的預付經常性收入付款中獲得了一些好處。你能告訴我們你對今年餘下時間的看法嗎？我們是否應該期望在剩餘的任何季度中獲得任何好處？如果不是，我們是否應該期望經常性收入方面的利潤率在我們經歷第二季度、第三季度、第四季度時有所緩和？因此，如果您可以談論可以推動利潤率維持或適度降低的看跌期權和看跌期權。

Yes. So thank you, Ruplu for the questions. So we do anticipate the impact of upfront margins in the rest of the year to be lower than what we have seen in Q1. And again, that is in line with normal seasonality as we move throughout the year. And overall, for fiscal '23, we are expecting the impact to be less than we saw in '22, and '22 was less than we saw in '21. So this definitely is becoming less of a material impact as we get through that kind of refresh cycle, and we continue to renew and expand with existing on-prem customers.

是的。謝謝 Ruplu 提出的問題。因此，我們確實預計今年剩餘時間預付利潤率的影響將低於我們在第一季度看到的水平。同樣，這與我們全年移動時的正常季節性一致。總體而言，對於 23 財年，我們預計其影響將小於 22 財年，而 22 財年的影響小於 21 財年。因此，隨著我們經歷那種更新周期，這肯定會變得越來越不重要，我們將繼續更新和擴展現有的本地客戶。

So the main thing with regards to our gross margin as we move through the year is what are we saying about our cloud margins and the cloud mix shift. So as we move throughout the year, the proportion of our business that will come from cloud will increase, which is great to see. At the moment, as I mentioned, it's still a dilutive impact. So we will see a decrease in our overall gross margins as our cloud business continues to grow. But this is something that's built into our outlook, so into our long-range plan and the guidance that we gave at last earnings with regards to our long-range plan. And that will just take us another year or so to get our cloud margin up to the overall average of our total gross margin.

因此，關於我們今年毛利率的主要問題是我們對雲利潤率和雲組合轉變的看法。因此，隨著我們全年的遷移，來自云的業務比例將會增加，這很值得一看。目前，正如我所提到的，它仍然是一種稀釋影響。因此，隨著我們的雲業務持續增長，我們的整體毛利率將下降。但這是我們的展望中所包含的東西，因此是我們的長期計劃以及我們在最後一次收益中就我們的長期計劃給出的指導。這只需要我們再花一年左右的時間才能使我們的雲利潤率達到我們總毛利率的總體平均水平。

So yes, a slight headwind as we move through the year to our gross margins coming from the great growth in cloud that we are seeing. And that's all factored into the overall outlook. And as you saw, we were able to reiterate the midpoint of our non-GAAP EPS range. So on track to deliver that, too.

所以，是的，隨著我們今年的毛利率從我們所看到的雲計算的巨大增長中轉移，這是一個輕微的逆風。而這一切都被納入了整體前景。正如您所見，我們能夠重申我們的非 GAAP EPS 範圍的中點。所以也有望實現這一目標。

Okay. Can I ask you a follow-up on capital allocation. So you're still targeting at least 75% of -- returning at least 75% of free cash flow. So couple of points there, how should we think about the linearity of free cash flow? And then when you trade off buybacks versus maybe taking out more debt, can you kind of give us your thoughts on how we should think about that? What is the pace of buybacks we should expect? And how should we think about interest expense? Any -- are you targeting to take out any debt, reduce debt? Or just your thoughts on buybacks versus M&A versus other uses of cash.

好的。能否請您跟進資金配置。所以你的目標仍然是至少 75% - 返還至少 75% 的自由現金流。那麼有幾點，我們應該如何考慮自由現金流的線性？然後，當你權衡回購與可能承擔更多債務時，你能給我們一些關於我們應該如何考慮的想法嗎？我們應該期待的回購速度是多少？我們應該如何考慮利息支出？任何 - 你的目標是消除任何債務，減少債務嗎？或者只是你對回購、併購和其他現金用途的看法。

Sure. Yes. So we haven't changed our overall capital allocation strategy. So it's all about returning value to shareholders, and it's focused on a number of different items. So we obviously want to reinvest back into the business. And Steve mentioned about some of those areas that we are investing in to be able to drive future profitable growth. Another key area is share repurchases. We have committed to deliver at least 75% of free cash flow in fiscal 2023, which was an increase from fiscal '22 from the target that we had, but we obviously overdelivered on that target in '22. So at least 75% of free cash flow will be returned to shareholders in terms of share repurchases. In Q1, we are on track to execute and deliver that.

當然。是的。所以我們沒有改變我們的整體資本配置策略。所以這一切都是為了向股東回報價值，它專注於許多不同的項目。因此，我們顯然希望重新投資於業務。史蒂夫提到了我們正在投資的一些領域，以推動未來的盈利增長。另一個關鍵領域是股票回購。我們承諾在 2023 財年實現至少 75% 的自由現金流，這比我們設定的 22 財年目標有所增加，但我們顯然在 22 財年超額完成了該目標。因此，至少有 75% 的自由現金流將以股份回購的形式返還給股東。在第一季度，我們有望執行和交付。

M&A continues to still be part of our strategy. We're very much looking at what's out there, but nothing, as you have seen, that's not something in the current market that has been a big part of our capital allocation. But they are all the areas that we are focusing on. It's very much returns-based. We're still committing to that 75%. We're on track to deliver that. You saw that we were at $88 million in Q1 in terms of share repurchases and recommitting to the 75%.

併購仍然是我們戰略的一部分。我們非常關注那裡有什麼，但正如你所看到的，沒有什麼不是當前市場上我們資本配置的重要組成部分。但它們都是我們關注的領域。這在很大程度上是基於回報的。我們仍然致力於那 75%。我們正在按計劃實現這一目標。你看到我們在第一季度的股票回購和重新承諾 75% 方面達到了 8800 萬美元。

I think you asked a question on free cash flow linearity. So I was very pleased with the $105 million of free cash flow generation in Q1. And as you think about the rest of the year, I would just say looking at last year's kind of linearity for the rest of the year is probably the best approach and to still use our midpoint of the guide that we have given, which is a range of $320 million to $360 million.

我想你問了一個關於自由現金流線性的問題。因此，我對第一季度產生的 1.05 億美元的自由現金流感到非常滿意。當你考慮今年剩下的時間時，我只想說，在今年剩下的時間裡看看去年的線性可能是最好的方法，並且仍然使用我們給出的指南的中點，這是在 3.2 億美元到 3.6 億美元之間。

The next question comes from Raimo Lenschow with Barclays.

下一個問題來自巴克萊銀行的 Raimo Lenschow。

This is Sheldon on for Raimo. It looks like EMEA and APJ underlying revenue growth improved from Q4. Can you speak to any demand trends across these regions? Are conversations starting to trend more positively? And then along with the slightly slower activity internationally, are there any differences and willingness to migrate to the cloud or preferences for contract types that you see from domestic versus international?

這是雷莫的謝爾頓。看起來 EMEA 和 APJ 的基礎收入增長比第四季度有所改善。您能談談這些地區的需求趨勢嗎？對話是否開始變得更積極？然後隨著國際活動略有放緩，您從國內和國際看到的遷移到雲的差異和意願或對合同類型的偏好是否存在差異？

Yes. Thanks for the question, Sheldon. Clearly, one of the strengths that we've got is a diversified portfolio. I mentioned the diversification from an industry and sector perspective, but also that diversification across the different geographies, gives us some strength as well. We saw some really great migrations to the cloud and/or EMEA and APJ businesses as we've gone through the last 12 months, some critical -- mission-critical workloads being migrated by some really large enterprises across the world in terms of driving that.

是的。謝謝你的問題，謝爾頓。顯然，我們擁有的優勢之一是多元化的投資組合。我從行業和部門的角度提到了多元化，但不同地區的多元化也給了我們一些力量。在過去的 12 個月裡，我們看到了一些非常棒的向雲和/或 EMEA 和 APJ 業務的遷移，一些關鍵的 - 任務關鍵型工作負載正在被世界各地的一些非常大的企業遷移，以推動這一點.

But Claire, do you want to make some points in terms of that revenue position?

但是克萊爾，你想就收入狀況提出一些觀點嗎？

Yes, absolutely. So for the EMEA business, obviously, we're seeing the impact of currency still year-over-year on the revenue reported numbers. So they're actually -- there's a slight decline in constant currency. And what we have to remind of, the Russia exit was not fully removed from our Q1 of '22. So there was still $10 million of total revenue in our Q1 '22 results, which obviously is all in EMEA. So that does need to be taken into account. I think the underlying business is growing. The underlying business, we are seeing good momentum and good traction in the market, as Steve said, and we're pleased with that.

是的，一點沒錯。因此，對於 EMEA 業務，顯然，我們看到貨幣對報告收入數字的影響仍在逐年增長。所以他們實際上 - 固定匯率略有下降。我們必須提醒的是，俄羅斯出口並未完全從我們的 22 年第一季度移除。因此，我們在 22 年第一季度的業績中仍有 1000 萬美元的總收入，這顯然全部在歐洲、中東和非洲地區。所以這確實需要考慮在內。我認為基礎業務正在增長。正如史蒂夫所說，基礎業務，我們看到了市場的良好勢頭和良好的牽引力，我們對此感到滿意。

With regards to Asia, again, we see the overall impact of currency. We also see the impact of our kind of strategy there in terms of reducing the overall consulting and perpetual business and seeing a little -- and some pressure on China as well. So we have made the decision to move out of the direct business in China. So there's a slight impact there as we come through. But from an overall impact and materiality to the company's results, it isn't material.

關於亞洲，我們再次看到了貨幣的整體影響。我們還看到了我們的戰略在減少整體諮詢和永久業務方面的影響，並看到了一點 - 以及對中國的一些壓力。所以我們決定退出在中國的直營業務。因此，當我們通過時，那裡會有輕微的影響。但從對公司業績的整體影響和重要性來看，這並不重要。

Got it. And then a quick follow-up, if I may. Can you speak more to the potential opportunity from the expanded partnerships that you talked about today with the CSPs and the integration of more ML model capabilities, Dell, DBT which we've seen is very popular? Any of these initiatives you're particularly excited about that could be incremental in the near term?

知道了。然後快速跟進，如果可以的話。您能否更多地談談您今天談到的與 CSP 的擴展合作夥伴關係以及更多 ML 模型功能的集成所帶來的潛在機會，戴爾，我們已經看到 DBT 非常受歡迎？您對這些舉措中的任何一個感到特別興奮，這些舉措在短期內可能會漸進？

Yes. We're really proud of our integrations with the hyperscalers and the teamwork that we've got with hyperscalers. Doing successively enormous deals on the AWS marketplace. It certainly give us confidence in our partnership with AWS. Our partnership with Azure and Microsoft in terms of really generating fantastic enterprise capabilities is awesome. If I think about the largest deal that we did, really proud of that 8-figure deal with a health care organization in the United States. We, as a company, believe that data can transform the business as working people led -- and what we're really excited about is helping health care organizations in the U.S., lower that total cost of care. And we're doing that in partnership with the hyperscalers, and it's great to see those partnerships pay off.

是的。我們為我們與超大規模企業的整合以及我們與超大規模企業的團隊合作感到非常自豪。在 AWS 市場上連續進行大量交易。這無疑讓我們對與 AWS 的合作充滿信心。我們與 Azure 和 Microsoft 在真正產生出色的企業功能方面的合作非常棒。如果我想到我們所做的最大一筆交易，我真的為與美國一家醫療保健組織達成的 8 位數交易感到自豪。作為一家公司，我們相信數據可以改變工作人員領導的業務——我們真正興奮的是幫助美國的醫療保健組織降低醫療總成本。我們正在與超大規模企業合作，很高興看到這些合作夥伴關係獲得回報。

Just from a DBT perspective, opening the platform to data science tools, if I think about the retailer of the future example that I gave where we're using large language models, think of like ChatGPT where the feature engineering is done on VantageCloud and then the training is done in AWS SageMaker and then the scoring is done in VantageCloud so that, that model can be deployed successfully, that's a real great example of integration, utilizing mission-critical trusted enterprise data and a gen AI context to deliver real business outcomes. We see that that's going to grow -- that marketplace is going to continue to grow.

僅從 DBT 的角度來看，向數據科學工具開放平台，如果我想到我給出的未來示例中的零售商，我們正在使用大型語言模型，想想像 ChatGPT，在 VantageCloud 上完成特徵工程，然後培訓在 AWS SageMaker 中完成，然後評分在 VantageCloud 中完成，這樣模型就可以成功部署，這是一個真正的集成示例，利用任務關鍵型可信企業數據和 gen AI 上下文來提供真正的業務成果.我們看到這將會增長——這個市場將繼續增長。

And then the final partnership was with Dell that we mentioned. We've now got to the point where our software can run on Dell converged infrastructure. And therefore, we're super excited about the private cloud capabilities of Teradata Vantage and really enabling our customers to come up with a hybrid cloud environment that's optimized to how they want to work into the future.

然後最後的合作夥伴關係是我們提到的戴爾。現在，我們的軟件可以在戴爾融合基礎架構上運行。因此，我們對 Teradata Vantage 的私有云功能感到非常興奮，並真正使我們的客戶能夠提出一個混合雲環境，該環境針對他們未來的工作方式進行了優化。

We now have a question from Erik Woodring with Morgan Stanley.

我們現在有來自摩根士丹利的 Erik Woodring 的問題。

This is Maya on for Erik. Just one question from me for Steve. I appreciate you providing the overall net expansion rate for customers in the quarter. But for your customers that have already primarily migrated to the cloud, how should we think about their net expansion and how that trended in March? And how do you think about that trending over the next few quarters?

這是埃里克的瑪雅人。我只問史蒂夫一個問題。感謝您提供本季度客戶的整體淨擴張率。但是對於已經主要遷移到雲的客戶，我們應該如何考慮他們的淨擴張以及 3 月份的趨勢如何？您如何看待未來幾個季度的趨勢？

Yes. I think we mentioned in our prepared remarks that we were really happy with customers that have even started with us on VantageCloud in the last quarter in Q4, expanding with us into Q1. So as we modeled out our net expansion rate around that 120%, we're really -- we're pleased with the [119%], especially since we get the expansion at the point of migration, which isn't included in that number. And so -- and the fact that if you look at our overall growth for the quarter, and that 89% year-on-year cloud ARR growth being predominantly driven by expansions, just tells us that there's faith in the Teradata platform, that people are moving more data and more workload into the Teradata platform and getting more business benefit out of the platform. So we see it as a really strong indicator for the rest of the year, Maya. Thank you for the question.

是的。我想我們在準備好的評論中提到，我們對客戶非常滿意，他們甚至在第四季度的最後一個季度開始使用 VantageCloud，並與我們一起擴展到第一季度。因此，當我們在 120% 左右模擬我們的淨擴張率時，我們真的 - 我們對 [119%] 感到滿意，特別是因為我們在遷移時得到擴張，這不包括在內數字。因此 - 事實上，如果你看看我們本季度的整體增長，以及 89% 的同比雲 ARR 增長主要是由擴展驅動的，這告訴我們人們對 Teradata 平台有信心，人們正在將更多數據和更多工作負載轉移到 Teradata 平台，並從該平台獲得更多商業利益。因此，我們將其視為今年剩餘時間的一個非常強大的指標，Maya。感謝你的提問。

At this time, I will turn the call back over to Steve McMillan for his final remarks.

此時，我會將電話轉回給 Steve McMillan，聽取他的最後評論。

Thank you, operator. Thanks, everyone, for joining us today. We're really pleased with our strong start to the year, and we've got great confidence that our people and our technology innovations are going to keep us moving ahead. We look forward to talking with you all next quarter. Thank you very much.

謝謝你，運營商。謝謝大家今天加入我們。我們對今年的強勁開局感到非常高興，我們非常有信心我們的員工和技術創新將使我們繼續前進。我們期待在下個季度與大家交談。非常感謝。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連接。