Talend Reports First Quarter 2017 Financial Results

REDWOOD CITY, Calif., May 12, 2017 — Talend (NASDAQ:TLND), a global leader in cloud and big data integration software, has released financial results for the first quarter ended March 31, 2017.

“We achieved another quarter of record revenue of $32.9 million for the first quarter of 2017, up 44% year-over-year,” said Mike Tuchen, Talend CEO. “On a constant currency basis, our subscription revenue grew 47% year-over-year. For a ninth consecutive quarter, our cloud and big data solutions grew over 100% year-over-year. We saw a 60% increase in customers with over $100,000 per year in annualized subscription revenue. Finally, in the first quarter we completed a successful follow-on offering of shares on behalf of existing shareholders. We are pleased with our first quarter and we believe we are just getting started.”

“We improved our operating margin for the first quarter of 2017 by more than seven percentage points,” said Thomas Tuchscherer, Talend CFO. “At the same time, we were pleased with our ability to attract world class sales talent and we accelerated our hiring within the quarter. We will continue to seize on the opportunity we see in the market for our products by investing in growth, while also continuing to focus on improving our operating leverage.”

For the first quarter of 2017, Talend substantially improved its operating leverage:

• IFRS operating margin improved to -21% from -26% and Non-IFRS operating margin improved to -16% from -23%, compared to the first quarter of 2016.
• Net cash from operating activities was $2.5 million and free cash flow was $2.0 million, compared to net cash from operating activities of $2.2 million and free cash flow of $1.7 million for the first quarter 2016.

A reconciliation of IFRS to non-IFRS financial measures is provided in the financial tables below. An explanation of these measures is also included below, under the heading Non-IFRS Financial Measures.

Recent Business Highlights

• Opened our India office to support both the local India market as well as our global customers.
• Built on our collaboration with Google on the Apache Beam Project by launching the industry’s first Beam-powered solution for self-service big data preparation.
• Achieved certification for MapR Converged Data Platform and became the first integration provider to support MapR Streams, the new big data streaming system.
• Scaled our implementation capacity through an agreement to train an additional 1,500 consultants with a leading system integrator.
• Completed a successful upsized follow-on offering of shares on behalf of existing shareholders.

Financial Outlook

Talend’s outlook assumes similar business conditions and foreign exchange rates as of March 31, 2017.

Second quarter of 2017:

• Total revenue is expected to be in the range of $34.8 million to $35.8 million.
• Non-IFRS loss from operations is expected to be in the range of $(6.9) million to $(5.9) million.
• Net loss is expected to be in the range of $(9.5) million to $(8.5) million and non-IFRS net loss is expected to be in the range of $(7.0) million to $(6.0) million.
• Net loss per basic and diluted share is expected to be in the range of $(0.33) to $(0.29) and non-IFRS net loss per share is expected to be in the range of $(0.24) to $(0.21).
• Basic and diluted weighted average share count of 28.9 million shares.

Full year 2017:

• Total revenue expectations are raised to the range of $144.3 million to $146.3 million.
• Non-IFRS loss from operations is expected to be in the range of $(23.1) million to $(21.1) million.
• Net loss is expected to be in the range of $(34.4) million to $(32.4) million and non-IFRS net loss is expected to be in the range of $(23.4) million to $(21.4) million.
• Net loss per basic and diluted share is expected to be in the range of $(1.19) to $(1.12) and non-IFRS net loss per share is expected to be in the range of $(0.81) to $(0.74).
• Basic and diluted weighted average share count is adjusted to 29.0 million shares to reflect a longer holding period of options by our employees.

These statements are forward-looking and actual results may differ materially. Refer to the section under the heading Forward-Looking Statements below for information on the factors that could cause our actual results to differ materially. An explanation of non-IFRS measures is also included below under the heading Non-IFRS Financial Measures.

Conference Call Information

Talend will host a conference call and live webcast for analysts and investors at 5:00 p.m. Eastern time on May 11, 2017. Parties in the United States and Canada can access the call by dialing + 1 (800) 946-0744, using conference code 7126700. International parties can access the call by dialing +1 (719) 325-2348, using conference code 7126700.

The webcast will be accessible on Talend’s investor relations website at http://investor.talend.com for a period of one year. A telephonic replay of the conference call will be available through Thursday, May 18, 2017. To access the replay, parties in the United States and Canada should call +1 (866) 375-1919 and enter conference code 7126700. International parties should call +1 (719) 457-0820 and enter conference code 7126700.

About Talend

Talend (NASDAQ: TLND) is a next-generation leader in cloud and big data integration software that helps companies make data a strategic asset that provides realtime, organization-wide insight into customers, partners, and operations. Through its open, adaptive, and unified integration platform, Talend delivers the data agility required for companies to rapidly adopt the latest technology innovations and scale to meet the constantly evolving demands of modern business. A leader in the 2016 Gartner Magic Quadrant for Data Integration Tools and Forrester Wave: Big Data Fabric Q4 2016, Talend’s solutions support over 1500 global enterprise customers including Air France, GE, and Lenovo, across a range of industries. For more information, please visit www.talend.com and follow us on Twitter: @Talend.

Source: Talend