Slides
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FYE25 Fourth QuarterConference CallMarch 26, 2025The CX Automation LeaderDelivering AI Business Outcomes NOW
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© 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.2 Forward-Looking StatementsThis presentation contains "forward-looking statements," including statements regarding expectations, predictions, views, opportunities, plans, strategies, beliefs, and statements of similar effect relating to Verint Systems Inc. These forward-looking statements are not guarantees of future performance and they are based on management's expectations that involve a number of known and unknown risks, uncertainties, assumptions, and other important factors, any of which could cause our actual results to differ materially from those expressed in or implied by the forward-looking statements. The forward-looking statements contained in this presentation are made as of the date of this presentation and, except as required by law, Verint assumes no obligation to update or revise them, or to provide reasons why actual results may differ. For a more detailed discussion of how these and other risks, uncertainties, and assumptions could cause Verint’s actual results to differ materially from those indicated in its forward-looking statements, see Verint’s prior filings with the Securities and Exchange Commission.Non-GAAP Financial MeasuresThis presentation includes financial measures which are not prepared in accordance with generally accepted accounting principles (“GAAP”), including certain constant currency measures. For a description of these non-GAAP financial measures, including the reasons management uses each measure, and reconciliations of these non-GAAP financial measures to the most directly comparable financial measures prepared in accordance with GAAP , please see the appendices to this presentation, Verint’s earnings press releases, as well as the GAAP to non-GAAP reconciliation found under the Investor Relations tab on Verint’s website Verint.com. Disclaimers
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FYE25: Subscription ARR Growth AccelerationQ4 FYE25: 5% ARR Growth, Ahead of GuidanceQ4 FYE26: 8% ARR Growth, Raising Outlook to $768 Million +/-1% © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.3 $768 +/- 1%Q4 FYE26Guidance$668$685$695$712Q1 FYE25 Q2 FYE25 Q3 FYE25 Q4 FYE255% Growth8% Growthat Mid-pointNote: Amounts in USD millions. Growth is provided on a year over year basis. 5% growth in Q4 FYE25 is adjusted for the divestiture.
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Three Key Drivers Behind ARR Growth Acceleration © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.4StrongerDifferentiated and Strong AI Business Outcomes, NowFaster Start Small, Prove Desired Outcomes, Quickly ScaleBot SeedingPrior Years Seeding Drives Expansions in FYE26
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First Driver: Stronger AI Business Outcomes $70MSavedAn insurer reduced average call duration by ~30 seconds with Verint Copilot Bot $45MSavedA telco increased agent productivity 5% and increased revenue withVerint Copilot Bot
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Second Driver: Faster AI Business Outcomes Verint Platform automates CX workflowswith hybrid cloud model CRM Vendors AI Vendors CCaaS/UCaaS VendorsCustomers can keep existing systemsand layer bots on top quickly
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© 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.7$1.5$1.0$0.1$2.5Q4 FYE24 Q4 FYE25Leading Financial Services CompanyAdded7 Bots$2.3$2.7$1.6Q4 FYE24 Q4 FYE25Leading Insurance Company$1.4$1.3$2.8Q4 FYE24 Q4 FYE25Leading Telecom CompanyExpanded1 BotAdded3 BotsBundled SaaS ARR (AI)Other Subscription ARR Bot Adoption in Hybrid Cloud Driving ARR AccelerationFYE25 Bot Adoption – Customer Examples$1.6$3.5$4.1<$0.1Note: Amounts in USD millions. $2.3$4.3
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© 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.8Note: Amounts in USD millions. Telecom Company Adopted 10 Bots with Increasing Usage Third Driver: Bot Seeding Customers Start AI Journey Small, Prove Outcomes and Scale Over Time$0.2$0.3$0.4$1.8Q4 FYE23Q4 FYE24Q4 FYE25$0.6$2.1$8.5Bundled SaaS ARR (AI)Other Subscription ARROver 90 brands of the Fortune 500 Already Deployed AI from Verint Customer Example
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Record Q4 Bookings SaaS ACV Bookings from New Deals Grew 30% Y-o-YLarge Competitive Wins © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.9 $27MTCV Renewal and expansion from insurance company $10MTCVOne Copilot bot purchased by telecom company
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Summary © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.10 Strong AI Momentum Record Q4 Bookings and ARR Ahead of GuidanceRaising FYE26 ARR Outlook Well Positioned for Long Term Growth
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© 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.11Financial Review
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FYE25: Subscription ARR Growth AccelerationQ4 FYE25: 5% ARR Growth, Ahead of GuidanceQ4 FYE26: 8% ARR Growth, Raising Outlook to $768 Million +/-1% © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.12 $768 +/- 1%Q4 FYE26Guidance$668$685$695$712Q1 FYE25 Q2 FYE25 Q3 FYE25 Q4 FYE255% Growth8% Growthat Mid-pointNote: Amounts in USD millions. Growth is provided on a year over year basis. 5% growth in Q4 FYE25 is adjusted for the divestiture.
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Record SaaS Bookings from New Deals in Q4Q4 FYE25: 30% GrowthFYE26: Growth to be Driven by Bot Adoption and Increased Usage © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.13Note: Amounts in USD millions. Growth is provided on a year over year basis.$19 $19$27$32Q1 Q2 Q3 Q434% Growth29% Growth 37% Growth 30% Growth
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FYE25 Bundled SaaS – Revenue and ARR © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.14Note: Amounts in USD millions. Growth is provided on a year over year basis.$283$301$313$328Q1 Q2 Q3 Q49% Growth14% Growth15% Growth17% GrowthBundled SaaS Revenue$66$72$75$81Q1 Q2 Q3 Q49% Growth15% Growth19% Growth23% GrowthBundled SaaS ARR FYE25 Growth: 17%
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Cash Generation – Ratable View of BusinessFYE25 Came In Ahead of Guidance FYE25 ActualsFYE25 Guidance$712 $704Q4 FYE25 ARR$201$201Non-Recurring Perpetual and Professional Services & Other Revenue$913$905Cash Generation($685)($693)Less: Non-GAAP COGS and OpEx$228$212Cash Contribution25%23%Operating Efficiency © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.15Note: Amounts in USD millions. Cost of revenue and operating expense provided on a Non-GAAP basis only
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Reporting Q4 Results Two WaysRatable and Non-Ratable Views © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.16 Q4 ARR – RatableStrong SaaS ACV bookings drove ARR overachievementRatable view reflects true growth regardless of SaaS bookings mixQ4 Revenue and Diluted EPSAll revenue streams came in as expectedexcept the Unbundled SaaS streamShortfall due to a few Unbundled SaaS deals that did not materialize in Q4
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FYE26 Guidance – Two WaysRatable and Non-Ratable Views © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.17 FYE26 P&L (With WiderRange)Revenue:$960 million +/- 3%Operating Margin:ExpansionNon-GAAP Diluted EPS(1):$2.93Q1 FY26Revenue: $190 - $200 millionFYE26 Ratable (With NarrowRange)Subscription ARR: $768 million +/- 1%Cash Generation: $960 million +/- 1%Cash Contribution(1): ~$245 millionQ1 FYE26 Subscription ARR: 6% GrowthNote: Guidance is provided on a non-GAAP basis. Growth is provided on a year over year basis.(1) Based upon mid point of Cash Generation and Revenue guidance, respectively.
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Balance Sheet © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.18Strong Balance Sheet with Low Net LeverageOngoing Share Repurchase AuthorizationIncreased Size and Extended Term of Revolver
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Summary © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.19 Strong AI MomentumRecord Q4 Bookings and ARR Ahead of GuidanceRaising FYE26 ARR Outlook Guiding Two Ways to Reflect Ratable Growth Trends
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Appendix © 2025 Verint Systems Inc. All marks referenced herein are trademarks, registered or otherwise, of Verint Systems Inc. (“Verint”), its subsidiaries, or its respective licensor owners. All Rights Reserved Worldwide.20
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Financial Outlook
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Operating Metrics Year Ended Year Ended Year Ended Year Ended Year Ended($ in millions)1/31/2021 1/31/2022 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/202410/31/2024 (8) (9)1/31/2025 1/31/2025Subscription ARR(10)$667.7 $665.0 $670.5 $676.6 $676.6 $668.1 $684.7 $695.3 $711.8 $711.8 Subscription ARR Growth YoY(10)0.1% 3.0% 3.7% 5.2% 5.2%SaaS ARR$397.4 $498.0 $493.7 $502.9 $512.3 $534.4 $534.4 $537.7 $556.5 $570.1 $597.9 $597.9 SaaS ARR Growth YoY25.3% 22.9% 17.4% 11.2% 7.3% 7.3% 8.9% 10.7% 11.3% 11.9% 11.9%Bundled SaaS ARR$237.1 $263.8 $260.2 $264.7 $273.1 $281.5 $281.5 $283.5 $301.1 $312.9 $328.0 $328.0 Bundled SaaS ARR Growth YoY11.3% 16.1% 11.1% 10.6% 6.7% 6.7% 8.9% 13.8% 14.6% 16.5% 16.5%SaaS ACV$66.2 $94.0 $102.1 $16.0 $26.5 $25.4 $25.4 $93.3 $19.8 $21.1 $27.9 $33.9 $102.7 SaaS ACV ComponentsBundled SaaS$67.0 $64.7 $11.9 $21.0 $22.3 $18.1 $73.2 $14.9 $14.8 $18.5 $20.7 $68.9 Bundled SaaS - New Deals ACV$40.5 $10.4 $9.5 $16.7 $17.5 $54.1 $14.5 $13.0 $17.8 $19.2 $64.6 Bundled SaaS - Conversion ACV$24.2 $1.5 $11.5 $5.5 $0.5 $19.1 $0.4 $1.8 $0.7 $1.4 $4.3 Unbundled SaaS$26.9 $37.4 $4.1 $5.5 $3.1 $7.4 $20.1 $4.9 $6.2 $9.4 $13.2 $33.8 SaaS ACV from New Deals$77.8 $14.5 $14.9 $19.9 $24.9 $74.2 $19.4 $19.2 $27.2 $32.5 $98.4 SaaS ACV from New Deals Growth YoY-17.8% -31.5% 10.0% 22.2% -4.7% 34.1% 28.8% 37.1% 30.3% 32.6%(8) SaaS ACV from new deals across Bundled SaaS and Unbundled SaaS was $27.2 million, representing an increase of 37% year-over-year. New deals include expansions and new functionality. (9) SaaS ACV from conversion deals in Q3 was minimal, $0.7 million, due to the success of our hybrid cloud model as customers know they can add AI now and convert the rest of their Verint solutions later when they are ready. Conversion deals include like-to-like conversions of existing on premises deployments to the Verint Cloud Platform in Bundled SaaS. (10) Adjusted for the quality managed services divestiture, which closed January 31, 2024. SaaS ARR has not been adjusted for the divestiture due to the immaterial nature of the adjustments. Three Months Ended Three Months Ended
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Cash Operating Metrics($ in millions)1/31/2024 1/31/2025Subscription ARR(10) $ 676.6 $ 711.8 Perpetual and professional services revenue 211.1 201.1 Cash generation $ 887.8 $ 912.8 Non-GAAP cost of revenue and operating expenses(11) 664.1 684.7 Cash contribution $ 223.7 $ 228.1 (10) Adjusted for the quality managed services divestiture, which closed January 31, 2024. (11) For a reconciliation of Non-GAAP cost of revenue and operating expenses to the corresponding GAAP cost of revenue and operating expenses, refer to gross profit, operating expenses and divestitiure tabs.Year Ended
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SummaryGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPRecurring Revenue$685.5 $688.5 $166.4 $167.1 $161.0 $161.2 $161.1 $161.2 $210.7 $210.8 $699.2 $700.3 $173.5 $173.5 $163.2 $163.2 $179.9 $179.9 $191.5 $191.5 $708.1 $708.1 Nonrecurring Perpetual Revenue$116.6 $116.6 $24.3 $24.3 $25.2 $25.2 $24.6 $24.6 $25.8 $25.8 $99.9 $99.9 $24.9 $24.9 $23.8 $23.8 $23.5 $23.5 $36.3 $36.3 $108.5 $108.5 Nonrecurring Professional Services and other Revenue$100.1 $100.1 $25.8 $25.8 $24.0 $24.0 $32.9 $32.9 $28.7 $28.7 $111.3 $111.3 $22.8 $22.8 $23.1 $23.1 $20.9 $20.9 $25.7 $25.7 $92.5 $92.5 Total Revenue$902.2 $905.2 $216.6 $217.2 $210.2 $210.4 $218.5 $218.7 $265.1 $265.2 $910.4 $911.5 $221.3 $221.3 $210.2 $210.2 $224.2 $224.2 $253.5 $253.5 $909.2 $909.2 Reported Revenue Growth, adjusted for January 31, 2024 quality managed services divestiture5.5% 5.2% 3.2% 3.0% 5.5% 5.5% -2.2% -2.2% 2.7% 2.6%Reported Revenue Growth3.2% 2.8% -0.6% -0.9% -5.7% -5.9% -3.0% -3.1% 12.2% 12.0% 0.9% 0.7% 2.2% 1.9% 0.0% -0.1% 2.6% 2.5% -4.4% -4.4% -0.1% -0.3%Constant Currency Revenue Growth5.3% 5.0% 1.0% 0.3% -5.8% -6.1% -3.6% -3.8% 11.7% 11.5% 0.9% 0.6% 2.0% 1.8% -0.1% -0.2% 2.0% 2.0% -3.8% -3.9% -0.2% -0.3%Recurring Revenue Mix% of Software Revenue that is Recurring Revenue85.5% 85.5% 87.2% 87.3% 86.5% 86.5% 86.8% 86.8% 89.1% 89.1% 87.5% 87.5% 87.5% 87.5% 87.3% 87.3% 88.5% 88.5% 84.1% 84.1% 86.7% 86.7%Gross Profit$607.2 $631.7 $148.2 $151.5 $141.3 $146.3 $153.0 $155.9 $190.8 $198.2 $633.3 $651.9 $157.5 $160.1 $145.4 $149.7 $158.6 $161.3 $186.5 $192.8 $648.1 $663.9 Gross Margin %67.3% 69.8% 68.4% 69.8% 67.2% 69.5% 70.0% 71.3% 72.0% 74.7% 69.6% 71.5% 71.2% 72.4% 69.2% 71.2% 70.8% 72.0% 73.5% 76.1% 71.3% 73.0%Gross Profit Growth YoY5.4% 4.2% 5.0% 2.4% -4.4% -4.9% -1.2% -3.0% 16.8% 17.1% 4.3% 3.2% 6.3% 5.7% 2.9% 2.3% 3.7% 3.5% -2.3% -2.7% 2.3% 1.9%Research and Development, net$130.6 $115.6 $31.8 $29.3 $34.1 $28.8 $32.1 $29.0 $35.9 $32.7 $133.8 $119.8 $36.7 $31.7 $35.4 $30.7 $37.7 $34.1 $39.5 $32.1 $149.3 $128.7 % of Revenue14.5% 12.8% 14.7% 13.5% 16.2% 13.7% 14.7% 13.3% 13.5% 12.3% 14.7% 13.1% 16.6% 14.3% 16.8% 14.6% 16.8% 15.2% 15.6% 12.7% 16.4% 14.2%Selling, General and Administrative $392.9 $304.2 $101.3 $77.1 $108.4 $76.7 $87.9 $73.3 $108.4 $82.4 $405.9 $309.4 $93.3 $78.4 $93.2 $74.7 $96.0 $80.3 $97.1 $77.4 $379.6 $310.9 % of Revenue43.6% 33.6% 46.8% 35.5% 51.6% 36.4% 40.2% 33.5% 40.9% 31.1% 44.6% 33.9% 42.2% 35.4% 44.3% 35.5% 42.8% 35.8% 38.3% 30.5% 41.7% 34.2%Operating (Loss) Income$57.4 $211.8 $8.8 $45.1 ($7.5) $40.9 $26.7 $53.6 $40.2 $83.1 $68.2 $222.6 $24.4 $50.0 $13.9 $44.3 $21.7 $46.9 $46.3 $83.3 $106.4 $224.4 Operating Margin %6.4% 23.4% 4.1% 20.8% -3.6% 19.4% 12.2% 24.5% 15.2% 31.3% 7.5% 24.4% 11.0% 22.6% 6.6% 21.1% 9.7% 20.9% 18.3% 32.8% 11.7% 24.7%Adjusted EBITDA $237.3 $51.9 $47.4 $59.2 $88.7 $247.2 $56.3 $50.5 $53.5 $89.2 $249.5 Adjusted EBITDA Margin26.2% 23.9% 22.5% 27.1% 33.4% 27.1% 25.4% 24.0% 23.8% 35.2% 27.4%Diluted EPS($0.09) $2.52 ($0.03) $0.53 ($0.17) $0.48 $0.12 $0.65 $0.37 $1.07 $0.28 $2.73 $0.16 $0.59 $0.02 $0.49 $0.39 $0.54 $0.45 $0.99 $1.04 $2.62 Gross Profit MetricsOperating Expense Metrics ($ in millions)Revenue Metrics 1/31/2024 1/31/20244/30/2023 10/31/2023 4/30/2024 Year Ended Three Months Ended Year EndedYear Ended Three Months Ended1/31/20257/31/2024 Profitability Metrics1/31/2023 7/31/2023 10/31/2024 1/31/2025
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Divestiture RevenueYear Ended($ in millions) 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 RevenueTotal GAAP revenue 216.6$ 210.2$ 218.5$ 265.1$ 910.4$ Revenue from divested offering 6.8 6.4 6.1 5.9 25.2 Total GAAP revenue without divested offering 209.8$ 203.7$ 212.4$ 259.2$ 885.1$ Total non-GAAP revenue 217.2$ 210.4$ 218.7$ 265.2$ 911.5$ Revenue from divested offering 6.8 6.4 6.1 5.9 25.2 Total non-GAAP revenue without divested offering 210.4$ 204.0$ 212.6$ 259.3$ 886.2$ Cost of RevenueTotal GAAP cost of revenue 68.4$ 68.9$ 65.5$ 74.3$ 277.1$ Cost of revenue from divested offering 5.7 5.7 4.8 8.5 24.5 Total GAAP cost of revenue without divested offering 62.7 63.2 60.8 65.8 252.6 Amortization of acquired technology 2.0 1.9 1.6 1.6 7.1 Stock-based compensation expenses 0.4 1.4 1.1 1.2 4.1 Acquisition and divestitures expenses, net 0.1 0.0 0.0 0.0 0.1 Restructuring expenses 0.3 1.0 0.0 0.7 2.0 Total non-GAAP cost of revenue without divested offering 60.0$ 58.9$ 58.1$ 62.3$ 239.3$ Operating ExpensesTotal GAAP operating expenses 139.4$ 148.8$ 126.3$ 150.6$ 565.1$ Operating expenses from divested offering 1.5 1.7 1.2 7.9 12.3 Total GAAP operating expenses without divested offering 137.9 147.1 125.1 142.7 552.8 Amortization of other acquired intangible assets 6.2 6.2 6.2 6.2 24.9 Stock-based compensation expenses 14.5 17.7 15.0 16.2 63.3 Acquisition and divestitures expenses (benefit), net 7.8 (1.8) (0.2) 3.9 9.6 Restructuring expenses 1.1 2.0 0.5 0.7 4.4 Accelerated lease costs 0.3 4.7 0.1 0.1 5.2 IT facilities and infrastructure realignment 2.8 13.5 1.9 1.4 19.6 Other adjustments 0.2 0.4 0.2 0.2 1.0 Total non-GAAP operating expenses without divested offering 105.1$ 104.3$ 101.3$ 114.0$ 424.8$ Three Months Ended
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Recurring SummaryGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPRecurring Revenue$685.5 $688.5 $166.4 $167.1 $161.0 $161.2 $161.1 $161.2 $210.7 $210.8 $699.2 $700.3 $173.5 $173.5 $163.2 $163.2 $179.9 $179.9 $191.5 $191.5 $708.1 $708.1 SaaS$444.2 $447.0 $117.1 $117.8 $113.4 $113.7 $115.7 $115.8 $168.6 $168.7 $514.8 $515.9 $141.0 $141.0 $131.1 $131.1 $148.7 $148.7 $161.9 $161.9 $582.6 $582.6 SaaS Bundled$222.6 $225.4 $59.5 $60.1 $62.1 $62.3 $63.3 $63.4 $65.8 $65.9 $250.5 $251.6 $65.7 $65.7 $71.6 $71.6 $75.2 $75.2 $80.7 $80.7 $293.2 $293.2 SaaS Unbundled $221.6 $221.6 $57.7 $57.7 $51.4 $51.4 $52.4 $52.4 $102.8 $102.8 $264.3 $264.3 $75.3 $75.3 $59.5 $59.5 $73.4 $73.4 $81.1 $81.1 $289.4 $289.4 Support $179.9 $180.0 $36.4 $36.4 $35.4 $35.4 $33.6 $33.6 $31.3 $31.3 $136.7 $136.7 $27.4 $27.4 $26.6 $26.6 $25.5 $25.5 $24.2 $24.2 $103.5 $103.5 Optional Managed Services$61.4 $61.6 $12.9 $12.9 $12.2 $12.2 $11.8 $11.8 $10.8 $10.8 $47.7 $47.7 $5.2 $5.2 $5.6 $5.6 $5.7 $5.7 $5.5 $5.5 $22.0 $22.0 Recurring Revenue Growth YoY8.3% 7.7% 4.4% 4.0% -3.3% -3.5% -7.5% -7.7% 13.6% 13.3% 2.0% 1.7% 4.3% 3.9% 1.4% 1.2% 11.6% 11.5% -9.1% -9.2% 1.3% 1.1%Constant Currency Recurring Revenue Growth YoY10.6% 10.1% 5.9% 5.4% -3.6% -3.9% -8.4% -8.5% 13.1% 12.9% 1.9% 1.6% 4.2% 3.8% 1.5% 1.3% 10.8% 10.7% -8.7% -8.8% 1.2% 1.0%SaaS Revenue Growth YoY37.6% 36.1% 23.7% 22.7% 10.6% 10.1% -0.1% -0.3% 28.6% 28.2% 15.9% 15.4% 20.3% 19.7% 15.6% 15.3% 28.5% 28.4% -4.0% -4.1% 13.2% 12.9%Constant Currency SaaS Revenue Growth YoY39.9% 38.4% 25.1% 24.1% 10.3% 9.8% -0.9% -1.2% 28.1% 27.7% 15.8% 15.3% 20.2% 19.6% 15.6% 15.4% 27.5% 27.4% -3.6% -3.7% 13.0% 12.8%Recurring Gross Profit$523.2 $530.3 $126.8 $127.9 $121.4 $123.5 $122.2 $122.9 $165.9 $170.5 $536.4 $544.7 $137.6 $138.2 $126.9 $128.1 $141.1 $141.7 $152.4 $154.6 $558.0 $562.5 Recurring Gross Margin %76.3% 77.0% 76.2% 76.5% 75.4% 76.6% 75.9% 76.2% 78.7% 80.9% 76.7% 77.8% 79.3% 79.6% 77.8% 78.5% 78.5% 78.8% 79.6% 80.7% 78.8% 79.4%Recurring Gross Profit Growth YoY9.8% 9.3% 7.1% 6.3% -3.3% -3.0% -9.7% -10.3% 15.3% 17.0% 2.5% 2.7% 8.5% 8.0% 4.5% 3.7% 15.4% 15.3% -8.2% -9.3% 4.0% 3.3%7/31/2024Year Ended1/31/20251/31/2025Three Months Ended10/31/2024Year Ended4/30/20241/31/2024 Gross Profit($ in millions) Revenue Metrics Three Months Ended7/31/20234/30/2023 10/31/2023 1/31/20241/31/2023Year Ended
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Nonrecurring SummaryGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPGAAPNon-GAAPNonrecurring Perpetual Revenue$116.6 $116.6 $24.3 $24.3 $25.2 $25.2 $24.6 $24.6 $25.8 $25.8 $99.9 $99.9 $24.9 $24.9 $23.8 $23.8 $23.5 $23.5 $36.3 $36.3 $108.5 $108.5 Nonrecurring Professional Services and other Revenue$100.1 $100.1 $25.8 $25.8 $24.0 $24.0 $32.9 $32.9 $28.7 $28.7 $111.3 $111.3 $22.8 $22.8 $23.1 $23.1 $20.9 $20.9 $25.7 $25.7 $92.5 $92.5 Nonrecurring Perpetual Revenue Growth YoY-15.5% -15.5% -26.8% -26.8% -18.1% -18.1% 0.5% 0.5% -8.5% -8.5% -14.4% -14.4% 2.3% 2.3% -5.5% -5.5% -4.4% -4.4% 41.0% 41.0% 8.7% 8.7%Nonrecurring Professional Services and other Revenue Growth YoY-3.1% -3.1% 2.0% 2.0% -6.7% -6.7% 23.8% 23.8% 26.8% 26.8% 11.2% 11.2% -11.4% -11.4% -3.5% -3.5% -36.5% -36.5% -10.2% -10.2% -16.8% -16.8%Nonrecurring Perpetual Gross Profit$78.1 $78.2 $16.9 $17.0 $16.6 $16.6 $17.0 $17.0 $17.2 $17.2 $67.7 $67.8 $16.1 $16.1 $15.0 $15.0 $15.0 $15.0 $26.4 $26.4 $72.5 $72.6 Nonrecurring Perpetual Gross Margin %67.0% 67.0% 69.6% 69.8% 65.8% 65.8% 69.3% 69.3% 66.7% 66.8% 67.8% 67.9% 64.8% 64.8% 62.9% 63.0% 63.9% 63.9% 72.8% 72.8% 66.8% 66.9%Nonrecurring Perpetual Gross Profit Growth YoY-22.1% -22.1% -26.0% -25.9% -19.8% -19.8% 8.4% 8.4% -9.0% -9.0% -13.3% -13.3% -4.8% -4.9% -9.5% -9.4% -11.9% -11.8% 53.8% 53.8% 7.1% 7.1%Nonrecurring Professional Services and other Gross Profit$19.1 $23.2 $6.4 $6.6 $5.2 $6.2 $15.4 $15.9 $9.3 $10.5 $36.3 $39.4 $5.1 $5.8 $5.1 $6.6 $4.0 $4.6 $9.9 $11.8 $24.2 $28.8 Nonrecurring Professional Services and other Gross Margin %19.0% 23.1% 24.8% 25.8% 21.8% 26.1% 46.8% 48.5% 32.6% 36.7% 32.6% 35.4% 22.5% 25.5% 22.2% 28.4% 19.3% 22.0% 38.6% 45.9% 26.2% 31.1%Nonrecurring Professional Services and other Gross Profit Growth YoY13.0% 13.3% 78.2% 42.5% 2.5% 7.0% 111.3% 99.4% 200.6% 126.4% 90.6% 70.0% -19.5% -12.2% -1.4% 5.1% -73.8% -71.2% 6.5% 12.1% -33.2% -26.9%Gross Profit($ in millions)1/31/2023 4/30/2023Year Ended1/31/2025Year Ended1/31/2024 1/31/2025Three Months Ended7/31/2023 4/30/2024Year Ended 10/31/2023 1/31/2024Three Months Ended Revenue Metrics 7/31/2024 10/31/2024
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Constant CurrencyYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 GAAPRevenue for the three months ended prior period 874.5$ 217.9$ 222.9$ 225.2$ 236.2$ 902.2$ 216.6$ 210.2$ 218.5$ 265.1$ 910.4$ Revenue for the three months ended current period 902.2$ 216.6$ 210.2$ 218.5$ 265.1$ 910.4$ 221.3$ 210.2$ 224.2$ 253.5$ 909.2$ Revenue for the three months ended current period at constant currency (1) 921.0$ 220.0$ 210.0$ 217.0$ 264.0$ 910.0$ 221.0$ 210.0$ 223.0$ 255.0$ 909.0$ Reported period-over-period revenue growth 3.2% -0.6% -5.7% -3.0% 12.2% 0.9% 2.2% 0.0% 2.6% -4.4% -0.1%% impact from change in foreign currency exchange rates 2.1% 1.6% -0.1% -0.6% -0.5% 0.0% -0.2% -0.1% -0.6% 0.6% -0.1%Constant currency period-over-period revenue growth5.3% 1.0% -5.8% -3.6% 11.7% 0.9% 2.0% -0.1% 2.0% -3.8% -0.2%Non-GAAPRevenue for the three months ended prior period 880.7$ 219.2$ 223.6$ 225.6$ 236.8$ 905.2$ 217.2$ 210.4$ 218.7$ 265.2$ 911.5$ Revenue for the three months ended current period 905.2$ 217.2$ 210.4$ 218.7$ 265.2$ 911.5$ 221.3$ 210.2$ 224.2$ 253.5$ 909.2$ Revenue for the three months ended current period at constant currency (1) 925.0$ 220.0$ 210.0$ 217.0$ 264.0$ 911.0$ 221.0$ 210.0$ 223.0$ 255.0$ 909.0$ Reported period-over-period revenue growth 2.8% -0.9% -5.9% -3.1% 12.0% 0.7% 1.9% -0.1% 2.5% -4.4% -0.3%% impact from change in foreign currency exchange rates 2.2% 1.2% -0.2% -0.7% -0.5% -0.1% -0.1% -0.1% -0.5% 0.5% 0.0%Constant currency period-over-period revenue growth5.0% 0.3% -6.1% -3.8% 11.5% 0.6% 1.8% -0.2% 2.0% -3.9% -0.3%Three Months Ended Three Months Ended
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Gross ProfitYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 Gross Profit and Gross MarginTotal GAAP revenue 902.2$ 216.6$ 210.2$ 218.5$ 265.1$ 910.4$ 221.3$ 210.2$ 224.2$ 253.5$ 909.2$ Recurring costs 162.3 39.6 39.6 38.9 44.8 162.9 35.9 36.3 38.7 39.1 150.1 Nonrecurring perpetual costs 38.5 7.4 8.6 7.6 8.6 32.1 8.8 8.8 8.5 9.9 36.0 Nonrecurring professional services and other costs 81.0 19.4 18.7 17.5 19.3 75.0 17.7 18.0 16.8 15.8 68.3 Amortization of acquired technology 13.2 2.0 1.9 1.6 1.6 7.1 1.4 1.6 1.5 2.3 6.8 Total GAAP cost of revenue 295.1 68.4 68.9 65.5 74.3 277.1 63.8 64.7 65.6 67.1 261.1 GAAP gross profit 607.2$ 148.2$ 141.3$ 153.0$ 190.8$ 633.3$ 157.5$ 145.4$ 158.6$ 186.5$ 648.1$ GAAP gross margin 67.3% 68.4% 67.2% 70.0% 72.0% 69.6% 71.2% 69.2% 70.8% 73.5% 71.3%Revenue adjustments 3.0 0.6 0.2 0.1 0.1 1.1 - - - - - Amortization of acquired technology 13.2 2.0 1.9 1.6 1.6 7.1 1.4 1.6 1.5 2.3 6.8 Stock-based compensation expenses 5.7 0.4 1.4 1.1 1.2 4.1 1.1 2.2 0.9 2.5 6.7 Acquisition and divestitures expenses (benefit), net 0.2 0.1 0.3 0.0 (0.2) 0.1 - - 0.0 0.3 0.3 Restructuring expenses (benefit) 2.4 0.3 1.2 (0.0) 4.7 6.1 0.2 0.4 0.2 1.3 2.1 Separation expenses (2) - - - - - - - - - - - Non-GAAP gross profit 631.7$ 151.5$ 146.3$ 155.9$ 198.2$ 651.9$ 160.1$ 149.7$ 161.3$ 192.8$ 663.9$ Non-GAAP gross margin 69.8% 69.8% 69.5% 71.3% 74.7% 71.5% 72.4% 71.2% 72.0% 76.1% 73.0%Recurring Gross Profit and Gross MarginGAAP recurring revenue 685.5$ 166.4$ 161.0$ 161.1$ 210.7$ 699.2$ 173.5$ 163.2$ 179.9$ 191.5$ 708.1$ GAAP recurring costs 162.3 39.6 39.6 38.9 44.8 162.9 35.9 36.3 38.7 39.1 150.1 GAAP recurring gross profit 523.2 126.8 121.4 122.2 165.9 536.4 137.6 126.9 141.1 152.4 558.0 GAAP recurring gross margin 76.3% 76.2% 75.4% 75.9% 78.7% 76.7% 79.3% 77.8% 78.5% 79.6% 78.8%Recurring revenue adjustments 3.0 0.6 0.2 0.1 0.1 1.1 - - - - - Recurring stock-based compensation expenses 2.9 0.3 0.7 0.5 0.6 2.1 0.5 1.1 0.5 1.4 3.6 Recurring acquisition and divestitures expenses (benefit), net 0.0 0.1 0.3 0.0 (0.2) 0.1 - - 0.0 0.2 0.2 Recurring restructuring expenses (benefit) 1.3 0.1 0.8 (0.0) 4.1 5.0 0.0 (0.0) 0.0 0.7 0.7 Recurring separation expenses (2) - - - - - - - - - - - Non-GAAP recurring gross profit 530.3$ 127.9$ 123.5$ 122.9$ 170.5$ 544.7$ 138.2$ 128.1$ 141.7$ 154.6$ 562.5$ Non-GAAP recurring gross margin 77.0% 76.5% 76.6% 76.2% 80.9% 77.8% 79.6% 78.5% 78.8% 80.7% 79.4%Nonrecurring Perpetual Gross Profit and Gross MarginGAAP nonrecurring perpetual revenue 116.6$ 24.3$ 25.2$ 24.6$ 25.8$ 99.9$ 24.9$ 23.8$ 23.5$ 36.3$ 108.5$ GAAP nonrecurring perpetual costs 38.5 7.4 8.6 7.6 8.6 32.1 8.8 8.8 8.5 9.9 36.0 GAAP nonrecurring prepetual gross profit 78.1 16.9 16.6 17.0 17.2 67.7 16.1 15.0 15.0 26.4 72.5 GAAP nonrecurring perpetual gross margin 67.0% 69.6% 65.8% 69.3% 66.7% 67.8% 64.8% 62.9% 63.9% 72.8% 66.8%Nonrecurring perpetual stock-based compensation expenses (benefit) 0.0 0.0 0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.0 0.1 Nonrecurring perpetual restructuring expenses 0.0 - - - - - - - 0.0 0.0 0.0 Non-GAAP nonrecurring perpetual gross profit 78.2$ 17.0$ 16.6$ 17.0$ 17.2$ 67.8$ 16.1$ 15.0$ 15.0$ 26.4$ 72.6$ Non-GAAP nonrecurring perpetual gross margin 67.0% 69.8% 65.8% 69.3% 66.8% 67.9% 64.8% 63.0% 63.9% 72.8% 66.9%Nonrecurring Professional Services And Other Gross Profit and Gross MarginGAAP nonrecurring professional services and other revenue 100.1$ 25.8$ 24.0$ 32.9$ 28.7$ 111.3$ 22.8$ 23.1$ 20.9$ 25.7$ 92.5$ GAAP nonrecurring professional services and other costs 81.0 19.4 18.7 17.5 19.3 75.0 17.7 18.0 16.8 15.8 68.3 GAAP nonrecurring professional services and other gross profit 19.1 6.4 5.2 15.4 9.3 36.3 5.1 5.1 4.0 9.9 24.2 GAAP nonrecurring professional services and other gross margin 19.0% 24.8% 21.8% 46.8% 32.6% 32.6% 22.5% 22.2% 19.3% 38.6% 26.2%Nonrecurring professional services and other stock-based compensation expenses 2.8 0.1 0.7 0.6 0.6 1.9 0.5 1.0 0.4 1.1 3.0 Nonrecurring professional services and other acquisition and divestitures expenses (benefit), net 0.2 - - - - - - - - 0.1 0.1 Nonrecurring professional services and other restructuring expenses (benefit) 1.2 0.2 0.3 0.0 0.6 1.1 0.2 0.4 0.2 0.6 1.5 Nonrecurring professional services and other separation expenses (2) - - - - - - - - - - - Non-GAAP professional services and other nonrecurring gross profit 23.2$ 6.6$ 6.2$ 15.9$ 10.5$ 39.4$ 5.8$ 6.6$ 4.6$ 11.8$ 28.8$ Non-GAAP professional services and other nonrecurring gross margin 23.1% 25.8% 26.1% 48.5% 36.7% 35.4% 25.5% 28.4% 22.0% 45.9% 31.1% Three Months Ended Three Months Ended
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Operating ExpensesYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 Research and Development, netGAAP research and development, net 130.6$ 31.8$ 34.1$ 32.1$ 35.9$ 133.8$ 36.7$ 35.4$ 37.7$ 39.5$ 149.3$ as a % of GAAP revenue 14.5% 14.7% 16.2% 14.7% 13.5% 14.7% 16.6% 16.8% 16.8% 15.6% 16.4%Stock-based compensation expenses (12.6) (2.3) (3.5) (3.0) (3.1) (11.9) (3.5) (4.5) (3.1) (3.7) (14.8) Acquisition and divestitures (expenses) benefit, net (0.2) (0.1) (0.0) (0.0) (0.0) (0.1) - (0.0) (0.2) (2.6) (2.8) Restructuring expenses (2.1) (0.1) (0.2) (0.0) (0.0) (0.3) (1.5) (0.2) (0.4) (1.1) (3.1) Separation expenses (2) - - - - - - - - - - - IT facilities and infrastructure realignment (6) - - (1.6) - (0.0) (1.7) - - - - - Other Adjustments (0.1) (0.0) 0.0 - - - - - - - - Discontinued operations corporate overhead adjustment - - - - - - - - - - - Allocation methodology difference - - - - - - - - - - - Non-GAAP research and development, net115.6$ 29.3$ 28.8$ 29.0$ 32.7$ 119.8$ 31.7$ 30.7$ 34.1$ 32.1$ 128.7$ as a % of non-GAAP revenue 12.8% 13.5% 13.7% 13.3% 12.3% 13.1% 14.3% 14.6% 15.2% 12.7% 14.2%Selling, General and Administrative expensesGAAP selling, general and administrative expenses392.9$ 101.3$ 108.4$ 87.9$ 108.4$ 405.9$ 93.3$ 93.2$ 96.0$ 97.1$ 379.6$ as a % of GAAP revenue 43.6% 46.8% 51.6% 40.2% 40.9% 44.6% 42.2% 44.3% 42.8% 38.3% 41.7%Stock-based compensation expenses (57.9) (12.2) (14.3) (12.1) (13.0) (51.6) (13.4) (17.1) (14.1) (12.5) (57.1) Acquisition and divestitures benefit (expenses), net (7) (1.3) (7.7) 1.8 0.2 (10.1) (15.7) (0.2) (0.8) (1.0) (5.8) (7.9) Restructuring expenses (10.8) (1.0) (1.9) (0.5) (1.2) (4.6) (1.1) (0.4) (0.4) (1.3) (3.3) Separation expenses (2) (1.3) (0.1) (0.2) (0.2) (0.2) (0.8) - - - - - Accelerated lease costs (5) (8.3) (0.3) (4.9) (0.1) (0.1) (5.4) - - - - - IT facilities and infrastructure realignment (6) (4.5) (2.8) (12.1) (1.9) (1.4) (18.2) - - - - - Impairment charges (1.8) - - - - - - - - - - Other Adjustments (2.9) (0.0) (0.2) (0.0) (0.0) (0.2) (0.1) (0.1) (0.1) (0.1) (0.4) Discontinued operations corporate overhead adjustment - - - - - - - - - - - Allocation methodology difference - - - - - - - - - - - Non-GAAP selling, general and administrative expenses304.2$ 77.1$ 76.7$ 73.3$ 82.4$ 309.4$ 78.4$ 74.7$ 80.3$ 77.4$ 310.9$ as a % of non-GAAP revenue 33.6% 35.5% 36.4% 33.5% 31.1% 33.9% 35.4% 35.5% 35.8% 30.5% 34.2% Three Months Ended Three Months Ended
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Operating MarginYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 GAAP operating (loss) income 57.4$ 8.8$ (7.5)$ 26.7$ 40.2$ 68.2$ 24.4$ 13.9$ 21.7$ 46.3$ 106.4$ GAAP operating margin 6.4% 4.1% -3.6% 12.2% 15.2% 7.5% 11.0% 6.6% 9.7% 18.3% 11.7%Revenue adjustments 3.0 0.6 0.2 0.1 0.1 1.1 - - - - - Amortization of acquired technology 13.2 2.0 1.9 1.6 1.6 7.1 1.4 1.6 1.5 2.3 6.8 Amortization of other acquired intangible assets 26.2 6.3 6.4 6.3 6.3 25.4 3.1 3.0 3.2 3.5 12.8 Stock-based compensation expenses 76.1 15.0 19.1 16.2 17.3 67.6 18.0 23.7 18.1 18.8 78.6 Acquisition and divestitures (benefit) expenses, net (7) 1.7 7.8 (1.5) (0.2) 9.9 16.0 0.2 0.9 1.3 8.6 11.0 Restructuring expenses 15.3 1.4 3.2 0.5 5.9 11.0 2.8 1.0 1.1 3.6 8.5 Separation expenses (2) 1.3 0.1 0.2 0.2 0.2 0.8 - - - - - Accelerated lease costs (5) 8.3 0.3 4.9 0.1 0.1 5.4 - - - - - IT facilities and infrastructure realignment (6) 4.5 2.8 13.7 1.9 1.4 19.9 - - - - - Impairment charges 1.8 - - - - - - - - - - Other adjustments 3.0 0.0 0.2 0.0 0.0 0.2 0.1 0.1 0.1 0.1 0.4 Discontinued operations corporate overhead adjustment - - - - - - - - - - - Allocation methodology difference - - - - - - - - - - - Non-GAAP operating income211.8$ 45.1$ 40.9$ 53.6$ 83.1$ 222.6$ 50.0$ 44.3$ 46.9$ 83.3$ 224.4$ Non-GAAP operating margin23.4%20.8%19.4%24.5%31.3%24.4%22.6%21.1%20.9%32.8%24.7%Three Months Ended Three Months Ended
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Adjusted EBITDA MarginYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 GAAP net (loss) income from continuing operations 15.7$ 3.6$ (5.8)$ 12.9$ 28.9$ 39.6$ 15.4$ 5.7$ 29.0$ 33.0$ 83.1$ As a percentage of GAAP revenue 1.7% 1.7% -2.8% 5.9% 10.9% 4.4% 7.0% 2.7% 12.9% 13.0% 9.1%Provision for (benefit from) income taxes 39.1 4.4 (2.5) 13.0 6.9 21.6 8.0 4.3 (10.7) 13.7 15.2 Other expense, net 2.6 0.8 0.8 0.9 4.4 6.9 1.1 3.9 3.4 (0.4) 8.0 Depreciation and amortization (3) 65.3 16.9 24.7 13.9 13.6 69.0 10.7 10.9 11.2 11.7 44.6 Revenue adjustments 3.0 0.6 0.2 0.1 0.1 1.1 - - - - - Stock-based compensation expenses 76.1 15.0 19.1 16.2 17.3 67.6 18.0 23.7 18.1 18.8 78.6 Acquisition and divestitures (benefit) expenses, net (7) 1.7 7.8 (1.5) (0.2) 9.9 16.0 0.2 0.9 1.3 8.6 11.0 Restructuring expenses 14.9 1.3 3.2 0.5 5.9 10.9 2.8 1.0 1.1 3.6 8.5 Separation expenses (2) 1.3 0.1 0.2 0.2 0.2 0.8 - - - - - Accelerated lease costs (5) 8.3 0.3 4.9 0.1 0.1 5.4 - - - - - IT facilities and infrastructure realignment (6) 4.5 1.0 4.0 1.7 1.4 8.1 - - - - - Impairment charges 1.8 - - - - - - - - - - Other adjustments 3.0 0.0 0.2 0.0 0.0 0.2 0.1 0.1 0.1 0.1 0.4 Discontinued operations corporate overhead adjustment - - - - - - - - - - - Allocation methodology difference - - - - - - - - - - - Adjusted EBITDA237.3$ 51.9$ 47.4$ 59.2$ 88.7$ 247.2$ 56.3$ 50.5$ 53.5$ 89.2$ 249.5$ As a percentage of non-GAAP revenue 26.2% 23.9% 22.5% 27.1% 33.4% 27.1% 25.4% 24.0% 23.8% 35.2% 27.4%Three Months Ended Three Months Ended
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Other Expense, Tax and Net IncomeYear Ended Year Ended Year Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 Other Expense ReconciliationGAAP other (expense) income, net (2.6)$ (0.8)$ (0.8)$ (0.9)$ (4.4)$ (6.9)$ (1.1)$ (3.9)$ (3.4)$ 0.4$ (8.0)$ Unrealized losses on derivatives, net - - - - - - - - - - - Amortization of convertible note discount - - - - - - - - - - - Expenses and losses on debt modification or retirement - 0.2 - - - 0.2 - - - - - Change in fair value of future tranche right - - - - - - - - - - - Acquisition and divestitures expenses (benefit), net - (0.2) - - - (0.2) - - - - - Separation expenses (benefit) (2) 1.3 (0.0) (0.1) (0.1) 5.1 4.8 - - - - - Other adjustments - - - - - - - 0.5 (0.0) 0.0 0.5 Non-GAAP other (expense) income, net (1.3)$ (0.7)$ (0.9)$ (1.0)$ 0.7$ (2.0)$ (1.1)$ (3.4)$ (3.4)$ 0.4$ (7.6)$ Tax Provision (Benefit) ReconciliationGAAP provision for (benefit from) income taxes 39.1$ 4.4$ (2.5)$ 13.0$ 6.9$ 21.6$ 8.0$ 4.3$ (10.7)$ 13.7$ 15.2$ GAAP effective income tax rate 71.4% 54.6% 30.5% 50.2% 19.2% 35.3% 34.1% 42.6% -58.2% 29.4% 15.5%Non-GAAP income tax adjustments (19.9) (0.3) 6.1 (8.6) (0.8) (3.6) (1.8) 0.8 14.7 (1.9) 11.8 Non-GAAP provision for income taxes 19.2$ 4.1$ 3.6$ 4.3$ 6.1$ 18.1$ 6.2$ 5.1$ 4.0$ 11.8$ 27.1$ Non-GAAP effective income tax rate 9.1% 9.2% 9.0% 8.2% 7.2% 8.2% 12.6% 12.4% 9.2% 14.2% 12.5%Net (Loss) Income from Continuing Operations Attributable to Verint Systems Inc. Common Shares ReconciliationGAAP net (loss) income from continuing operations attributable to Verint Systems Inc. common shares(5.9)$ (1.9)$ (11.2)$ 7.4$ 23.5$ 17.8$ 10.0$ 1.5$ 24.7$ 28.8$ 65.0$ Total GAAP net (loss) income adjustments (4) (7) 196.4 36.7 42.1 40.6 54.0 183.8 32.5 34.1 14.5 42.8 123.9 Non-GAAP net income from continuing operations attributable to Verint Systems Inc.common shares190.5$ 34.8$ 30.9$ 48.0$ 77.5$ 201.6$ 42.6$ 35.6$ 39.2$ 71.6$ 188.9$ Three Months Ended Three Months Ended
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EPS and Diluted Shares OutstandingYear Ended Year Ended Year Ended($ in millions, except share and per share data; shares in thousands) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 GAAP diluted net (loss) income from continuing operations per common share attributable to Verint Systems Inc.(0.09)$ (0.03)$ (0.17)$ 0.12$ 0.37$ 0.28$ 0.16$ 0.02$ 0.39$ 0.45$ 1.04$ Non-GAAP diluted net income from continuing operations per common share attributable to Verint Systems Inc. (4)2.52$ 0.53$ 0.48$ 0.65$ 1.07$ 2.73$ 0.59$ 0.49$ 0.54$ 0.99$ 2.62$ GAAP weighted-average shares used in computing diluted net (loss) income from continuing operations per common share65,332 64,940 64,294 64,144 63,080 64,318 62,845 62,631 62,803 72,239 62,756 Additional weighted-average shares applicable to non-GAAP net income from continuing operations per common share attributable to Verint Systems Inc10,235 447 269 9,478 9,478 9,478 9,477 9,478 9,477 - 9,478 Non-GAAP diluted weighted-average shares used in computing net income from continuing operations per common share (4)75,567 65,387 64,563 73,622 72,558 73,796 72,322 72,109 72,280 72,239 72,234 Three Months Ended Three Months Ended
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DebtAs of As of As of As of($ in millions) 4/30/2024 7/31/2024 10/31/2024 1/31/2025 Current maturities of long-term debt -$ -$ -$ 100.0$ Long-term debt 411.4 411.7 412.2 312.8 Unamortized debt discounts and issuance costs 3.6 3.3 2.8 2.2 Gross debt 415.0 415.0 415.0 415.0 Less:Cash and cash equivalents 236.6 207.8 182.8 215.7 Restricted cash and cash equivalents, and restricted bank time deposits 1.1 0.8 0.5 - Short-term investments 0.8 0.8 0.8 1.3 Long-term restricted cash, cash equivalents, time deposits, and investments 0.2 0.2 0.2 0.2 Net debt, including long-term restricted cash, cash equivalents, time deposits, and investments 176.4$ 205.4$ 230.7$ 197.8$
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Free Cash Flow($ in millions)1/31/2024 1/31/2025Net cash provided by operating activities 150.6$ 157.4$ Less: purchases of property and equipment (16.1) (15.3) Less: cash paid for capitalized software development costs (9.6) (12.2) Free cash flow 124.9$ 129.9$ Year Ended
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Revenue Metrics ReconciliationYear Ended Year Ended($ in millions) 4/30/2022 7/31/2022 10/31/2022 1/31/2023 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 Recurring revenue - GAAP 159.4$ 166.4$ 174.2$ 185.5$ 685.5$ 166.4$ 161.0$ 161.1$ 210.7$ 699.2$ SaaS revenue - GAAP 94.7 102.6 115.8 131.1 444.2 117.1 113.4 115.7 168.6 514.8 Optional managed services revenue - GAAP 15.9 15.8 15.4 14.3 61.4 12.9 12.2 11.8 10.8 47.7 Support revenue - GAAP 48.7 48.1 43.0 40.1 179.9 36.4 35.4 33.6 31.3 136.7 Nonrecurring Perpetual revenue - GAAP 33.3 30.8 24.4 28.1 116.6 24.3 25.2 24.6 25.8 99.9 Nonrecurring Professional services and other revenue - GAAP 25.3 25.7 26.5 22.6 100.1 25.8 24.0 32.9 28.7 111.3 Total revenue - GAAP 217.9$ 222.9$ 225.2$ 236.2$ 902.2$ 216.6$ 210.2$ 218.5$ 265.1$ 910.4$ Estimated recurring revenue adjustments 1.3 0.7 0.4 0.5 3.0 0.6 0.2 0.1 0.1 1.1 Estimated SaaS revenue adjustments 1.3 0.7 0.4 0.5 2.8 0.6 0.2 0.1 0.1 1.1 Estimated optional managed services revenue adjustments 0.1 0.1 0.0 0.0 0.2 0.0 0.0 0.0 0.0 0.0 Estimated support revenue adjustments 0.0 - - - 0.0 - - - - - Estimated nonrecurring perpetual revenue adjustments - - - - - - - - - - Estimated nonrecurring professional services and other revenue adjustments - - - - - - - - - - Total estimated revenue adjustments 1.3 0.7 0.4 0.5 3.0 0.6 0.2 0.1 0.1 1.1 Recurring revenue - non-GAAP 160.7$ 167.2$ 174.6$ 186.0$ 688.5$ 167.1$ 161.2$ 161.2$ 210.8$ 700.3$ SaaS revenue - non-GAAP 96.0 103.2 116.2 131.6 447.0 117.8 113.7 115.8 168.7 515.9 Optional managed services revenue - non-GAAP 16.0 15.8 15.5 14.3 61.6 12.9 12.2 11.8 10.8 47.7 Support revenue - non-GAAP 48.7 48.1 43.0 40.1 180.0 36.4 35.4 33.6 31.3 136.7 Nonrecurring Perpetual revenue - non-GAAP 33.3 30.8 24.4 28.1 116.6 24.3 25.2 24.6 25.8 99.9 Nonrecurring Professional services and other revenue - non-GAAP 25.3 25.7 26.5 22.6 100.1 25.8 24.0 32.9 28.7 111.3 Total revenue - non-GAAP 219.2$ 223.6$ 225.6$ 236.8$ 905.2$ 217.2$ 210.4$ 218.7$ 265.2$ 911.5$ Three Months Ended Three Month Ended
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SaaS Revenue ReconciliationYear EndedYear EndedYear Ended($ in millions) 1/31/2023 4/30/2023 7/31/2023 10/31/2023 1/31/2024 1/31/2024 4/30/2024 7/31/2024 10/31/2024 1/31/2025 1/31/2025 Bundled SaaS revenue - GAAP 222.6$ 59.5$ 62.1$ 63.3$ 65.8$ 250.5$ 65.7$ 71.6$ 75.2$ 80.7$ 293.2$ Unbundled SaaS revenue - GAAP 221.6 57.7 51.4 52.4 102.8 264.3 75.3 59.5 73.4 81.1 289.4 SaaS revenue - GAAP 444.2 117.1 113.4 115.7 168.6 514.8 141.0 131.1 148.7 161.9 582.6 Estimated bundled SaaS revenue adjustments 2.8 0.6 0.2 0.1 0.1 1.1 - - - - - Estimated unbundled SaaS revenue adjustments - - - - - - - - - - - Estimated SaaS revenue adjustments 2.8 0.6 0.2 0.1 0.1 1.1 - - - - - Bundled SaaS revenue - non-GAAP 225.4 60.1 62.3 63.4 65.9 251.6 65.7 71.6 75.2 80.7 293.2 Unbundled SaaS revenue - non-GAAP 221.6 57.7 51.4 52.4 102.8 264.3 75.3 59.5 73.4 81.1 289.4 SaaS revenue - non-GAAP 447.0$ 117.8$ 113.7$ 115.8$ 168.7$ 515.9$ 141.0$ 131.1$ 148.7$ 161.9$ 582.6$ Three Months Ended Three Months Ended
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Footnotes Note: Amounts may not foot throughout the workbook due to rounding.
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