Open Text : Third Quarter 2026 Investor Presentation

Published: 2026-05-07 16:32:33 ET OTEX.TO

Published on 05/07/2026 at 04:32 pm EDT

May 7, 2026

NASDAQ/TSX: OTEX

Key Financials

Q3 FY'26

Y/Y

% Change

In Constant Currency(3)

Q3 FY'26

Y/Y

% Change

Total Revenues

$1,283M

2.2%

$1,228M

(2.1)%

Annual Recurring Revenues(1) /

% of Rev

$1,058M /

82.5%

2.7% /

40 bps

$1,016M / (1.4)% /

82.7% 60 bps

Cloud Revenues

$493M

6.6%

$477M

3.2%

GAAP Gross Margin /

Non-GAAP Gross Margin(2)

73.1% /

76.7%

150 bps /

100 bps

N/A / 76.4%

N/A / 70 bps

A-EBITDA Margin(2)

34.1%

260 bps

33.4%

190 bps

GAAP EPS / A-EPS(2)

$0.70 /

$1.01

100.0% /

23.2%

N/A /

$0.93

N/A / 13.4%

Free Cash Flows(2)

$305M

(18.4)%

N/A

Additional Metrics

Q3 FY'26

Y/Y

% Change

Enterprise Cloud Bookings(4)

$196M

29.6%

# of Cloud Deals >$1M

28.1%

Cloud Net Renewal Rate(5)

95%

(100) bps

Customer Support Net Renewal Rate(6)

93%

+300 bps

Annual Recurring Revenues (ARR) is defined as the sum of cloud services and subscriptions revenues and customer support revenues.

Please refer to "Use of Non-GAAP Financial Measures" at the end of this presentation and "Reconciliation of selected GAAP-based measures to Non-GAAP-based measures" included within our current and historical filings on Forms 10-Q, 10-K and 8-K.

Constant currency is defined as the current period reported revenues represented at the prior comparative period's foreign exchange rate.

Enterprise cloud bookings is the total value from cloud services and subscription contracts entered into with our enterprise-based clients in the fiscal year that are new, committed and incremental to our existing contracts..

Cloud Net Renewal Rate excludes Carbonite and Zix. The Net Renewal Rate includes changes in renewed contract values driven by volume and consumption and excludes the impacts from shifts from off-cloud to cloud.

Customer Support Net Renewal Rate comparison adjusted for divestiture of AMC and net renewal rate calculation methodology.

RPO(1)

Q3 FY'26

Q3 FY'25

% Y/Y*

Current RPO (cRPO)

Cloud Services and Subscription

$1.3B

$1.2B

Customer Support and Other

$1.4B

Total cRPO

$2.6B

Long Term RPO

Cloud Services and Subscription

$1.4B

$1.1B

19%

Customer Support and Other

$0.5B

$0.4B

19%

Total Long Term RPO

$1.8B

$1.5B

19%

Total RPO

$4.5B

$4.1B

Enterprise Cloud Bookings(2)

Q3 FY'26

$196M

+30% Y/Y

$773M

+10% Y/Y

+16% to +20% Y/Y

FY'25 Actuals

FY'26 Outlook

* Items in tables may not add due to rounding. Percentages presented are calculated based on the non-rounded amounts.

Refer to "Supplemental RPO Disclosure" posted on February 6, 2025 on our OpenText Investor Relations website

Revenues for our Core Business continue to grow at approximately twice the pace of Total Revenues

Content continues to demonstrate strength, comprises 40%+ of total revenues

Q3 FY'26

FY'26 YTD

US$M

% of Total Revenue

% Growth Y/Y

US$M

% of Total Revenue

% Growth Y/Y

Content

$558

44%

$1,655

42%

Business Network (BN)

$162

13%

$482

12%

IT Operations Management (ITOM)

$105

(1)%

$332

(2)%

Cybersecurity

(Enterprise)

$157

12%

(2)%

$512

13%

(2)%

Core Business

$982

77%

$2,982

77%

Cybersecurity

(SMB + Consumer)

$126

10%

(5)%

$385

$366

$164

10%

(5)%

ADM

$124

10%

Analytics

$50

(13)%

(6)%

Non-Core Business

$300

23%

(2)%

$916

23%

(2)%

Total

$1,283

100%

$3,897

100%

Revenues for our Core Business continue to grow at approximately twice the pace of Total Revenues

Content continues to demonstrate strength, leading Cloud growth

Q3 FY'26

FY'26 YTD

US$M

% of Total Revenue

% Growth Y/Y

US$M

% of Total Revenue

% Growth Y/Y

Content

$149

30%

22%

$423

29%

20%

Business Network (BN)

$153

31%

$457

31%

IT Operations Management (ITOM)

$11

96%

$26

75%

Cybersecurity

(Enterprise)

$17

(13)%

$56

(10)%

Core Business

$331

67%

12%

$962

66%

10%

Cybersecurity

(SMB + Consumer)

$115

23%

(6)%

$353

24%

(5)%

ADM

$29

11%

$89

13%

Analytics

$18

(6)%

$52

(10)%

Non-Core Business

$162

33%

(3)%

$494

34%

(3)%

Total

$493

100%

$1,456

100%

Content

Core Content Management Express

Cybersecurity

BrightCloud Threat Intelligence

Challenge & Solution: HARGASSNER aimed to establish a single source of truth for enterprise content across all business applications, including their current deployment of SAP Public Cloud.

Expected Benefits: HARGASSNER expects to contextualize their content effectively, and ensure every stakeholder has access to the right information, enhancing productivity and decision-making.

Challenge & Solution: HPE Aruba Networking requires best-in-class threat intelligence to enrich their controllers, access points, and switching products with cyber protection.

Expected Benefits: OpenText provides dynamic, realtime threat intelligence for URLs, IPs and Cloud Services Intelligence for cloud applications.

Business Network

Premium Support, Ready-To-Serve, Premium Delivery

Challenge & Solution: An increase in market consumption for e-invoicing required integration with Microsoft and our Business Network as part of Michelin's innovation program.

Expected Benefits: Michelin can capitalize on the implementation of our Business Network for self-service, apply AI to these B2B workflows and Supply Chain use cases supporting their business needs.

ITOM

OpenText Service Management

Challenge & Solution: Aydem has a strong focus on renewable energy and operates complex, multi-regional systems that demand consistent governance and robust processes.

Expected Benefits: Aydem's expanded use of our ITOM platform delivers end-to-end test monitoring powered by GenAI, designed to provide a competitive, efficient, and scalable test environment.

Metrics

FY'26

Total Revenue Growth

1% to 2%

Cloud Revenue Growth

4% to 5%

Enterprise Cloud Bookings(1) Growth

16% to 20%

A-EBITDA Margin(2) Growth

50 bps to 100 bps

Free Cash Flows(2) Growth

22% to 25%

Dividend(3) Growth / share

Total Revenue growth of 1% to 2% when adjusted by ~$30M to reflect recent divestitures

Content Cloud revenue growth leading the business

Core business continues to grow

ARR(4) returns to growth in FY'26

Declarations of future dividends are subject to the final determination and discretion of the Board of Directors.

Annual Recurring Revenues (ARR) is defined as the sum of cloud services and subscriptions revenues and customer support revenues.

120,000+ Enterprise clients in 180 countries

31+ Million Public cloud users 9,000+ Private cloud deployments 1 Trillion Pages of data managed

Information Management products that train AI and are:

Anchored in enterprise data and

process automation

Secure and compliant to meet industry standards

One of the largest software companies in the world

Long track record of A-EBITDA(1) expansion

Acquiring and divesting to ensure optimal long-term total shareholder return

1. Please refer to "Use of Non-GAAP Financial Measures" at the end of this presentation and "Reconciliation of selected GAAP-based measures to Non-GAAP-based measures" included within our current and historical filings on Forms 10-Q, 10-K and 8-K.

~90%

of the world's information expected to live inside organizations(1)

(emails, documents, records, workflows, transactions, communications)

Public LLMs are trained on open internet >> not enough for enterprise-grade, regulated insights

Hyperscalers don't always solve for data security, privacy, or industry specificity

Enterprises want to own

and govern their data

>>compliance, security, competitive advantage

Agentic AI only delivers value when powered by trusted, proprietary enterprise data

Content

Human-generated data

ITOM

Machine-generated data

Business Network

Transaction-generated data

For an organization that is training agentic AI, a subset of very context specific data is required.

The data is usually broken down into three types of

data:

Human generated (Content Server)

Machine generated (IT Operations Management

- ITOM)

Transactional (Business Networks)

Cybersecurity (both at the server and at the edge device) ensures the integrity of the data.

This data is normally located behind the firewall and NOT on a cloud.

We lead in secure Data for

Four Core Data

Products

Content

Human-generated data

Cybersecurity

ITOM

Machine-generated data

Business

Network

Transaction-generated data

Enterprise AI Integration - Aviator

Client Choice

On Premise

Private Cloud in Data Centre

Sovereign Cloud

Public Cloud SaaS

Private Cloud in Hyperscaler

Clients & Industries

We Serve

Government Automotive Financial

Services

Healthcare Consumer

Goods

Retail

Enterprise Data Training Agentic AI

Business Outcomes

Enterprise-ready AI

adoption

Faster time-to-value

Trusted AI responses

Enterprise data trains agents the same as applications

Applications

Training Agentic AI

OpenText Now OpenText Core Businesses

$5 billion

FY'25 Total Revenue

-10% Y/Y growth

$2 billion

FY'25 Cloud Revenue

+2% Y/Y growth

7 Product Categories

Core: Content, Business Network, ITOM,

Cybersecurity (Enterprise)

Non-core: Cybersecurity (SMB + Consumer), ADM, Analytics

Portfolio Shaping

("optimize to grow")

$2.1B Revenue

FY'25

Top Competitors

IBM, Hyland, Box

Winning Advantages

Trusted Information Governance - wide installed base permissions-based, on-premise and cloud

Strategic partnership with SAP - structured & unstructured data to win in archiving, HR, and vendor

invoice management

Industry focus - insurance solutions with Guidewire, public sector FedRAMP IL5 certification, single source of truth in banking, insurance (i.e. Fiserv partnership)

Content Aviator - on all platforms

Clients

Key Growth Priorities

AI in Context - role-based Aviators for processes such as claims management, compliance checks, document generation, etc.

Upgrade to cloud - tooling to enable data migration that makes data more AI-ready with configuration

automation (powered by AI)

AI Data - meet clients for regionally specific requirements

Version currency - getting clients onto latest version of software for better experience and stickiness

$633M Revenue

FY'25

Top Competitors IBM Sterling, SPS Commerce

Winning Advantages

Deep and mature clients installed base - represents many of the largest global supply chains, high dependency on B2B integrations for daily commerce with suppliers

Global e-Invoicing solution - covers 50+ countries to provide advanced capabilities to meet country-regulatory requirements

From maps to apps - create agentic framework to automate mapping across 80% of use cases

Clients

Key Growth Priorities

Migration strategy and AI-enabled tooling - for clients to move to modern Trading Grid platform with AI automating configurations and more

Product-led growth - Trading Grid Command Center as the foundation data platform for managing AI-powered supply chain insights and orchestration

Value-add AI Agents - anomaly detection, predictive analytics for asset failure, autonomous operations, self-healing, IoT

$453M Revenue

FY'25

Top Competitors

ServiceNow, BMC

Winning Advantages

AI-Powered Service Management (ESM) - modules for IT, HR, and Client Support with AI-led service management with data management

Universal Discovery - industry leading observability for IT, IoT, 3rd party discovery; combines asset, change, and incident management to drive strong security posture

Incident Prevention - applied AI and Aviator agents to discover and act on unplanned changes and

potential vulnerabilities

Clients

Key Growth Priorities

IT Service Management - helping clients adopt AI to overcome data quality legacy integration, security risks, adoption challenges; build a ticketless enterprise

Total Cost of Ownership - simplified service experience with unified knowledge base and ticket

management across all corporate functions

Total Asset Visibility - focus on helping clients surface right data securely across applications, infrastructure, and networks

$692M Revenue

FY'25

Top Competitors

Splunk / Cisco, IBM, Okta

Winning Advantages

Best-in-Class Solutions - industry leading capabilities in application security, threat detection and response, data security and encryption

Open Architecture - interoperability with a wide array of security tools used in the NOC and SOC to provide seamless user experience for clients

Alliances Partnerships - joint differentiated solutions to win in the market, partnership with Microsoft, Fiserv, Google, Accenture, Cap Gemini, etc.

Clients

Key Growth Priorities

New Markets - bring our cloud cybersecurity portfolio more fully to ANZ, Middle East, Japan, Singapore, India, etc.

Collaboration with MSPs - bring new offerings with ecosystem of partners to market to drive vertical

relevance (i.e., data protection for retail, financial services, etc.)

Get AI Ready - resurgence of clients demand for data privacy and protection, advanced data encryption, and identity access management

Appointed as OpenText's Chief Executive Officer and a member of the Board, effective April 20, 2026.

Brings over three decades of global technology, operating discipline and transformation leadership to OpenText, built over a seasoned career in the information technology industry.

About Ayman

Held numerous executive roles over 35 years:

President of IBM Americas

President of IBM Canada and General Manager, Global Technology Services

SVP of Business Market Sales at Bell Canada

Holds a BSc in Electrical Engineering from the University of Waterloo and a graduate of the Harvard Business School's Executive program

OpenText's core product portfolio, which is the foundation for training agentic AI, combined with its worldwide client base offers the Company a competitive advantage as trusted data is now essential to how economies, nations and businesses operate around the world.

I am energized by the opportunity to lead OpenText into its next chapter and look forward to working with the Board and leadership team to accelerate the Company's growth strategy and deliver long-term shareholder value.

Ayman Antoun, OpenText CEO

Appointed new CEO, Ayman Antoun

Delivered on Q3 Expectations. On track for FY'26 Outlook

Appointed new CFO, Steve Rai

Portfolio-shaping opportunities: Divested eDOCS, announced Vertica divestiture, and

remain committed to divesting non-core portfolio-shaping opportunities

Refreshed Board with the appointment of 4 new members in 2025 and 1 new member, Ayman Antoun, in 2026

Additional Transparency: Introduced Revenue and Growth by Product Category metrics

Total Revenue US$ Billion A-EBITDA(1) US$ Billion A-EPS(1) US$

AMC

divestiture

AMC

divestiture

+11% +11%

10-yr CAGR(2) 5-yr CAGR(2)

+11% +9%

AMC

divestiture

10-yr CAGR(2) 5-yr CAGR(2)

+8% +6%

10-yr CAGR(2) 5-yr CAGR(2)

*Total Revenue for 2016 of $1.8 billion grew 3% y/y in CC

Forms 10-Q, 10-K and 8-K.

10-yr CAGR from 2015 to 2025 and 5-yr CAGR from 2020 to 2025.

Debt Reduction

Pay down debt with net sales proceeds from divestitures

Dividend Payout

Quarterly dividend payout of $0.275 per share

12 consecutive years of dividend growth(2)

Share Repurchases

Acquired and cancelled ~12% of shares outstanding since April 2024

$500 million share repurchase program

Organic Growth Investments

Expand offerings/market reach

Smaller tuck-in acquisitions

Strong Financial Position

Revenue Growth

Gross Margins Expansion

A-EBITDA(1) improvement

Free Cash Flows(1) Generation

Non-core Divestitures

Capital Allocation Options(3)

Refer to "Use of Non-GAAP Financial Measures" at the end of this presentation and "Reconciliation of selected GAAP-based measures to Non-GAAP-based measures" included within our current and historical filings on Forms 10-Q, 10-K and 8-K.

Declarations of future dividends are subject to the final determination and discretion of the Board of Directors.

Reviewed quarterly at the discretion of the Board of Directors.

opentext.com · twitter.com/opentext · linkedin.com/company/opentext

Serves as a practical blueprint for organizations transitioning from isolated AI pilots to a scalable agentic operating model.

Explores how enterprises can design and govern intelligent workflows by orchestrating autonomous agents, enterprise information, and human-in-command oversight.

Agentic AI and nested orchestration redefine enterprise architecture, shifting AI from a static tool that generates insights to a dynamic digital workforce that executes complex actions.

Download Here

Use of Non-GAAP Financial Measures

In addition to reporting financial results in accordance with U.S. GAAP, the Company provides certain financial measures that are not in accordance with U.S. GAAP (Non-GAAP).These Non-GAAP financial measures have certain limitations in that they do not have a standardized meaning and thus the Company's definition may be different from similar Non-GAAP financial measures used by other companies and/or analysts and may differ from period to period. Thus it may be more difficult to compare the Company's financial performance to that of other companies. However, the Company's management compensates for these limitations by providing the relevant disclosure of the items excluded in the calculation of these Non-GAAP financial measures both in its reconciliation to the U.S. GAAP financial measures and its consolidated financial statements, all of which should be considered when evaluating the Company's results. Reconciliations of Non-GAAP financial measures for future periods are not provided as the Company does not currently have sufficient data to accurately estimate the variables and individual adjustments for such reconciliations.

The Company uses these Non-GAAP financial measures to supplement the information provided in its consolidated financial statements, which are presented in accordance with U.S. GAAP. The presentation of Non-GAAP financial measures is not meant to be a substitute for financial measures presented in accordance with U.S. GAAP, but rather should be evaluated in conjunction with and as a supplement to such U.S. GAAP measures. OpenText strongly encourages investors to review its financial information in its entirety and not to rely on a single financial measure. The Company therefore believes that despite these limitations, it is appropriate to supplement the disclosure of the U.S. GAAP measures with certain Non-GAAP measures defined below.

Non-GAAP-based net income and Non-GAAP-based EPS, attributable to OpenText, are consistently calculated as GAAP-based net income (loss) or earnings (loss) per share, attributable to OpenText, on a diluted basis, excluding the effects of the amortization of acquired intangible assets, other income (expense), share-based compensation, and special charges (recoveries), all net of tax and any tax benefits/expense items unrelated to current period income, as further described in the tables below. Non-GAAP-based gross profit is the arithmetical sum of GAAP-based gross profit and the amortization of acquired technology-based intangible assets and share-based compensation within cost of sales. Non-GAAP-based gross margin is calculated as Non-GAAP-based gross profit expressed as a percentage of total revenue. Non-GAAP-based income from operations is calculated as GAAP-based income from operations, excluding the amortization of acquired intangible assets, special charges (recoveries), and share-based compensation expense.

Adjusted EBITDA (or A-EBITDA) is defined and calculated as GAAP-based net income (loss), attributable to OpenText, excluding interest income (expense), provision for (recovery of) income taxes, depreciation and amortization of acquired intangible

assets, other income (expense), share-based compensation and special charges (recoveries). Adjusted EBITDA margin is calculated as adjusted EBITDA expressed as a percentage of total revenue. Free Cash Flows is defined and calculated as GAAP-based cash flows provided by operating activities less capital expenditures.

The Company's management believes that the presentation of the above defined Non-GAAP financial measures provides useful information to investors because they portray the financial results of the Company before the impact of certain non-operational charges. The use of the term "non-operational charge" is defined for this purpose as an expense that does not impact the ongoing operating decisions taken by the Company's management. These items are excluded based upon the way the Company's management evaluates the performance of the Company's business for use in the Company's internal reports and are not excluded in the sense that they may be used under U.S. GAAP.

The Company does not acquire businesses on a predictable cycle, and therefore believes that the presentation of Non-GAAP measures, which in certain cases adjust for the impact of amortization of intangible assets and the related tax effects that are primarily related to acquisitions, will provide readers of financial statements with a more consistent basis for comparison across accounting periods and be more useful in helping readers understand the Company's operating results and underlying operational trends. Additionally, the Company has engaged in various restructuring activities over the past several years, primarily due to acquisitions and in response to our return to office planning, that have resulted in costs associated with reductions in headcount, consolidation of leased facilities and related costs, all which are recorded under the Company's "Special charges" caption on the Consolidated Statements of Income. Each restructuring activity is a discrete event based on a unique set of business objectives or circumstances, and each differs in terms of its operational implementation, business impact and scope, and the size of each restructuring plan can vary significantly from period to period. Therefore, the Company believes that the exclusion of these special charges (recoveries) will also better aid readers of financial statements in the understanding and comparability of the Company's operating results and underlying operational trends.

In summary, the Company believes the provision of supplemental Non-GAAP measures allow investors to evaluate the operational and financial performance of the Company's core business using the same evaluation measures that management uses, and is therefore a useful indication of OpenText's performance or expected performance of future operations and facilitates period-to-period comparison of operating performance (although prior performance is not necessarily indicative of future performance). As a result, the Company considers it appropriate and reasonable to provide, in addition to U.S. GAAP measures, supplementary Non-GAAP financial measures that exclude certain items from the presentation of its financial results.

See historical filings, including the Company's Annual Reports on Form 10-K, for reconciliations of certain Non-GAAP measures to GAAP measures. The following charts provide unaudited reconciliations of U.S. GAAP-based financial measures to Non-GAAP-based financial measures for the following periods presented. Information reconciling certain forward-looking GAAP measures to Non-GAAP measures related to outlook, estimates or business models, including adjusted EBITDA, is not available without unreasonable effort due to high variability, complexity and uncertainty with respect to forecasting and quantifying certain amounts that are necessary for such reconciliations.

Key Financials

FY'25

Y/Y

% Change

Y/Y

% Change Ex-AMC

In Constant Currency(3)

FY'25

Y/Y

% Change

Total Revenues

$5,168M

-10.4%

-3.0%

$5,171M

-10.4%

Annual Recurring Revenues(1) / % of Rev

$4,191M / 81.1%

-7.6% /

+250 bps

-1.4% /

+130 bps

$4,195M / 81.1%

-7.5%

+250 bps

Cloud Revenue

$1,856M

+2.0%

$1,858M

+2.1%

GAAP Gross Margin /

Non-GAAP Gross Margin(2)

72.3% /

76.2%

-40 bps /

-100 bps

N/A / 76.1%

N/A /

-110 bps

A-EBITDA Margin(2)

34.5%

+40 bps

34.2%

+10 bps

GAAP EPS / A-EPS(2)

$1.65 /

$3.82

-3.5% /

-8.4%

N/A /

$3.78

N/A /

-9.4%

Free Cash Flows(2)

$687M

-15.0%

N/A

Additional Metrics

FY'25

Commentary

Enterprise Cloud Bookings(4)

$773M

Up 10% y/y, led by gains in Content Cloud

Cloud RPO

$2.5B

+13% y/y

Cloud cRPO

$1.2B

+8% y/y

Cloud Long-term RPO

$1.3B

+17% y/y

# of Cloud Deals >$1M

149

+15% y/y

Cloud Net Renewal Rate(5)

96%

Improving

Customer Support Net Renewal Rate(6)

91%

Improving

Additional Metrics

F'25

Dividends Paid

$272M

$1.05 per share annually

(up 5% y/y)

Common Shares Repurchased

$411M

14.5M Common Shares retired

Annual Recurring Revenues (ARR) is defined as the sum of cloud services and subscriptions revenues and customer support revenues.

Constant currency is defined as the current period reported revenues represented at the prior comparative period's foreign exchange rate.

Renewal Rate improved since Q1 F'25.

Customer Support Net Renewal Rate comparison adjusted for divestiture of AMC and net renewal rate calculation methodology. Off Cloud Net Renewal Rate improved quarter over quarter from Q3 F'25.

Business Unit

Total Revenue

FY'25

(US$M)

FY'25 % of

Total Revenue

FY'25

% Growth Y/Y

Q1 FY'26

(US$M)

Q1 FY'26 % of

Total Revenue

Q1 FY'26

% Growth Y/Y

Q2 FY'26

(US$M)

Q2 FY'26 % of

Total Revenue

Q2 FY'26

% Growth Y/Y

Content

$2,136 41% 4% $523 41% 3% $573 43% 4%

Business Network

$633 12% -1%

$161 13% 2% $160 12% -%

ITOM

$453 9% -13% $113 9% -6% $113 9% -1%

Cybersecurity

(Enterprise)

$692 13% -5%

$181 14% 6% $174 13% -10%

$978 76% 2% $1,021 77% 1%

Core Business $3,914 76% -1%

Cybersecurity

(SMB + Consumer)

$543 11% -13% $132 10% -5% $128 10% -6%

ADM(1)

$476 9% -3%

$122 9% 3% $120 9% -3%

Analytics

$235 5% -10% $56 4% -1% $58 4% -5%

Non-Core Business $1,255 24% -9%

$310 24% -1% $306 23% -4%

$1,288 100% 2% $1,327 100% -1%

Total(1) $5,168 100% -3%

Business Unit

Cloud Revenue

FY'25

(US$M)

FY'25 % of

Total Revenue

FY'25

% Growth Y/Y

Q1 FY'26

(US$M)

Q1 FY'26 % of

Total Revenue

Q1 FY'26

% Growth Y/Y

Q2 FY'26

(US$M)

Q2 FY'26 % of

Total Revenue

Q2 FY'26

% Growth Y/Y

Content

$481

26%

17%

$136

28%

21%

$138

29%

18%

Business Network

$595

32%

-1%

$152

32%

$151

32%

ITOM

$21

25%

58%

67%

Cybersecurity

(Enterprise)

$84

-3%

$21

-1%

$18

-15%

Core Business

$1,181

64%

$316

65%

11%

$315

66%

Cybersecurity

(SMB + Consumer)

$494

27%

-4%

$121

25%

-5%

$117

25%

-5%

ADM(1)

$106

11%

$31

25%

$28

Analytics

$75

-20%

$16

-15%

$18

-8%

Non-Core Business

$676

36%

-4%

$169

35%

-2%

$163

$478

34%

100%

-4%

Total(1)

$1,856

100%

$485

100%

Cloud Driving the Business Model - Illustrative Migration Path

Focus on the Core Product Categories

Cloud to drive Core ARR(1) and RPO Growth

Grow A-EBITDA(2) Dollars per Share

Total Revenue Over Time ARR & Total RPO

Continued cloud expansion as it exceeds 50% total revenue

Divestitures

RPO expansion as multi year cloud grows faster vs. mostly annual CS

Time

Annual Recurring Revenues (ARR) is defined as the sum of cloud services and subscriptions revenues and customer support revenues.

FY'25 Total Revenue

Deeply integrated "sticky" products with an average deployment life span of a decade or more

Strong competitive advantage that protects our position in the market and makes it difficult for competitors to enter or displace

Total Debt

Q3 FY'26

Interest Rate

Senior Notes 2031

$650M

4.125%

Senior Notes 2030

$900M

4.125%

Senior Notes 2029

$850M

3.875%

Senior Notes 2028

$900M

3.875%

Senior Secured Notes 2027

$1,000M

6.90%

Acquisition Term Loan

$1,995M

5.42%

Total Principal

$6,295M

Additional Metrics

Q3 FY'26

Total Fixed Debt %

68%

Weighted Average Interest Rate

4.9%

Annualized Interest Cost(1)

$309M

Consolidated Net Leverage Ratio(2)

3.02x

Estimates based on the repayment of debt as outlined in this presentation and a SOFR rate assumption as of report date.

The consolidated Net Leverage Ratio is calculated using the bank covenant methodology.

35%

FY'25

$490M to

$550M

Savings

On Track

>2x return on benefit vs. cost

Upside from early execution reflected in FY'25 Actuals and FY'26 Outlook

Remain committed to re-invest in innovation and growth through select investments in go-to-market, cloud, AI and security

Realized approximately 35% savings during FY'25, expect to realize an additional 35% in FY'26 and the balance thereafter.

FY'26

FY'27+

35%

30%

Summary of Quarterly Results with Constant Currency

(In millions U.S. dollars, except per share data)

Q3 F'26

Q3 F'25

$ Change

% Change

Q3 F'26

in CC*

% Change in CC*

Revenues:

Cloud services and subscriptions

$492.9

$462.6

$30.3

6.6 %

$477.2

3.2 %

Customer support

564.8

567.4

(2.5)

(0.4) %

538.5

(5.1) %

Total annual recurring revenues**

$1,057.8

$1,030.0

$27.8

2.7 %

$1,015.7

(1.4) %

License

145.1

138.4

6.7

4.9 %

137.4

(0.7) %

Professional service and other

79.6

86.0

(6.4)

(7.4) %

74.9

(13.0) %

Total revenues

$1,282.5

$1,254.4

$28.1

2.2 %

$1,227.9

(2.1) %

GAAP-based operating income

$201.2

$209.1

(7.9)

(3.8) %

N/A

Non-GAAP-based operating income (1)

$403.7

$362.8

40.9

11.3 %

$376.1

3.7 %

GAAP-based net income, attributable to OpenText

$172.7

$92.8

$79.8

86.0 %

N/A

Non-GAAP-based net income attributable to OpenText (1)

$250.2

$215.8

$34.4

15.9 %

$230.6

6.9 %

GAAP-based EPS, diluted

$0.70

$0.35

100.0 %

N/A

Non-GAAP-based EPS, diluted (1)

$1.01

$0.82

$0.19

23.2 %

$0.93

13.4 %

Adjusted EBITDA (1)

$437.9

$395.3

$42.7

10.8 %

$410.0

3.7 %

Operating cash flows

$354.6

$402.2

$(47.6)

(11.8) %

N/A

Free cash flows (1)

$304.9

$373.8

$(69.0)

(18.4) %

N/A

(1) See reconciliation of GAAP-based measures to Non-GAAP-based measures at the end of this presentation.

Note: Individual line items in table may be adjusted by non-material amounts to enable totals to align to published financial statements.

*CC: Constant Currency for this purpose is defined as the current period reported revenues/expenses/earnings represented at the prior comparative period's foreign exchange rate.

** Annual recurring revenue is defined as the sum of Cloud services and subscriptions revenue and Customer support revenue.

Summary of Year to Date Results with Constant Currency

(In millions U.S. dollars, except per share data)

F'26 YTD

F'25 YTD

$ Change

% Change

F'26 in CC*

% Change in CC*

Revenues:

Cloud services and subscriptions

$1,455.5

$1,381.9

$73.6

5.3 %

$1,424.5

3.1 %

Customer support

1,733.6

1,753.5

(19.9)

(1.1) %

1,679.9

(4.2) %

Total annual recurring revenues**

$3,189.1

$3,135.4

$53.7

1.7 %

$3,104.4

(1.0) %

License

463.9

453.1

10.8

2.4 %

448.6

(1.0) %

Professional service and other

244.4

269.4

(25.0)

(9.3) %

234.9

(12.8) %

Total revenues

$3,897.4

$3,857.9

$39.5

1.0 %

$3,788.0

(1.8) %

GAAP-based operating income

$762.9

$711.1

$51.8

7.3 %

N/A

Non-GAAP-based operating income (1)

$1,291.2

$1,244.2

$47.0

3.8 %

$1,226.5

(1.4) %

GAAP-based net income, attributable to OpenText

$487.4

$407.0

$80.3

19.7 %

N/A

Non-GAAP-based net income attributable to OpenText (1)

$802.7

$757.9

$44.8

5.9 %

$756.7

(0.2) %

GAAP-based EPS, diluted

$1.94

$1.53

$0.41

26.8 %

N/A

Non-GAAP-based EPS, diluted (1)

$3.19

$2.85

$0.34

11.9 %

$3.01

5.6 %

Adjusted EBITDA (1)

$1,396.5

$1,340.5

$56.0

4.2 %

$1,331.4

(0.7) %

Operating cash flows

$821.0

$672.4

$148.6

22.1 %

N/A

Free cash flows (1)

$685.5

$563.4

$122.1

21.7 %

N/A

(1) See reconciliation of GAAP-based measures to Non-GAAP-based measures at the end of this presentation.

Note: Individual line items in table may be adjusted by non-material amounts to enable totals to align to published financial statements.

*CC: Constant Currency for this purpose is defined as the current period reported revenues/expenses/earnings represented at the prior comparative period's foreign exchange rate.

** Annual recurring revenue is defined as the sum of Cloud services and subscriptions revenue and Customer support revenue.

Reconciliation of Selected Non-GAAP Measures | Q3 F'26

(In '000's U.S. dollars, except per share data)

Three Months Ended March 31, 2026

GAAP

GAAP % of Total Revenue

Adjustments

Non-GAAP

Non-GAAP % of Total Revenue

COST OF REVENUES

Cloud services and subscriptions

$ 177,360

$ (1,473)

(1)

$ 175,887

Customer support

56,064

(789)

(1)

55,275

Professional service and other

63,509

(654)

(1)

62,855

Amortization of acquired technology-based intangible assets

43,322

(43,322)

(2)

GAAP-based gross profit and gross margin (%) /

Non-GAAP-based gross profit and gross margin (%)

937,273

73.1%

46,238

(3)

983,511

76.7%

Operating expenses

Research and development

171,166

(2,786)

(1)

168,380

Sales and marketing

282,624

(8,323)

(1)

274,301

General and administrative

108,667

(5,852)

(1)

102,815

Amortization of acquired customer-based intangible assets

65,408

(65,408)

(2)

Special charges (recoveries)

73,884

(73,884)

(4)

GAAP-based income from operations / Non-GAAP-based income from operations

201,213

202,491

(5)

403,704

Other income (expense), net

80,231

(80,231)

(6)

Provision for income taxes

34,282

44,749

(7)

79,031

GAAP-based net income / Non-GAAP-based net income, attributable to OpenText

172,652

77,511

(8)

250,163

GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted,

attributable to OpenText $ 0.70 $ 0.31 (8) $ 1.01

Reconciliation of Selected Non-GAAP Measures | Q3 F'26

FOOTNOTES

1 Adjustment relates to the exclusion of share-based compensation expense from our Non-GAAP-based operating expenses as this expense is excluded from our internal analysis of operating results.

2 Adjustment relates to the exclusion of amortization expense from our Non-GAAP-based operating expenses as the timing and frequency of amortization expense is dependent on our acquisitions and is hence excluded from our internal analysis of operating results.

3 GAAP-based and Non-GAAP-based gross profit stated in dollars and gross margin stated as a percentage of total revenue.

4 Adjustment relates to the exclusion of special charges (recoveries) from our Non-GAAP-based operating expenses as special charges (recoveries) are generally incurred in the periods relevant to an acquisition and include certain charges or recoveries that are not indicative or related to continuing operations and are therefore excluded from our internal analysis of operating results.

5 GAAP-based and Non-GAAP-based income from operations stated in dollars.

Adjustment relates to the exclusion of other income (expense) from our Non-GAAP-based operating expenses as other income (expense) generally relates to the transactional impact of foreign exchange and is generally not indicative or related to continuing operations and is therefore excluded from our internal analysis of operating results. Other income (expense) also includes our share of

6 income (losses) from our holdings in investments as a limited partner. We do not actively trade equity securities in these privately held companies nor do we plan our ongoing operations based around any anticipated fundings or distributions from these investments. We exclude gains and losses on these investments as we do not believe they are reflective of our ongoing business and operating

results. Other income (expense) also includes unrealized and realized gains (losses) on our derivatives which are not designated as hedges. We exclude gains and losses on these derivatives as we do not believe they are reflective of our ongoing business and operating results.

Adjustment relates to differences between the GAAP-based tax provision rate of approximately 17% and a Non-GAAP-based tax rate of approximately 24%; these rate differences are due to the income tax effects of items that are excluded for the purpose of calculating Non-GAAP-based net income. Such excluded items include amortization, share-based compensation, special charges

7 (recoveries) and other income (expense), net. Also excluded are tax benefits/expense items unrelated to current period income such as changes in reserves for tax uncertainties and valuation

allowance reserves and "book to return" adjustments for tax return filings and tax assessments. Beginning in Fiscal 2025, net tax benefits arising from the internal reorganization that occurred in Fiscal

2017 have been fully utilized and are no longer included. In arriving at our Non-GAAP-based tax rate of approximately 24%, we analyzed the individual adjusted expenses and took into consideration the impact of statutory tax rates from local jurisdictions incurring the expense.

Three Months Ended March 31, 2026

Per share diluted

8 Reconciliation of GAAP-based net income to Non-GAAP-based net income:

GAAP-based net income, attributable to OpenText

$ 172,652

0.70

Add:

Amortization

108,730

0.43

Share-based compensation

19,877

0.08

Special charges (recoveries)

73,884

0.30

Other (income) expense, net

(80,231)

(0.32)

GAAP-based provision for income taxes

34,282

0.14

Non-GAAP-based provision for income taxes

(79,031)

(0.32)

Non-GAAP-based net income, attributable to OpenText

$ 250,163

1.01

Reconciliation of Selected Non-GAAP Measures | F'26

(In '000's U.S. dollars, except per share data)

Nine months ended March 31, 2026

GAAP

GAAP % of Total Revenue

Adjustments

Non-GAAP

Non-GAAP % of Total Revenue

COST OF REVENUES

Cloud services and subscriptions

$ 519,829

$ (4,819)

(1)

$ 515,010

Customer support

178,625

(2,929)

(1)

175,696

Professional service and other

189,084

(1,975)

(1)

187,109

Amortization of acquired technology-based intangible assets

131,730

(131,730)

(2)

GAAP-based gross profit and gross margin (%) / Non-GAAP-based gross profit and gross margin (%)

2,856,989

73.3%

141,453

(3)

2,998,442

76.9%

Operating expenses

Research and development

498,603

(11,234)

(1)

487,369

Sales and marketing

827,674

(23,056)

(1)

804,618

General and administrative

324,541

(14,777)

(1)

309,764

Amortization of acquired customer-based intangible assets

223,614

(223,614)

(2)

Special charges (recoveries)

114,141

(114,141)

(4)

GAAP-based income from operations / Non-GAAP-based income from operations

762,917

528,275

(5)

1,291,192

Other income (expense), net

80,187

(80,187)

(6)

Provision for income taxes

120,815

132,731

(7)

253,546

GAAP-based net income / Non-GAAP-based net income, attributable to OpenText

487,359

315,357

(8)

802,716

GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted,

attributable to OpenText $ 1.94 $ 1.25 (8) $ 3.19

Reconciliation of Selected Non-GAAP Measures | F'26

FOOTNOTES

1 Adjustment relates to the exclusion of share-based compensation expense from our Non-GAAP-based operating expenses as this expense is excluded from our internal analysis of operating results.

2 Adjustment relates to the exclusion of amortization expense from our Non-GAAP-based operating expenses as the timing and frequency of amortization expense is dependent on our acquisitions and

is hence excluded from our internal analysis of operating results

3 GAAP-based and Non-GAAP-based gross profit stated in dollars and gross margin stated as a percentage of total revenue.

5 GAAP-based and Non-GAAP-based income from operations stated in dollars.

any anticipated fundings or distributions from these investments. We exclude gains and losses on these investments as we do not believe they are reflective of our ongoing business and operating

Adjustment relates to differences between the GAAP-based tax provision rate of approximately 20% and a Non-GAAP-based tax rate of approximately 24%; these rate differences are due to the income tax effects of items that are excluded for the purpose of calculating Non-GAAP-based net income. Such excluded items include amortization, share-based compensation, special charges

7 (recoveries) and other income (expense), net. Also excluded are tax benefits/expense items unrelated to current period income such as changes in reserves for tax uncertainties and valuation

Nine months ended March 31, 2026

Per share diluted

8 Reconciliation of GAAP-based net income to Non-GAAP-based net income:

GAAP-based net income, attributable to OpenText

$ 487,359

1.94

Add:

Amortization

355,344

1.41

Share-based compensation

58,790

0.23

Special charges (recoveries)

114,141

0.46

Other (income) expense, net

(80,187)

(0.32)

GAAP-based provision for income taxes

120,815

0.48

Non-GAAP-based provision for income taxes

(253,546)

(1.01)

Non-GAAP-based net income, attributable to OpenText

$ 802,716

3.19

Disclaimer

Open Text Corporation published this content on May 08, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 07, 2026 at 20:28 UTC.