Mission Statement, Vision, & Core Values of Teradata Corporation (TDC)

Mission Statement, Vision, & Core Values of Teradata Corporation (TDC)

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The Mission Statement, Vision, and Core Values of Teradata Corporation (TDC) aren't just corporate boilerplate; they're the strategic compass guiding a complex cloud transition, a shift that saw Total Annual Recurring Revenue (ARR) hit $1.490 billion in Q3 2025, even as total revenue dipped 5%. You're looking at a company trying to live its mission to transform how business works through data while navigating the choppy waters of a cloud-first market, projecting Public Cloud ARR growth of 14% to 18% for the full year. Does a vision focused on Pervasive Data Intelligence really translate to the projected Non-GAAP diluted EPS range of $2.38 to $2.42, and what does this mean for your investment thesis? Let's dig deep into the principles-'We dig deep and aim high'-that underpin Teradata Corporation's financial reality.

Teradata Corporation (TDC) Overview

You're looking for a clear, no-nonsense assessment of Teradata Corporation, and the takeaway is simple: the company is successfully executing its cloud-first pivot, even as legacy revenue declines. Teradata, founded in 1979, pioneered the data warehousing industry, but its current focus is delivering a complete cloud analytics and data platform for artificial intelligence (AI) workloads.

The core product is Teradata VantageCloud, a hybrid and multi-cloud platform that integrates with the powerful in-platform analytics engine, ClearScape Analytics. This combination helps enterprises manage massive, complex data volumes and operationalize AI at scale. They also recently introduced new offerings like AgentBuilder and AI Services in late 2025 to capitalize on the growing demand for agentic AI-autonomous software agents that act on data to drive business outcomes. For the trailing twelve months (TTM) ended September 30, 2025, the company reported total revenue of $1.65 billion.

  • Founded in 1979, a data warehousing pioneer.
  • Core platform is Teradata VantageCloud.
  • TTM revenue (as of Q3 2025) was $1.65 billion.

Q3 2025 Financial Performance: The Cloud Shift in Numbers

The latest results from the third quarter of 2025 show the expected trade-off between the old and new business models. Total revenue for Q3 2025 was $416 million, which was actually a beat against analyst estimates, but still a 5% decline year-over-year. Here's the quick math: the decline is mainly in the legacy product and consulting services, but the cloud business is growing fast, which is exactly what you want to see in a cloud transformation story.

The critical metric is the Public Cloud Annual Recurring Revenue (ARR), which is the annual value of all cloud contracts. This figure grew 11% year-over-year to $633 million in Q3 2025, showing strong market adoption of the cloud platform. Recurring revenue, which now makes up 88% of total revenue, was $366 million for the quarter. The full-year 2025 outlook reaffirms this trend, projecting Public Cloud ARR growth to be between 14% and 18% year-over-year.

Operationally, Teradata is defintely managing the transition well. Non-GAAP diluted Earnings Per Share (EPS) for Q3 2025 was $0.72, and Free Cash Flow (FCF) was a solid $88 million. They are guiding for full-year 2025 FCF to be in the range of $260 million to $280 million, which provides a healthy cushion for continued investment in their AI capabilities.

Teradata: A Leader in the AI Data Platform Race

When you look at the data analytics landscape, Teradata Corporation is consistently positioned as a leader, especially as the industry shifts to prioritize AI. In the Q2 2025 Forrester Wave™: Data Management For Analytics Platforms report, Teradata was named a Leader. This isn't just a vanity title; it validates their strategy of building a platform that can handle the massive, complex query volumes required for modern AI workloads.

The company is focusing on what they call the knowledge platform for the autonomous enterprise, which means providing the trusted, harmonized data necessary to power sophisticated agentic AI applications. Their ability to operationalize AI and analytics at scale, whether on-premises or in a multi-cloud environment, sets them apart. If you want to dive deeper into how this history and strategy translate into their market position, you can find more here: Teradata Corporation (TDC): History, Ownership, Mission, How It Works & Makes Money.

Teradata Corporation (TDC) Mission Statement

You're looking for the bedrock of Teradata Corporation's (TDC) strategy, and honestly, you need to look no further than their mission statement. It's not just a feel-good phrase; it's the operating thesis that guides their shift to a cloud-first, AI-driven model. The mission is: We transform how business work and people live through the power of data. This statement is a clear commitment to delivering high-quality, actionable intelligence, and it's directly tied to their financial performance, like the raised full-year 2025 Non-GAAP diluted Earnings Per Share (EPS) guidance of $2.38 to $2.42 per share.

A mission statement this clear acts as a filter for all strategic decisions, from product development-like the new AI Factory solution-to capital allocation. For a deeper dive into how this mission evolved, you can check out Teradata Corporation (TDC): History, Ownership, Mission, How It Works & Makes Money. It's the compass that keeps a company focused, especially when navigating a competitive market where Q3 2025 total revenue was $416 million, a year-over-year decline of 5.5%.

Transforming How Business Work

The first core component of the mission focuses on operational transformation. This means providing the tools for enterprises to make faster, more confident decisions. Teradata Corporation does this by offering a unified data environment through its VantageCloud platform, which is critical for complex, enterprise-scale data warehousing and analytics. The goal is to move clients beyond simply storing data to actually leveraging it for autonomous business workflows.

This commitment to business outcomes is evident in the stability of their revenue model. In Q3 2025, recurring revenue-the predictable, subscription-based income-was 88% of total revenue, up from 85% in the same quarter last year. That's a strong signal that customers are sticking with the platform for their core operations. Plus, the company is targeting over $1 billion in Cloud Annual Recurring Revenue (ARR) by the end of fiscal 2025, which shows a clear, measurable focus on the future of enterprise data.

  • Drive confident business decisions.
  • Enable faster innovation cycles.
  • Ensure operational efficiency at scale.

Transforming How People Live

The second component, transforming how people live, is the empathetic, real-world impact of their technology. It's about the downstream effect of better enterprise decisions. Think about a financial services company using Teradata to detect fraud faster, or a healthcare provider optimizing supply chains to ensure critical medical supplies reach patients quicker. These aren't abstract benefits; they are tangible improvements in everyday life.

This part of the mission is directly supported by the company's focus on trusted AI and data governance, which is defintely non-negotiable in highly regulated industries. For example, the launch of Teradata AI Factory, an integrated solution for private, on-premises AI, is designed to give clients the security and control needed for sensitive data use, ensuring ethical and compliant AI outcomes that ultimately benefit the end consumer.

Here's the quick math on customer trust: Teradata earned the 2025 Top Rated Awards from TrustRadius, a recognition that speaks to the real-world value and quality delivered to users. When a company's platform helps manage trillions of digital interactions, as Teradata's does, the quality of that data directly impacts millions of people.

Through the Power of Data

The final component is the mechanism: the power of data. This is where Teradata's core technology and innovation strategy come into play. Their vision is to be the leading cloud analytics software provider that leverages 100% of the data to uncover real-time intelligence at scale. This isn't just about big data; it's about pervasive data intelligence-making all data, structured and unstructured, available for AI and machine learning (ML) workloads.

The company's strategic shift to the cloud is the engine for this power. As of Q2 2025, Public Cloud ARR had increased to $634 million, an impressive 17% increase year-over-year, which shows customers are rapidly adopting the flexible, scalable platform. This cloud growth, paired with innovations like the Enterprise Vector Store for Agentic AI workloads, is what allows their clients to move beyond basic analytics to truly predictive, game-changing insights. The full-year 2025 Free Cash Flow guidance of $260 million to $280 million provides the capital to keep funding this high-impact innovation.

Teradata Corporation (TDC) Vision Statement

You're looking for the bedrock of Teradata Corporation's strategy, and honestly, it boils down to one simple, powerful idea: enabling confident, high-impact decisions for their customers. That focus is what drives their financial performance, especially as they lean into the Agentic AI revolution. Their vision, or what they call their Purpose, is straightforward: to build a better future for all by inspiring the confidence for people to make the right business decisions, positively impacting lives every day.

This isn't just corporate-speak; it maps directly to their cloud-first transformation. The market is rewarding this clarity, with the company raising its full-year 2025 Non-GAAP diluted Earnings Per Share (EPS) guidance to a range of $2.38 to $2.42 per share, a defintely strong signal of execution. That EPS beat shows the strategy is working, even as the company navigates a transition away from older revenue streams.

Inspiring Confidence for Breakthrough Decisions

The core of Teradata Corporation's mission, or their 'Story,' is about empowering companies to quickly seize new opportunities and evolving customer needs. They do this by providing unparalleled data accuracy, agility, and speed. This is the practical application of their vision: turning massive, complex data into actionable knowledge that allows clients to 'Make breakthrough decisions.'

The financial opportunity here is massive, and it's tied to their hybrid cloud analytics and data platform for AI. Teradata Corporation expects its Public Cloud Annual Recurring Revenue (ARR) growth to be in the range of 14% to 18% year-over-year in 2025, which is a clear indicator of customer commitment to their cloud-first strategy. That growth is the engine. You can see more on the foundation of this shift at Teradata Corporation (TDC): History, Ownership, Mission, How It Works & Makes Money.

Driving Positive Impact with Enterprise AI

The 'Drive positive impact' element of their mission is where the rubber meets the road-it's about creating results that help customers thrive. This means leveraging their deep industry expertise to solve mission-critical, real-world problems. Think of a logistics company optimizing delivery routes to cut carbon emissions, or a healthcare provider using predictive insights to improve patient outcomes. That's the impact.

For the full fiscal year 2025, the company's total revenue guidance is between $1.6 billion and $1.7 billion, with a focus on high-margin recurring revenue. This revenue stability supports their investment in new AI-focused products like the Enterprise Vector Store and the Teradata AgentBuilder, which are essential for driving this positive, scalable impact for clients.

Core Values: Customer-Driven Innovation and Accountability

Teradata Corporation's Principles-their core values-are the guardrails for how they execute this vision and mission. They boil down to three key pillars that guide every action, from product development to client support:

  • Customer driven: Innovating with the customer's future in mind.
  • Innovate with purpose: Providing real-time insights as a cloud-first company.
  • Accountability to each other: Trusting, collaborating transparently, and tackling challenges head-on.

This focus on execution and accountability is what has allowed them to project Free Cash Flow (FCF) for fiscal year 2025 in a healthy range of $260 million to $280 million. Here's the quick math: generating that level of free cash flow, while simultaneously growing their Public Cloud ARR at a double-digit rate, shows a disciplined, customer-driven approach to their cloud transition. They are funding their innovation internally. Still, what this estimate hides is the continued pressure on total revenue, which is projected to be down slightly year-over-year, a natural part of shifting from perpetual licenses to a subscription model.

Teradata Corporation (TDC) Core Values

You're looking at Teradata Corporation (TDC) not just for its cloud analytics platform, but for the underlying philosophy that drives its financial and technological pivot. As a seasoned analyst, I can tell you that their core values aren't just posters on a wall; they are the strategic pillars supporting their cloud-first transformation and the projected 2025 financial results. They are the lens through which you should view their commitment to innovation and market position.

Teradata's values are direct and action-oriented: We dig deep and aim high; We rise as one; and We raise up our customers and our world. This framework maps directly to their push into AI (Artificial Intelligence) and their environmental, social, and governance (ESG) commitments, which are crucial for sustained value creation in the data industry.

We Dig Deep and Aim High

This value is about relentless innovation and challenging the status quo, which is critical for a company transitioning its business model. It translates to significant investment in their core technology-the hybrid cloud analytics and data platform-especially for new AI workloads. Teradata defintely understands that you can't win in cloud without a superior, efficient product.

The proof is in the product development pipeline and the financial commitment to growth areas. The company's focus on agentic AI capabilities-autonomous, contextually intelligent AI agents-is a direct reflection of this value. They're pioneering the 'Teradata on Teradata' initiative, essentially using their own technology as 'customer zero' to build enterprise-scale solutions, which sharpens the offering before it even hits your desk. This focus is driving their public cloud Annual Recurring Revenue (ARR) growth, which is projected to increase by 14% to 18% year-over-year for the full fiscal year 2025. That's a clear financial signal of their ambition and R&D (Research and Development) effectiveness.

  • Pioneer agentic AI solutions internally.
  • Drive cloud ARR growth up to 18% in 2025.
  • Invest in hybrid, multi-cloud platform superiority.

We Rise as One

For a global technology company, this value speaks to internal collaboration and the seamless integration of their technology across different environments. It's about being a unified platform provider, not a collection of siloed tools. This is key to delivering a true hybrid, multi-cloud experience, which is a major differentiator in the market.

The company's ability to deliver a non-GAAP diluted Earnings Per Share (EPS) in the range of $2.38 to $2.42 for the full year 2025, despite a challenging revenue environment, shows a unified focus on profitable growth and operational efficiency. That kind of margin performance-with non-GAAP operating margin at 23.6% in Q3 2025-doesn't happen without a cohesive organization. It requires the sales, product, and finance teams to all be rowing in the same direction, prioritizing high-margin cloud recurring revenue over legacy consulting services. You can read more about the company's structural shift and history here: Teradata Corporation (TDC): History, Ownership, Mission, How It Works & Makes Money.

Here's the quick math on their cloud pivot: Public cloud ARR hit $633 million in Q3 2025. Their initial long-term target of over $1 billion in Cloud ARR by the end of 2025, while ambitious, set the internal goalpost for this collective effort. The entire company is mobilized to convert on-premise customers to the cloud, and that's a unified effort.

We Raise Up Our Customers and Our World

This value is the external face of Teradata, encompassing both customer success and corporate citizenship (ESG). For a data company, this means not just selling a platform, but enabling customers to use data ethically and sustainably to solve their toughest business problems. It's about building trust, which is the currency of the data world.

On the customer side, this is demonstrated by their focus on the 'autonomous enterprise,' providing the knowledge platform for trusted AI results. On the 'Our World' side, their Stewardship goals are concrete and near-term. They committed to being carbon neutral in Scope 1 and Scope 2 emissions by the end of 2024 and are aiming for net zero across all scopes by 2050. More immediately, their 2025 goals include reducing global energy consumption by 30% and Scope 2 emissions by 34% from a 2021 baseline. This commitment is a tangible action that reduces operational risk and appeals to a growing base of ESG-focused investors.

This commitment to responsible operations is financially sound, too. A strong ESG profile mitigates regulatory and reputational risk, and cost-effective operations contribute to their strong cash flow generation. For the full year 2025, they project Free Cash Flow (FCF) to be between $260 million and $280 million. That FCF is the ultimate proof that doing good and doing well are not mutually exclusive.

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