Teradata (TDC) Earnings: Q3 2026 Results

The quarter ended September 30, 2026 and Teradata published the results on November 5, 2026. Revenue and diluted EPS are shown against Q3 2025, the same quarter a year earlier, which takes seasonal swings out of the comparison. Teradata reports EPS two ways: GAAP, under the accounting rules every US filer follows, and non-GAAP, which leaves out items the company considers outside its operating results. The release reconciles the two, and when they diverge, the reconciliation says why.

• Teradata settled its litigation with SAP on February 19, 2026 and received a gross payment of $480 million in Q1 2026, which is why Q1 2026 GAAP diluted EPS was $3.47. The settlement does not affect Q3 2026 results, but it is inside Teradata's full-year GAAP EPS and cash flow outlook.

Source: Teradata Q3 2026 results, November 5, 2026. Also in the Form 10-Q for the quarter ended September 30, 2026. Figures as reported; checked against the release on November 10, 2026.

How Teradata splits revenue in its own release, under its own labels, for Q3 2026 against Q3 2025. Indented lines are parts of the line above them.

• Teradata's Recurring revenue revenue was $359 million in Q3 2026, down 2% from $366 million in Q3 2025, 90% of total revenue.
• Teradata's Perpetual software licenses, hardware and other revenue was $3.0 million in Q3 2026, flat on $3.0 million in Q3 2025, under 1% of total revenue.
• Teradata's Consulting services revenue was $37.0 million in Q3 2026, down 21% from $47.0 million in Q3 2025, 9% of total revenue.

Segment lines are the figures writers cite most often, because they show where the growth in a quarter came from. Companies redraw their segments from time to time and restate the prior year to match, so a year-ago figure here can differ from the one printed a year ago. When that has happened, the note above says so.

From the earnings release

In its Q3 2026 release, Teradata said:

“Total revenue in the range of -4% to -6% year-over-year”

“Non-GAAP diluted EPS is expected to be in the range of $0.58 to $0.62 per share”

“Non-GAAP diluted EPS is now expected to be in the range of $2.86 to $2.90 per share”

“Total ARR growth of 2% to 4% year-over-year”

Source: Teradata Q3 2026 release, Nov 5, 2026.

This is the company's own guidance as of Nov 5, 2026, quoted as given. Walnut does not make forecasts of its own. Analyst estimates for the coming quarters are on the TDC forecast page.

Revenue and diluted EPS for the last 5 quarters. Each date links to that quarter's release.

GAAP total revenue and diluted EPS, each as first reported in that quarter's release. Q1 2026 includes the SAP settlement.

We do not hold a confirmed date for Teradata's next report. Companies post the date on their investor relations site a few weeks ahead, usually with the time of the conference call.

Each quarter keeps its own page with the figures as reported, so a link to one stays pointed at the same numbers after the next report.

• Q3 2026 (this page), reported Nov 5, 2026

Teradata's total revenue fell 4% to $399 million in Q3 2026 from $416 million. Recurring revenue, $359 million, was 90% of the total against 88% a year earlier. Consulting services fell 21% to $37 million, and perpetual software licenses, hardware and other were $3 million. (Teradata Q3 2026 release, Nov 5, 2026)

Recurring revenue fell 2%. Teradata's 10-Q says the decline came from lower annual upfront software subscription revenue, offset in part by growth in Public Cloud revenue. It puts the $10 million drop in consulting revenue down to lower order performance in the second half of 2025 and the first half of 2026. (Teradata Form 10-Q, Q3 2026, Nov 6, 2026; Teradata Q3 2026 release, Nov 5, 2026)

Teradata tracks Total ARR, the annual contract value of active term-based contracts, which rose 1% to $1,512 million, or 2% in constant currency. Public Cloud ARR rose 11% to $700 million from $633 million, Subscription ARR (on-premises subscriptions and private cloud) was $744 million against $765 million, and ARR from legacy maintenance and software upgrade rights fell to $68 million from $92 million. (Teradata Form 10-Q, Q3 2026, Nov 6, 2026; Teradata Q3 2026 release, Nov 5, 2026)

Teradata's GAAP diluted EPS was $0.40 against $0.42, and non-GAAP diluted EPS was $0.70 against $0.72. The non-GAAP figure excludes stock-based compensation ($0.34 per share) and reorganization and other costs ($0.01), less an income tax adjustment of $0.05. GAAP net income was $38 million and non-GAAP net income $67 million. (Teradata Q3 2026 release, Nov 5, 2026)

The GAAP effective tax rate was 24.0% in the quarter and the non-GAAP rate 20.2%, against 25.9% and 23.3% a year earlier. GAAP operating margin was 13.5% against 14.7%, and non-GAAP operating margin 21.8% against 23.6%. (Teradata Q3 2026 release, Nov 5, 2026)

Diluted weighted average shares were 95.5 million in both periods. Teradata repurchased about 4.5 million shares at an average $29.55 in the first nine months of 2026, and it repaid the remaining $450 million of its term loan debt this year. Over nine months, GAAP EPS of $4.36 includes $3.73 per share from the SAP settlement. (Teradata Form 10-Q, Q3 2026, Nov 6, 2026; Teradata Q3 2026 release, Nov 5, 2026)

Diluted EPS divides net income by the weighted average number of shares outstanding in the quarter, plus the shares that options and other equity awards could add. Buybacks shrink that count and lift EPS for the same profit; share issuance and stock awards enlarge it.

Teradata publishes quarterly and full-year guidance in its release. For Q4 2026 it expects total revenue down 4% to 6% year over year, recurring revenue down 2% to 4%, GAAP diluted EPS of $0.26 to $0.30 and non-GAAP diluted EPS of $0.58 to $0.62. (Teradata Q3 2026 release, Nov 5, 2026)

For full year 2026 Teradata raised its EPS ranges to $4.63 to $4.67 GAAP and $2.86 to $2.90 non-GAAP, narrowed total revenue to -1% to flat and recurring revenue to 1% to 2% growth, and kept Total ARR growth of 2% to 4% and adjusted free cash flow of $330 million to $350 million. Cash flow from operations of $665 million to $685 million includes a $315 million after-tax net benefit from the SAP settlement. (Teradata Q3 2026 release, Nov 5, 2026)

A consensus figure is the average of the models published by the analysts who cover Teradata, collected by a data provider and revised up to the day of the report. A quarter that lands above it says how expectations were set as much as how the business did, and the share price on the day also reflects the guidance and the lines no consensus covers.

The consensus figures on this page are Yahoo Finance's, as pulled on the date shown. Each comes with the number of analysts behind it; the smaller that number, the more one revised estimate can move the average.

The figures below are the ones Teradata's own release and filings put weight on for Q3 2026, with the latest reported value for each.

What the quarter means for a holding is a separate question from what it reported. The case for and against owning TDC is on is TDC a buy or a sell?, what analysts expect next is on the TDC forecast, and what the company does is on the Teradata (TDC) stock page.

Every number on this page can be traced to a document Teradata published. Checking one takes a couple of minutes, and it is worth doing before you quote a figure anywhere.

• The results release is the document linked in the source line above. Companies publish it on their investor relations site at the moment results go out, and it carries the headline tables: revenue, operating income, net income and EPS for the quarter and the year-ago quarter.
• The same release is filed with the SEC as Exhibit 99.1 to a Form 8-K under Item 2.02, usually on the day of the report. The SEC copy does not change after the fact, which makes it the safer thing to link when you cite a number.
• The quarterly report (Form 10-Q) follows within a few weeks and carries the full financial statements, the segment note and management's discussion of what changed. The fourth quarter is covered by the annual report (Form 10-K) instead.
• Restated comparisons are flagged in the notes on this page. When a company redraws its segments or changes how it adjusts EPS, it restates the year-ago column, so the year-ago figure in a new release can differ from the one printed a year ago. This page always uses the comparison in the newer release, because that is the like-for-like one.

A walk-through of every line in a release, with what each one tells you, is in how to read an earnings report.