Talend Announces Management Transitions and Preliminary Revenue Estimates for the Fourth Quarter 2018
Talend, a global leader in cloud integration solutions, announced that it has promoted Laurent Bride to Chief Technical Officer and Chief Operating Officer. Mr. Bride has served as the company’s Chief Technical Officer since 2014 and has more than 20 years of software experience, including executive roles in product development and customer support. Mr. Bride’s responsibilities will expand from leading research and development at Talend to also include product management and IT.
The company also announced Brad Stratton, Executive Vice President of Worldwide Sales, is departing the company. Mike Tuchen, Chief Executive Officer, will lead sales while the company conducts a search for a new head of sales to scale the company’s business through its next phase of growth.
The company also provided preliminary unaudited revenue estimates for the fourth quarter ended December 31, 2018. Total revenue for the fourth quarter is expected to grow between 33% and 34% year-over-year based on actual currency to $55.4 million to $55.8 million, versus prior guidance of $56.6 million to $57.4 million. Subscription revenue is expected to be between $48.3 million and $48.6 million, representing year-over-year growth of 37% to 38% based on actual currency. The slightly lower than expected total revenue resulted from lower professional services revenue, which is expected to be between $7.1 million and $7.2 million for the fourth quarter. Additionally, the company noted continued cloud momentum with Talend Cloud contributing between approximately 24% and 25% of new annual recurring revenue (ARR) in the fourth quarter of 2018, versus 14% in the third quarter of 2018. New ARR represents the annualized value of contracts booked in the period. These preliminary estimates include the contribution from the Stitch acquisition, which closed on November 9, 2018.
“Laurent has been a strong contributor in leading the company’s innovation and we are pleased to expand his role at the company,” said Mike Tuchen, CEO of Talend. “We thank Brad for his contributions to the company over the last four years.”
The above information reflects preliminary estimates with respect to the company’s fourth quarter results based on currently available information. The company is providing ranges, rather than specific amounts, for the preliminary estimates primarily because the financial close process and review are not yet complete and, as a result, the company’s final results upon completion of its closing process and review may vary from the preliminary estimates.
As previously announced, effective January 1, 2019, the company began to file periodic reports and registration statements on U.S. domestic issuer forms with the Securities and Exchange Commission. Accordingly, the preliminary estimates provided herein have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). However, there is no difference in these preliminary estimates prepared in accordance with U.S. GAAP compared to such preliminary estimates prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standard Board, and therefore the preliminary estimates provided herein are directly comparable to the company’s prior guidance on these metrics.