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Why Talend SA Stock Popped Today

By Timothy Green - Feb 14, 2018 at 12:23PM

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The company edged out analyst expectations.

What happened

Shares of Talend SA (TLND) jumped on Wednesday after the cloud and big data integration solutions provider reported solid fourth-quarter results. Double-digit growth matched analyst expectations, and the company posted a loss that was smaller than expected. Talend stock was up about 8.2% at 11:30 a.m. EST, after being up as much as 14.7% earlier in the day.

So what

Talend reported fourth-quarter revenue of $41.5 million, up 36% year over year and in line with the average analyst estimate. Subscription revenue jumped 40% year over year, or 34% adjusted for currency, to $35.2 million. In the Asia-Pacific region, subscription revenue more than doubled for the third quarter in a row.

A rising stock chart.

Image source: Getty Images.

Non-IFRS net income came in at a loss of $0.28 per share, down from a loss of $0.13 per share during the prior-year period but $0.01 better than analysts were expecting. A 44% jump in GAAP operating expenses more than offset the higher revenue, pushing down the bottom line.

During the fourth quarter, Talend collaborated with system integrator Capgemini, worked with Amazon and Cognizant to streamline the deployment of Cloud Data Lakes on AWS, and achieved Microsoft Gold Cloud Competency and Co-Sell Partner status.

Now what

Talend expects to produce between $45.3 million and $46.3 million of revenue during the first quarter, along with a non-IFRS loss per share between $0.16 and $0.20. For the full year, the company anticipates revenue between $200 million and $202 million, and a non-IFRS loss per share between $0.44 and $0.48.

Talend CEO Mike Tuchen expects 2018 to be another solid year: "As we enter 2018, we believe the success we are experiencing with enterprise adoption demonstrates our ability to capture an increasing share of the big data and cloud integration market."

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