On a day when Teradata reported a net loss of $46 million in the first quarter of 2016 — a loss of 36 cents per diluted share — the data warehousing and analytics company also announced that its board of directors has elected one of its own, Victor Lund, as the company’s president and chief executive.
The first quarter’s net loss contrasts with its net income of $22 million, or 15 cents per diluted share, in the first quarter of 2015.
Lund succeeds Mike Koehler who has stepped down as Teradata’s president, CEO and board director, effective immediately, the Miami Twp. company said.
A spokesman for Teradata said the company would not comment this morning beyond what it said in a pair of news releases.
In early trading Thursday, Teradata shares (NYSE: TDC) shot up more than a dollar to $25.49. The stock has a 52-week range of $28.24 to $53.75, and the stock has dropped 46 percent in the last 12 months.
“Vic has been a valuable contributor to the Teradata board, and, importantly, he has been instrumental in the board’s oversight of Teradata’s transformation,” Jim Ringler, chairman of Teradata’s board, said in one of the company’s statements. “Vic is an accomplished executive with a deep understanding of our business, operations and the strategies we are implementing.”
Ringler said the company is “undertaking a comprehensive transformation, including both our technology and go-to-market strategy.”
“On behalf of the board and the company, I want to thank Mike for his many contributions to Teradata,” Ringler added.
In a release, Koehler said: “It has been a privilege to lead Teradata’s talented employees for the past 14 years, and I am extremely proud of the many accomplishments achieved by the Teradata team during my tenure. I believe now is the right time for new leadership to take the company forward.”
The company based at Austin Landing has about 400 Dayton-area employees.
In a filing with the U.S. Securities and Exchange Commission, Teradata said Koehler resigned. He will be paid a cash severance of $2.7 million and is also eligible to receive his annual incentive bonus for 2016, the filing said.
In its earnings report, Teradata said stock-based compensation expenses, special items and its recently sold “marketing applications” business reduced Teradata’s first quarter net income by $108 million, or 83 cents per diluted share.
Teradata reported an operating loss of $42 million in the first quarter of 2016 which included a goodwill and other assets impairment charge of $80 million. That contrasts with $30 million of operating income reported in the first quarter last year.
Also, the company noted that on April 22, it signed a definitive agreement to sell its “marketing applications” business for $90 million. After adjustments, closing costs and taxes, net proceeds from the sale are expected to be some $55-60 million, Teradata said.
The company has had another recent leadership shakeup: In December, Teradata said its board decided to dissolve a “co-president management structure,” eliminating a position held by Hermann Wimmer.
At the same time in December, Teradata also named Robert Fair as company’s chief operating officer and Koehler was named president in addition to his role as CEO.
Also in recent months, Bruce Langos, Teradata’s chief operations officer, left the company to start a data center for the Montgomery County Sheriff’s Office.