They may be off their peak, but shares of Talend (TLND) are still up nearly 40% since the cloud software provider priced its IPO at $18 in July. Talend CEO Mike Tuchen attributes his company's fast start to the rising demand for "clean data."
"Everyone is trying to make decisions based on data, and there is more data than there has ever been," said Tuchen. "The challenge is that the data is in a lot of different places and it needs to be cleaned up and blended together so decisions can be made on it. That's essentially a plumbing job and that is what we do."
Talend posted revenue in the third quarter of $27.4 million, a new record for the company, highlighting the demand for its integration solutions. Total revenue growth during the quarter showed a 40% increase year over year, up from 38% in the second quarter. On a constant currency basis, Talend's third-quarter subscription revenue grew 44% year over year. Revenue from Talend's cloud and big data solutions grew over 100% year over year for the seventh consecutive quarter.
"We booked our largest single deal to date with one of the largest health care providers in the world," said Tuchen. "Talend also achieved free cash flow breakeven in the quarter, which we believe demonstrates the efficiency of our financial model."
Tuchen said Talend continues to expand its client roster. Thus far, its solutions have attracted over 1,300 big name customers including Domino's Pizza (DPZ) , Air France, Aldo Shoes and Citibank (C) . Tuchen also points out that Talend continues to grow internationally, including solid growth in Asia during the third quarter.
"One of the largest telecom companies in Japan selected Talend in Q3. They chose us due to our real-time capabilities, our tight collaboration with our chosen Hadoop, which is MapR, and our ability to increase developer productivity," said Tuchen.
In Europe, Talend added in the third quarter AccorHotels, one of the world's largest hotel groups, with more than 4,000 properties with brands including Fairmont, Sofitel and Raffles.
Finally, Tuchen blamed the models used by pollsters for failing to accurately predict the outcome of the presidential election as opposed to the data itself. And he believes it will be a really interesting next four years for the folks in Silicon Valley.
"Donald Trump has not yet really reached out to Silicon Valley, and aside from a couple of people, the reverse is true as well," said Tuchen. "There is concern about immigration, which is important to Silicon Valley, but on the other hand we hope that the Republican administration, which generally tends to be business friendly, can continue to be business friendly going forward."
"Like a lot about Donald Trump, it's a big unknown right now," said Tuchen.