The following segment was excerpted from this fund letter.
Teradata: [[TDC]] was a top detractor for the quarter, as its shares sold off on mixed first quarter results. Teradata reported solid results on the metrics that we consider most important: annual recurring revenue ((ARR)) growth of 12% (common currency), higher gross margins, lower operating expenses, and better-than-expected EPS. License and consulting revenues disappointed, however, with larger-than-expected declines of 55% and 22%, respectively. While we expect license and consulting revenue declines, as Teradata is transitioning its business model to recurring revenue sales, we are