Page 1

OpenText Reports First Quarter Fiscal Year 2022 Financial Results Organic Growth Powers Record Q1 Total Revenues , Annual Recurring Revenues ( ARR ) and Cloud Revenues First Quarter Highlights Total Revenues ( in millions ) Reported $ 832.3 + 3.5 % Constant Currency $ 819.7 + 2.0 % Annual Recurring Revenues ( in millions ) Constant Reported Currency $ 691.8 $ 681.6 + 3.2 % + 1.7 % Annual Recurring Revenues represent 83 % of Total Revenues GAAP - based diluted EPS of $ 0.48 , up 26.3 % Y / Y Non - GAAP diluted EPS of $ 0.83 , down 6.7 % Y / Y Cloud Revenues ( in millions ) Reported $ 356.6 + 4.6 % Q1 results reflective of our cloud - first strategy and continued investments in talent , innovation , go - to market and digital projects to drive organic growth Operating cash flows were $ 189.7 million and free cash flows were $ 163.0 million GAAP - based net income of $ 131.9 million , up 27.6 % Y / Y , margin of 15.8 % , up 290 basis points Y / Y Adjusted EBITDA of $ 323.4 million , margin of 38.9 % Constant Currency $ 353.2 + 3.6 % Waterloo , ON , November 4 , 2021 - Open Text Corporation ( NASDAQ : OTEX ) , ( TSX : OTEX ) , today announced its financial results for the first quarter ended September 30 , 2021 . " Organic growth powered our record first quarter revenues as we continued delivering Information Management in the Cloud at scale , " said Mark J. Barrenechea , OpenText CEO & CTO . " In Q1 , we delivered $ 832.3 million in total revenues , up 3.5 % year - over - year which was led by our Cloud revenues of $ 356.6 million , up 4.6 % year - over - year . Annual Recurring Revenues ( ARR ) of $ 691.8 million increased 3.2 % year - over - year and accounted for 83 % of our total revenues . " 1 " OpenText is leading our customers on their path to digitalization as they shift their work from productivity to creativity . Organizations across the globe trust the OpenText Cloud to deliver greater flexibility , agility and scale to meet the challenges of today's distributed work environment , " said Mr. Barrenechea . " The OpenText Cloud uniquely positions us to win customers and take leadership in each of our markets as we empower businesses of all sizes to master modern work , power modern experiences , digitize supply chains , strengthen cyber resilience and build the API economy . " " Our Q1 results continue to demonstrate the strength of the Open Text business model , delivering strong operational performance , generating $ 323.4 million of adjusted EBITDA and $ 163.0 million in free cash flows , " said Madhu Ranganathan , OpenText EVP , CFO . " With approximately $ 1.7 billion of cash as of September 30 , 2021 , and a net leverage ratio of 1.4x , our balance sheet and liquidity position remain strong . We are confident in our ability to further improve operations , supporting exceptional customer experiences and providing ample opportunity for OpenText to focus on our organic growth initiatives . "