Teradata Corporation (NYSE:TDC) Q1 2023 Results Conference Call May 4, 2023 5:00 PM ET
Company Participants
Christopher Lee - SVP, IR and Corporate Development
Steve McMillan - President and CEO
Claire Bramley - CFO
Conference Call Participants
Chad Bennett - Craig-Hallum
Howard Ma - Guggenheim
Tyler Radke - Citi
Nehal Chokshi - Northland Capital Markets
Derrick Wood - TD Cowen
Ruplu Bhattacharya - Bank of America
Sheldon McMeans - Barclays
Maya Neuman - Morgan Stanley
Operator
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]
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.
Christopher Lee
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.
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.
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.
And now I will turn the call over to Steve.
Steve McMillan
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.