(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Exhibit No. | Description | |||||||
99.1 | ||||||||
99.2 | ||||||||
101.INS | XBRL instance document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |||||||
101.SCH | Inline XBRL taxonomy extension schema. | |||||||
101.CAL | Inline XBRL taxonomy extension calculation linkbase. | |||||||
101.DEF | Inline XBRL taxonomy extension definition linkbase. | |||||||
101.LAB | Inline XBRL taxonomy extension label linkbase. | |||||||
101.PRE | Inline XBRL taxonomy extension presentation. | |||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
OPEN TEXT CORPORATION | ||||||||||||||
By: | /s/ MADHU RANGANATHAN | |||||||||||||
Madhu Ranganathan Executive Vice President and Chief Financial Officer |
Exhibit No. | Description | |||||||
99.1 | ||||||||
99.2 | ||||||||
101.INS | XBRL instance document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |||||||
101.SCH | Inline XBRL taxonomy extension schema. | |||||||
101.CAL | Inline XBRL taxonomy extension calculation linkbase. | |||||||
101.DEF | Inline XBRL taxonomy extension definition linkbase. | |||||||
101.LAB | Inline XBRL taxonomy extension label linkbase. | |||||||
101.PRE | Inline XBRL taxonomy extension presentation. | |||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
Total Revenues (in millions) | Annual Recurring Revenues (in millions) | Cloud Revenues (in millions) | |||||||||||||||||||||
Reported | Constant Currency | Reported | Constant Currency | Reported | Constant Currency | ||||||||||||||||||
$882.3 | $899.4 | $734.5 | $747.7 | $401.9 | $406.6 | ||||||||||||||||||
+5.9% | +8.0% | +6.2% | +8.1% | +13.0% | +14.3% | ||||||||||||||||||
Annual Recurring Revenues represent 83% of Total Revenues |
Summary of Quarterly Results | ||||||||||||||||||||||||||
(In millions, except per share data) | Q3 FY'22 | Q3 FY'21 | $ Change | % Change | Q3 FY'22 in CC* | % Change in CC* | ||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||
Cloud services and subscriptions | $401.9 | $355.8 | $46.1 | 13.0 | % | $406.6 | 14.3 | % | ||||||||||||||||||
Customer support | 332.5 | 335.9 | (3.4) | (1.0) | % | 341.1 | 1.5 | % | ||||||||||||||||||
Total annual recurring revenues** | $734.5 | $691.8 | $42.7 | 6.2 | % | $747.7 | 8.1 | % | ||||||||||||||||||
License | 80.6 | 76.3 | 4.3 | 5.7 | % | 82.7 | 8.4 | % | ||||||||||||||||||
Professional service and other | 67.2 | 64.9 | 2.3 | 3.6 | % | 69.0 | 6.4 | % | ||||||||||||||||||
Total revenues | $882.3 | $832.9 | $49.4 | 5.9 | % | $899.4 | 8.0 | % | ||||||||||||||||||
GAAP-based operating income | $131.6 | $152.4 | ($20.8) | (13.6) | % | N/A | N/A | |||||||||||||||||||
Non-GAAP-based operating income (1) | $262.2 | $275.2 | ($13.0) | (4.7) | % | $270.1 | (1.9) | % | ||||||||||||||||||
GAAP-based net income attributable to OpenText | $74.7 | $91.5 | ($16.8) | (18.4) | % | N/A | N/A | |||||||||||||||||||
GAAP-based EPS, diluted | $0.28 | $0.33 | ($0.05) | (15.2) | % | N/A | N/A | |||||||||||||||||||
Non-GAAP-based EPS, diluted (1)(2) | $0.70 | $0.75 | ($0.05) | (6.7) | % | $0.73 | (2.7) | % | ||||||||||||||||||
Adjusted EBITDA (1) | $284.5 | $297.1 | ($12.6) | (4.3) | % | $292.5 | (1.5) | % | ||||||||||||||||||
Operating cash flows | $323.6 | $63.6 | $260.0 | 409.0 | % | N/A | N/A | |||||||||||||||||||
Free cash flows (1) | $306.0 | $50.3 | $255.7 | 508.8 | % | N/A | N/A |
Summary of YTD Results | ||||||||||||||||||||||||||
(In millions, except per share data) | FY'22 YTD | FY'21 YTD | $ Change | % Change | FY'22 YTD in CC* | % Change in CC* | ||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||
Cloud services and subscriptions | $1,123.4 | $1,047.3 | $76.1 | 7.3 | % | $1,124.8 | 7.4 | % | ||||||||||||||||||
Customer support | 1,002.6 | 999.8 | 2.8 | 0.3 | % | 1,005.0 | 0.5 | % | ||||||||||||||||||
Total annual recurring revenues** | $2,126.0 | $2,047.1 | $79.0 | 3.9 | % | $2,129.8 | 4.0 | % | ||||||||||||||||||
License | 263.7 | 252.2 | 11.5 | 4.6 | % | 265.8 | 5.4 | % | ||||||||||||||||||
Professional service and other | 201.7 | 193.3 | 8.4 | 4.3 | % | 202.5 | 4.7 | % | ||||||||||||||||||
Total revenues | $2,591.4 | $2,492.6 | $98.8 | 4.0 | % | $2,598.0 | 4.2 | % | ||||||||||||||||||
GAAP-based operating income | $507.2 | $569.2 | ($62.0) | (10.9) | % | N/A | N/A | |||||||||||||||||||
Non-GAAP-based operating income (1) | $886.0 | $936.1 | ($50.1) | (5.4) | % | $896.0 | (4.3) | % | ||||||||||||||||||
GAAP-based net income attributable to OpenText | $294.9 | $129.4 | $165.5 | 127.9 | % | N/A | N/A | |||||||||||||||||||
GAAP-based EPS, diluted | $1.08 | $0.47 | $0.61 | 129.8 | % | N/A | N/A | |||||||||||||||||||
Non-GAAP-based EPS, diluted (1)(2) | $2.43 | $2.59 | ($0.16) | (6.2) | % | $2.46 | (5.0) | % | ||||||||||||||||||
Adjusted EBITDA (1) | $951.4 | $1,000.2 | ($48.9) | (4.9) | % | $961.4 | (3.9) | % | ||||||||||||||||||
Operating cash flows | $729.9 | $579.9 | $149.9 | 25.9 | % | N/A | N/A | |||||||||||||||||||
Free cash flows (1) | $674.9 | $543.7 | $131.3 | 24.1 | % | N/A | N/A |
Summary of Quarterly Results | |||||||||||||||||||||||
Q3 FY'22 | Q2 FY'22 | Q3 FY'21 | % Change (Q3 FY'22 vs Q2 FY'22) | % Change (Q3 FY'22 vs Q3 FY'21) | |||||||||||||||||||
Revenue (millions) | $882.3 | $876.8 | $832.9 | 0.6 | % | 5.9 | % | ||||||||||||||||
GAAP-based gross margin | 68.9 | % | 70.2 | % | 68.6 | % | (130) | bps | 30 | bps | |||||||||||||
Non-GAAP-based gross margin (1) | 74.5 | % | 76.4 | % | 75.2 | % | (190) | bps | (70) | bps | |||||||||||||
GAAP-based EPS, diluted | $0.28 | $0.32 | $0.33 | (12.5) | % | (15.2) | % | ||||||||||||||||
Non-GAAP-based EPS, diluted (1)(2) | $0.70 | $0.89 | $0.75 | (21.3) | % | (6.7) | % |
March 31, 2022 | June 30, 2021 | ||||||||||
ASSETS | (unaudited) | ||||||||||
Cash and cash equivalents | $ | 1,633,702 | $ | 1,607,306 | |||||||
Accounts receivable trade, net of allowance for credit losses of $16,439 as of March 31, 2022 and $22,151 as of June 30, 2021 | 429,877 | 438,547 | |||||||||
Contract assets | 25,481 | 25,344 | |||||||||
Income taxes recoverable | 20,781 | 32,312 | |||||||||
Prepaid expenses and other current assets | 122,616 | 98,551 | |||||||||
Total current assets | 2,232,457 | 2,202,060 | |||||||||
Property and equipment | 227,830 | 233,595 | |||||||||
Operating lease right of use assets | 217,684 | 234,532 | |||||||||
Long-term contract assets | 20,049 | 19,222 | |||||||||
Goodwill | 5,265,189 | 4,691,673 | |||||||||
Acquired intangible assets | 1,181,266 | 1,187,260 | |||||||||
Deferred tax assets | 717,345 | 796,738 | |||||||||
Other assets | 257,301 | 208,894 | |||||||||
Long-term income taxes recoverable | 43,518 | 35,362 | |||||||||
Total assets | $ | 10,162,639 | $ | 9,609,336 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
Current liabilities: | |||||||||||
Accounts payable and accrued liabilities | $ | 404,545 | $ | 423,592 | |||||||
Current portion of long-term debt | 10,000 | 10,000 | |||||||||
Operating lease liabilities | 59,182 | 58,315 | |||||||||
Deferred revenues | 936,750 | 852,629 | |||||||||
Income taxes payable | 7,483 | 17,368 | |||||||||
Total current liabilities | 1,417,960 | 1,361,904 | |||||||||
Long-term liabilities: | |||||||||||
Accrued liabilities | 16,631 | 28,830 | |||||||||
Pension liability | 76,364 | 74,511 | |||||||||
Long-term debt | 4,210,582 | 3,578,859 | |||||||||
Long-term operating lease liabilities | 203,101 | 224,453 | |||||||||
Long-term deferred revenues | 90,736 | 98,989 | |||||||||
Long-term income taxes payable | 35,206 | 34,113 | |||||||||
Deferred tax liabilities | 56,208 | 108,224 | |||||||||
Total long-term liabilities | 4,688,828 | 4,147,979 | |||||||||
Shareholders' equity: | |||||||||||
Share capital and additional paid-in capital | |||||||||||
270,231,166 and 271,540,755 Common Shares issued and outstanding at March 31, 2022 and June 30, 2021, respectively; authorized Common Shares: unlimited | 2,010,146 | 1,947,764 | |||||||||
Accumulated other comprehensive income | 17,266 | 66,238 | |||||||||
Retained earnings | 2,151,369 | 2,153,326 | |||||||||
Treasury stock, at cost (2,776,420 and 1,567,664 shares at March 31, 2022 and June 30, 2021, respectively) | (124,033) | (69,386) | |||||||||
Total OpenText shareholders' equity | 4,054,748 | 4,097,942 | |||||||||
Non-controlling interests | 1,103 | 1,511 | |||||||||
Total shareholders' equity | 4,055,851 | 4,099,453 | |||||||||
Total liabilities and shareholders' equity | $ | 10,162,639 | $ | 9,609,336 |
Three Months Ended March 31, | Nine Months Ended March 31, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Revenues: | |||||||||||||||||||||||
Cloud services and subscriptions | $ | 401,947 | $ | 355,845 | $ | 1,123,422 | $ | 1,047,285 | |||||||||||||||
Customer support | 332,514 | 335,915 | 1,002,626 | 999,806 | |||||||||||||||||||
License | 80,641 | 76,299 | 263,663 | 252,170 | |||||||||||||||||||
Professional service and other | 67,181 | 64,872 | 201,679 | 193,327 | |||||||||||||||||||
Total revenues | 882,283 | 832,931 | 2,591,390 | 2,492,588 | |||||||||||||||||||
Cost of revenues: | |||||||||||||||||||||||
Cloud services and subscriptions | 136,020 | 123,729 | 377,928 | 354,235 | |||||||||||||||||||
Customer support | 31,763 | 30,953 | 90,914 | 89,815 | |||||||||||||||||||
License | 3,196 | 2,810 | 10,906 | 9,601 | |||||||||||||||||||
Professional service and other | 56,693 | 50,321 | 161,459 | 143,521 | |||||||||||||||||||
Amortization of acquired technology-based intangible assets | 46,564 | 53,453 | 152,333 | 165,581 | |||||||||||||||||||
Total cost of revenues | 274,236 | 261,266 | 793,540 | 762,753 | |||||||||||||||||||
Gross profit | 608,047 | 571,665 | 1,797,850 | 1,729,835 | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Research and development | 117,730 | 110,071 | 321,517 | 304,212 | |||||||||||||||||||
Sales and marketing | 180,955 | 158,687 | 491,133 | 438,984 | |||||||||||||||||||
General and administrative | 88,137 | 71,548 | 231,127 | 190,502 | |||||||||||||||||||
Depreciation | 22,370 | 21,961 | 65,535 | 64,244 | |||||||||||||||||||
Amortization of acquired customer-based intangible assets | 56,215 | 54,156 | 160,764 | 164,075 | |||||||||||||||||||
Special charges (recoveries) | 11,031 | 2,846 | 20,592 | (1,404) | |||||||||||||||||||
Total operating expenses | 476,438 | 419,269 | 1,290,668 | 1,160,613 | |||||||||||||||||||
Income from operations | 131,609 | 152,396 | 507,182 | 569,222 | |||||||||||||||||||
Other income (expense), net | 24,392 | 8,283 | 29,137 | 16,417 | |||||||||||||||||||
Interest and other related expense, net | (40,238) | (37,333) | (117,538) | (114,017) | |||||||||||||||||||
Income before income taxes | 115,763 | 123,346 | 418,781 | 471,622 | |||||||||||||||||||
Provision for income taxes | 41,041 | 31,818 | 123,757 | 342,121 | |||||||||||||||||||
Net income for the period | $ | 74,722 | $ | 91,528 | $ | 295,024 | $ | 129,501 | |||||||||||||||
Net (income) loss attributable to non-controlling interests | (41) | (38) | (130) | (112) | |||||||||||||||||||
Net income attributable to OpenText | $ | 74,681 | $ | 91,490 | $ | 294,894 | $ | 129,389 | |||||||||||||||
Earnings per share—basic attributable to OpenText | $ | 0.28 | $ | 0.34 | $ | 1.09 | $ | 0.47 | |||||||||||||||
Earnings per share—diluted attributable to OpenText | $ | 0.28 | $ | 0.33 | $ | 1.08 | $ | 0.47 | |||||||||||||||
Weighted average number of Common Shares outstanding—basic (in '000's) | 270,693 | 272,832 | 271,623 | 272,414 | |||||||||||||||||||
Weighted average number of Common Shares outstanding—diluted (in '000's) | 271,211 | 273,924 | 272,439 | 273,312 |
Three Months Ended March 31, | Nine Months Ended March 31, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net income for the period | $ | 74,722 | $ | 91,528 | $ | 295,024 | $ | 129,501 | |||||||||||||||
Other comprehensive income (loss)—net of tax: | |||||||||||||||||||||||
Net foreign currency translation adjustments | (13,073) | (12,568) | (44,512) | 36,142 | |||||||||||||||||||
Unrealized gain (loss) on cash flow hedges: | |||||||||||||||||||||||
Unrealized gain (loss) - net of tax expense (recovery) effect of $233 and $246 for the three months ended March 31, 2022 and 2021, respectively; ($158) and $1,302 for the nine months ended March 31, 2022 and 2021, respectively | 648 | 681 | (334) | 3,608 | |||||||||||||||||||
(Gain) loss reclassified into net income - net of tax (expense) recovery effect of $79 and ($399) for the three months ended March 31, 2022 and 2021, respectively; ($24) and ($682) for the nine months ended March 31, 2022 and 2021, respectively | 219 | (1,108) | (86) | (1,892) | |||||||||||||||||||
Actuarial gain (loss) relating to defined benefit pension plans: | |||||||||||||||||||||||
Actuarial gain (loss) - net of tax expense (recovery) effect of ($579) and $944 for the three months ended March 31, 2022 and 2021, respectively; ($811) and ($413) for the nine months ended March 31, 2022 and 2021, respectively | (2,033) | 344 | (4,517) | (2,342) | |||||||||||||||||||
Amortization of actuarial (gain) loss into net income - net of tax (expense) recovery effect of $66 and $95 for the three months ended March 31, 2022 and 2021, respectively; $134 and $275 for the nine months ended March 31, 2022 and 2021, respectively | 156 | 249 | 477 | 733 | |||||||||||||||||||
Total other comprehensive income (loss) net, for the period | (14,083) | (12,402) | (48,972) | 36,249 | |||||||||||||||||||
Total comprehensive income | 60,639 | 79,126 | 246,052 | 165,750 | |||||||||||||||||||
Comprehensive (income) loss attributable to non-controlling interests | (41) | (38) | (130) | (112) | |||||||||||||||||||
Total comprehensive income attributable to OpenText | $ | 60,598 | $ | 79,088 | $ | 245,922 | $ | 165,638 |
Three Months Ended March 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||
Common Shares and Additional Paid in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income | Non-Controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2021 | 271,006 | $ | 1,990,913 | (1,476) | $ | (67,966) | $ | 2,174,467 | $ | 31,349 | $ | 1,062 | $ | 4,129,825 | |||||||||||||||||||||||||||||||||
Issuance of Common Shares | |||||||||||||||||||||||||||||||||||||||||||||||
Under employee stock option plans | 53 | 1,863 | — | — | — | — | — | 1,863 | |||||||||||||||||||||||||||||||||||||||
Under employee stock purchase plans | 172 | 7,003 | — | — | — | — | — | 7,003 | |||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 16,748 | — | — | — | — | — | 16,748 | |||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | (1,300) | (56,067) | — | — | — | (56,067) | |||||||||||||||||||||||||||||||||||||||
Repurchase of Common Shares | (1,000) | (6,381) | — | — | (38,702) | — | — | (45,083) | |||||||||||||||||||||||||||||||||||||||
Dividends declared ($0.2209 per Common Share) | — | — | — | — | (59,077) | — | — | (59,077) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) - net | — | — | — | — | — | (14,083) | — | (14,083) | |||||||||||||||||||||||||||||||||||||||
Net income for the period | — | — | — | — | 74,681 | — | 41 | 74,722 | |||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2022 | 270,231 | $ | 2,010,146 | (2,776) | $ | (124,033) | $ | 2,151,369 | $ | 17,266 | $ | 1,103 | $ | 4,055,851 |
Three Months Ended March 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||
Common Shares and Additional Paid in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income | Non-Controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2020 | 272,589 | $ | 1,889,857 | (1,101) | $ | (47,555) | $ | 2,093,076 | $ | 66,476 | $ | 1,393 | $ | 4,003,247 | |||||||||||||||||||||||||||||||||
Issuance of Common Shares | |||||||||||||||||||||||||||||||||||||||||||||||
Under employee stock option plans | 219 | 8,270 | — | — | — | — | — | 8,270 | |||||||||||||||||||||||||||||||||||||||
Under employee stock purchase plans | 165 | 6,421 | — | — | — | — | — | 6,421 | |||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 12,357 | — | — | — | — | — | 12,357 | |||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | (490) | (22,977) | — | — | — | (22,977) | |||||||||||||||||||||||||||||||||||||||
Issuance of treasury stock | — | (1,146) | 23 | 1,146 | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Dividends declared ($0.2008 per Common Share) | — | — | — | — | (54,519) | — | — | (54,519) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) - net | — | — | — | — | — | (12,402) | — | (12,402) | |||||||||||||||||||||||||||||||||||||||
Net income for the period | — | — | — | — | 91,490 | — | 38 | 91,528 | |||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2021 | 272,973 | $ | 1,915,759 | (1,568) | $ | (69,386) | $ | 2,130,047 | $ | 54,074 | $ | 1,431 | $ | 4,031,925 |
Nine Months Ended March 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||
Common Shares and Additional Paid in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income | Non-Controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2021 | 271,541 | $ | 1,947,764 | (1,568) | $ | (69,386) | $ | 2,153,326 | $ | 66,238 | $ | 1,511 | $ | 4,099,453 | |||||||||||||||||||||||||||||||||
Issuance of Common Shares | |||||||||||||||||||||||||||||||||||||||||||||||
Under employee stock option plans | 905 | 31,128 | — | — | — | — | — | 31,128 | |||||||||||||||||||||||||||||||||||||||
Under employee stock purchase plans | 595 | 24,913 | — | — | — | — | — | 24,913 | |||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 45,091 | — | — | — | — | — | 45,091 | |||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | (1,700) | (75,660) | — | — | — | (75,660) | |||||||||||||||||||||||||||||||||||||||
Issuance of treasury stock | — | (21,013) | 492 | 21,013 | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Repurchase of Common Shares | (2,810) | (17,879) | — | — | (118,238) | — | — | (136,117) | |||||||||||||||||||||||||||||||||||||||
Dividends declared ($0.6627 per Common Share) | — | — | — | — | (178,613) | — | — | (178,613) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) - net | — | — | — | — | — | (48,972) | — | (48,972) | |||||||||||||||||||||||||||||||||||||||
Distribution to non-controlling interest | — | 142 | — | — | — | — | (538) | (396) | |||||||||||||||||||||||||||||||||||||||
Net income for the period | — | — | — | — | 294,894 | — | 130 | 295,024 | |||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2022 | 270,231 | $ | 2,010,146 | (2,776) | $ | (124,033) | $ | 2,151,369 | $ | 17,266 | $ | 1,103 | $ | 4,055,851 |
Nine Months Ended March 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||
Common Shares and Additional Paid in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income | Non-Controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2020 | 271,863 | $ | 1,851,777 | (622) | $ | (23,608) | $ | 2,159,396 | $ | 17,825 | $ | 1,319 | $ | 4,006,709 | |||||||||||||||||||||||||||||||||
Adoption of ASU 2016-13 - cumulative effect, net | — | — | — | — | (2,450) | — | — | (2,450) | |||||||||||||||||||||||||||||||||||||||
Issuance of Common Shares | |||||||||||||||||||||||||||||||||||||||||||||||
Under employee stock option plans | 743 | 23,768 | — | — | — | — | — | 23,768 | |||||||||||||||||||||||||||||||||||||||
Under employee stock purchase plans | 367 | 13,974 | 193 | 6,690 | — | — | — | 20,664 | |||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 38,619 | — | — | — | — | — | 38,619 | |||||||||||||||||||||||||||||||||||||||
Purchase of treasury stock | — | — | (1,455) | (64,847) | — | — | — | (64,847) | |||||||||||||||||||||||||||||||||||||||
Issuance of treasury stock | — | (12,379) | 316 | 12,379 | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Dividends declared ($0.5762 per Common Share) | — | — | — | — | (156,288) | — | — | (156,288) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) - net | — | — | — | — | — | 36,249 | — | 36,249 | |||||||||||||||||||||||||||||||||||||||
Net income for the period | — | — | — | — | 129,389 | — | 112 | 129,501 | |||||||||||||||||||||||||||||||||||||||
Balance as of March 31, 2021 | 272,973 | $ | 1,915,759 | (1,568) | $ | (69,386) | $ | 2,130,047 | $ | 54,074 | $ | 1,431 | $ | 4,031,925 |
Three Months Ended March 31, | Nine Months Ended March 31, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||||
Net income for the period | $ | 74,722 | $ | 91,528 | $ | 295,024 | $ | 129,501 | |||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||||
Depreciation and amortization of intangible assets | 125,149 | 129,570 | 378,632 | 393,900 | |||||||||||||||||||
Share-based compensation expense | 16,748 | 12,357 | 45,091 | 38,619 | |||||||||||||||||||
Pension expense | 1,868 | 1,550 | 4,883 | 4,670 | |||||||||||||||||||
Amortization of debt issuance costs | 1,482 | 1,141 | 3,936 | 3,395 | |||||||||||||||||||
Loss on extinguishment of debt | — | — | 27,413 | — | |||||||||||||||||||
Loss on sale and write down of property and equipment | 58 | 1,026 | 96 | 1,979 | |||||||||||||||||||
Deferred taxes | 22,440 | 447 | 43,332 | 80,844 | |||||||||||||||||||
Share in net (income) loss of equity investees | (27,746) | (11,765) | (59,103) | (20,020) | |||||||||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||||||||
Accounts receivable | 17,241 | 54,345 | 68,428 | 87,072 | |||||||||||||||||||
Contract assets | (8,463) | (8,842) | (27,208) | (29,035) | |||||||||||||||||||
Prepaid expenses and other current assets | (4,501) | (10,494) | (15,722) | (2,528) | |||||||||||||||||||
Income taxes | (14,011) | (286,435) | (11,235) | (117,594) | |||||||||||||||||||
Accounts payable and accrued liabilities | 42,891 | 9,211 | (65,738) | (27,327) | |||||||||||||||||||
Deferred revenue | 76,335 | 81,247 | 25,642 | 62,600 | |||||||||||||||||||
Other assets | (386) | 2,232 | 16,527 | 765 | |||||||||||||||||||
Operating lease assets and liabilities, net | (270) | (3,546) | (128) | (26,910) | |||||||||||||||||||
Net cash provided by operating activities | 323,557 | 63,572 | 729,870 | 579,931 | |||||||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||||
Additions of property and equipment | (17,590) | (13,311) | (54,937) | (36,267) | |||||||||||||||||||
Purchase of Zix Corporation, net of cash acquired | (18,602) | — | (856,175) | — | |||||||||||||||||||
Purchase of Bricata Inc. | — | — | (17,927) | — | |||||||||||||||||||
Purchase of XMedius | — | — | — | 444 | |||||||||||||||||||
Purchase of Dynamic Solutions Group Inc. | — | — | — | (371) | |||||||||||||||||||
Other investing activities | (651) | (648) | (3,922) | (2,018) | |||||||||||||||||||
Net cash used in investing activities | (36,843) | (13,959) | (932,961) | (38,212) | |||||||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||||
Proceeds from issuance of Common Shares from exercise of stock options and ESPP | 10,788 | 16,603 | 56,476 | 45,780 | |||||||||||||||||||
Proceeds from long-term debt and Revolver | — | — | 1,500,000 | — | |||||||||||||||||||
Repayment of long-term debt and Revolver | (2,500) | (2,500) | (857,500) | (607,500) | |||||||||||||||||||
Debt extinguishment costs | — | — | (24,969) | — | |||||||||||||||||||
Debt issuance costs | (1,812) | — | (17,159) | — | |||||||||||||||||||
Repurchase of Common Shares | (45,083) | — | (136,117) | — | |||||||||||||||||||
Purchase of treasury stock | (56,067) | (22,977) | (75,660) | (64,847) | |||||||||||||||||||
Distribution to non-controlling interest | — | — | (396) | — | |||||||||||||||||||
Payments of dividends to shareholders | (59,077) | (54,519) | (178,613) | (156,288) | |||||||||||||||||||
Net cash provided by (used in) financing activities | (153,751) | (63,393) | 266,062 | (782,855) | |||||||||||||||||||
Foreign exchange gain (loss) on cash held in foreign currencies | (11,207) | (11,218) | (36,920) | 22,553 | |||||||||||||||||||
Increase (decrease) in cash, cash equivalents and restricted cash during the period | 121,756 | (24,998) | 26,051 | (218,583) | |||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of the period | 1,514,095 | 1,503,678 | 1,609,800 | 1,697,263 | |||||||||||||||||||
Cash, cash equivalents and restricted cash at end of the period | $ | 1,635,851 | $ | 1,478,680 | $ | 1,635,851 | $ | 1,478,680 |
Reconciliation of cash, cash equivalents and restricted cash: | March 31, 2022 | March 31, 2021 | |||||||||
Cash and cash equivalents | $ | 1,633,702 | $ | 1,475,626 | |||||||
Restricted cash (1) | 2,149 | 3,054 | |||||||||
Total cash, cash equivalents and restricted cash | $ | 1,635,851 | $ | 1,478,680 | |||||||
(1) Restricted cash is classified under the Prepaid expenses and other current assets and Other assets line items on the Condensed Consolidated Balance Sheets. |
Reconciliation of selected GAAP-based measures to Non-GAAP-based measures for the three months ended March 31, 2022 (In thousands, except for per share data) | ||||||||||||||||||||
Three Months Ended March 31, 2022 | ||||||||||||||||||||
GAAP-based Measures | GAAP-based Measures % of Total Revenue | Adjustments | Note | Non-GAAP-based Measures | Non-GAAP-based Measures % of Total Revenue | |||||||||||||||
Cost of revenues | ||||||||||||||||||||
Cloud services and subscriptions | $ | 136,020 | $ | (1,268) | (1) | $ | 134,752 | |||||||||||||
Customer support | 31,763 | (501) | (1) | 31,262 | ||||||||||||||||
Professional service and other | 56,693 | (907) | (1) | 55,786 | ||||||||||||||||
Amortization of acquired technology-based intangible assets | 46,564 | (46,564) | (2) | — | ||||||||||||||||
GAAP-based gross profit and gross margin (%) / Non-GAAP-based gross profit and gross margin (%) | 608,047 | 68.9% | 49,240 | (3) | 657,287 | 74.5% | ||||||||||||||
Operating expenses | ||||||||||||||||||||
Research and development | 117,730 | (4,350) | (1) | 113,380 | ||||||||||||||||
Sales and marketing | 180,955 | (5,761) | (1) | 175,194 | ||||||||||||||||
General and administrative | 88,137 | (3,961) | (1) | 84,176 | ||||||||||||||||
Amortization of acquired customer-based intangible assets | 56,215 | (56,215) | (2) | — | ||||||||||||||||
Special charges (recoveries) | 11,031 | (11,031) | (4) | — | ||||||||||||||||
GAAP-based income from operations / Non-GAAP-based income from operations | 131,609 | 130,558 | (5) | 262,167 | ||||||||||||||||
Other income (expense), net | 24,392 | (24,392) | (6) | — | ||||||||||||||||
Provision for income taxes | 41,041 | (9,971) | (7) | 31,070 | ||||||||||||||||
GAAP-based net income / Non-GAAP-based net income, attributable to OpenText | 74,681 | 116,137 | (8) | 190,818 | ||||||||||||||||
GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted, attributable to OpenText | $ | 0.28 | $ | 0.42 | (8) | $ | 0.70 |
Three Months Ended March 31, 2022 | ||||||||
Per share diluted | ||||||||
GAAP-based net income, attributable to OpenText | $ | 74,681 | $ | 0.28 | ||||
Add: | ||||||||
Amortization | 102,779 | 0.38 | ||||||
Share-based compensation | 16,748 | 0.06 | ||||||
Special charges (recoveries) | 11,031 | 0.04 | ||||||
Other (income) expense, net | (24,392) | (0.09) | ||||||
GAAP-based provision for income taxes | 41,041 | 0.15 | ||||||
Non-GAAP-based provision for income taxes | (31,070) | (0.12) | ||||||
Non-GAAP-based net income, attributable to OpenText | $ | 190,818 | $ | 0.70 |
Three Months Ended March 31, 2022 | |||||
GAAP-based net income, attributable to OpenText | $ | 74,681 | |||
Add: | |||||
Provision for income taxes | 41,041 | ||||
Interest and other related expense, net | 40,238 | ||||
Amortization of acquired technology-based intangible assets | 46,564 | ||||
Amortization of acquired customer-based intangible assets | 56,215 | ||||
Depreciation | 22,370 | ||||
Share-based compensation | 16,748 | ||||
Special charges (recoveries) | 11,031 | ||||
Other (income) expense, net | (24,392) | ||||
Adjusted EBITDA | $ | 284,496 | |||
GAAP-based net income margin | 8.5 | % | |||
Adjusted EBITDA margin | 32.2 | % |
Three Months Ended March 31, 2022 | |||||
GAAP-based cash flows provided by operating activities | $ | 323,557 | |||
Add: | |||||
Capital expenditures (1) | (17,590) | ||||
Free cash flows | $ | 305,967 | |||
(1) Defined as “Additions of property and equipment” in the Condensed Consolidated Statements of Cash Flows. |
Reconciliation of selected GAAP-based measures to Non-GAAP-based measures for the nine months ended March 31, 2022 (In thousands, except for per share data) | ||||||||||||||||||||
Nine Months Ended March 31, 2022 | ||||||||||||||||||||
GAAP-based Measures | GAAP-based Measures % of Total Revenue | Adjustments | Note | Non-GAAP-based Measures | Non-GAAP-based Measures % of Total Revenue | |||||||||||||||
Cost of revenues | ||||||||||||||||||||
Cloud services and subscriptions | $ | 377,928 | $ | (3,072) | (1) | $ | 374,856 | |||||||||||||
Customer support | 90,914 | (1,631) | (1) | 89,283 | ||||||||||||||||
Professional service and other | 161,459 | (2,275) | (1) | 159,184 | ||||||||||||||||
Amortization of acquired technology-based intangible assets | 152,333 | (152,333) | (2) | — | ||||||||||||||||
GAAP-based gross profit and gross margin (%) / Non-GAAP-based gross profit and gross margin (%) | 1,797,850 | 69.4% | 159,311 | (3) | 1,957,161 | 75.5% | ||||||||||||||
Operating expenses | ||||||||||||||||||||
Research and development | 321,517 | (9,936) | (1) | 311,581 | ||||||||||||||||
Sales and marketing | 491,133 | (15,377) | (1) | 475,756 | ||||||||||||||||
General and administrative | 231,127 | (12,800) | (1) | 218,327 | ||||||||||||||||
Amortization of acquired customer-based intangible assets | 160,764 | (160,764) | (2) | — | ||||||||||||||||
Special charges (recoveries) | 20,592 | (20,592) | (4) | — | ||||||||||||||||
GAAP-based income from operations / Non-GAAP-based income from operations | 507,182 | 378,780 | (5) | 885,962 | ||||||||||||||||
Other income (expense), net | 29,137 | (29,137) | (6) | — | ||||||||||||||||
Provision for income taxes | 123,757 | (16,178) | (7) | 107,579 | ||||||||||||||||
GAAP-based net income / Non-GAAP-based net income, attributable to OpenText | 294,894 | 365,821 | (8) | 660,715 | ||||||||||||||||
GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted, attributable to OpenText | $ | 1.08 | $ | 1.35 | (8) | $ | 2.43 |
Nine Months Ended March 31, 2022 | ||||||||
Per share diluted | ||||||||
GAAP-based net income, attributable to OpenText | $ | 294,894 | $ | 1.08 | ||||
Add: | ||||||||
Amortization | 313,097 | 1.15 | ||||||
Share-based compensation | 45,091 | 0.17 | ||||||
Special charges (recoveries) | 20,592 | 0.08 | ||||||
Other (income) expense, net | (29,137) | (0.11) | ||||||
GAAP-based provision for income taxes | 123,757 | 0.45 | ||||||
Non-GAAP-based provision for income taxes | (107,579) | (0.39) | ||||||
Non-GAAP-based net income, attributable to OpenText | $ | 660,715 | $ | 2.43 |
Nine Months Ended March 31, 2022 | |||||
GAAP-based net income, attributable to OpenText | $ | 294,894 | |||
Add: | |||||
Provision for income taxes | 123,757 | ||||
Interest and other related expense, net | 117,538 | ||||
Amortization of acquired technology-based intangible assets | 152,333 | ||||
Amortization of acquired customer-based intangible assets | 160,764 | ||||
Depreciation | 65,535 | ||||
Share-based compensation | 45,091 | ||||
Special charges (recoveries) | 20,592 | ||||
Other (income) expense, net | (29,137) | ||||
Adjusted EBITDA | $ | 951,367 | |||
GAAP-based net income margin | 11.4 | % | |||
Adjusted EBITDA margin | 36.7 | % |
Nine Months Ended March 31, 2022 | |||||
GAAP-based cash flows provided by operating activities | $ | 729,870 | |||
Add: | |||||
Capital expenditures (1) | (54,937) | ||||
Free cash flows | $ | 674,933 | |||
(1) Defined as “Additions of property and equipment” in the Condensed Consolidated Statements of Cash Flows. |
Reconciliation of selected GAAP-based measures to Non-GAAP-based measures for the three months ended December 31, 2021 (In thousands, except for per share data) | ||||||||||||||||||||
Three Months Ended December 31, 2021 | ||||||||||||||||||||
GAAP-based Measures | GAAP-based Measures % of Total Revenue | Adjustments | Note | Non-GAAP-based Measures | Non-GAAP-based Measures % of Total Revenue | |||||||||||||||
Cost of revenues | ||||||||||||||||||||
Cloud services and subscriptions | $ | 122,129 | $ | (897) | (1) | $ | 121,232 | |||||||||||||
Customer support | 29,668 | (409) | (1) | 29,259 | ||||||||||||||||
Professional service and other | 53,041 | (647) | (1) | 52,394 | ||||||||||||||||
Amortization of acquired technology-based intangible assets | 52,602 | (52,602) | (2) | — | ||||||||||||||||
GAAP-based gross profit and gross margin (%) /Non-GAAP-based gross profit and gross margin (%) | 615,618 | 70.2% | 54,555 | (3) | 670,173 | 76.4% | ||||||||||||||
Operating expenses | ||||||||||||||||||||
Research and development | 103,622 | (2,652) | (1) | 100,970 | ||||||||||||||||
Sales and marketing | 163,938 | (5,006) | (1) | 158,932 | ||||||||||||||||
General and administrative | 71,513 | (4,798) | (1) | 66,715 | ||||||||||||||||
Amortization of acquired customer-based intangible assets | 52,665 | (52,665) | (2) | — | ||||||||||||||||
Special charges (recoveries) | 9,217 | (9,217) | (4) | — | ||||||||||||||||
GAAP-based income from operations / Non-GAAP-based income from operations | 192,884 | 128,893 | (5) | 321,777 | ||||||||||||||||
Other income (expense), net | (25,037) | 25,037 | (6) | — | ||||||||||||||||
Provision for income taxes | 39,266 | 148 | (7) | 39,414 | ||||||||||||||||
GAAP-based net income / Non-GAAP-based net income, attributable to OpenText | 88,298 | 153,782 | (8) | 242,080 | ||||||||||||||||
GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted, attributable to OpenText | $ | 0.32 | $ | 0.57 | (8) | $ | 0.89 |
Three Months Ended December 31, 2021 | ||||||||
Per share diluted | ||||||||
GAAP-based net income, attributable to OpenText | $ | 88,298 | $ | 0.32 | ||||
Add: | ||||||||
Amortization | 105,267 | 0.39 | ||||||
Share-based compensation | 14,409 | 0.05 | ||||||
Special charges (recoveries) | 9,217 | 0.03 | ||||||
Other (income) expense, net | 25,037 | 0.09 | ||||||
GAAP-based provision for income taxes | 39,266 | 0.15 | ||||||
Non-GAAP-based provision for income taxes | (39,414) | (0.14) | ||||||
Non-GAAP-based net income, attributable to OpenText | $ | 242,080 | $ | 0.89 |
Three Months Ended December 31, 2021 | |||||
GAAP-based net income, attributable to OpenText | $ | 88,298 | |||
Add: | |||||
Provision for income taxes | 39,266 | ||||
Interest and other related expense, net | 40,245 | ||||
Amortization of acquired technology-based intangible assets | 52,602 | ||||
Amortization of acquired customer-based intangible assets | 52,665 | ||||
Depreciation | 21,779 | ||||
Share-based compensation | 14,409 | ||||
Special charges (recoveries) | 9,217 | ||||
Other (income) expense, net | 25,037 | ||||
Adjusted EBITDA | $ | 343,518 | |||
GAAP-based net income margin | 10.1 | % | |||
Adjusted EBITDA margin | 39.2 | % |
Three Months Ended December 31, 2021 | |||||
GAAP-based cash flows provided by operating activities | $ | 216,644 | |||
Add: | |||||
Capital expenditures (1) | (10,635) | ||||
Free cash flows | $ | 206,009 | |||
(1) Defined as “Additions of property and equipment” in the Condensed Consolidated Statements of Cash Flows. |
Reconciliation of selected GAAP-based measures to Non-GAAP-based measures for the three months ended March 31, 2021 (In thousands, except for per share data) | ||||||||||||||||||||
Three Months Ended March 31, 2021 | ||||||||||||||||||||
GAAP-based Measures | GAAP-based Measures % of Total Revenue | Adjustments | Note | Non-GAAP-based Measures | Non-GAAP-based Measures % of Total Revenue | |||||||||||||||
Cost of revenues | ||||||||||||||||||||
Cloud services and subscriptions | $ | 123,729 | $ | (505) | (1) | $ | 123,224 | |||||||||||||
Customer support | 30,953 | (464) | (1) | 30,489 | ||||||||||||||||
Professional service and other | 50,321 | (684) | (1) | 49,637 | ||||||||||||||||
Amortization of acquired technology-based intangible assets | 53,453 | (53,453) | (2) | — | ||||||||||||||||
GAAP-based gross profit and gross margin (%) /Non-GAAP-based gross profit and gross margin (%) | 571,665 | 68.6 | % | 55,106 | (3) | 626,771 | 75.2 | % | ||||||||||||
Operating expenses | ||||||||||||||||||||
Research and development | 110,071 | (2,146) | (1) | 107,925 | ||||||||||||||||
Sales and marketing | 158,687 | (4,580) | (1) | 154,107 | ||||||||||||||||
General and administrative | 71,548 | (3,978) | (1) | 67,570 | ||||||||||||||||
Amortization of acquired customer-based intangible assets | 54,156 | (54,156) | (2) | — | ||||||||||||||||
Special charges (recoveries) | 2,846 | (2,846) | (4) | — | ||||||||||||||||
GAAP-based income from operations / Non-GAAP-based income from operations | 152,396 | 122,812 | (5) | 275,208 | ||||||||||||||||
Other income (expense), net | 8,283 | (8,283) | (6) | — | ||||||||||||||||
Provision for income taxes | 31,818 | 1,485 | (7) | 33,303 | ||||||||||||||||
GAAP-based net income / Non-GAAP-based net income, attributable to OpenText | 91,490 | 113,044 | (8) | 204,534 | ||||||||||||||||
GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted, attributable to OpenText | $ | 0.33 | $ | 0.42 | (8) | $ | 0.75 |
Three Months Ended March 31, 2021 | ||||||||
Per share diluted | ||||||||
GAAP-based net income, attributable to OpenText | $ | 91,490 | $ | 0.33 | ||||
Add: | ||||||||
Amortization | 107,609 | 0.39 | ||||||
Share-based compensation | 12,357 | 0.05 | ||||||
Special charges (recoveries) | 2,846 | 0.01 | ||||||
Other (income) expense, net | (8,283) | (0.03) | ||||||
GAAP-based provision for income taxes | 31,818 | 0.12 | ||||||
Non-GAAP-based provision for income taxes | (33,303) | (0.12) | ||||||
Non-GAAP-based net income, attributable to OpenText | $ | 204,534 | $ | 0.75 | ||||
Three Months Ended March 31, 2021 | |||||
GAAP-based net income, attributable to OpenText | $ | 91,490 | |||
Add: | |||||
Provision for income taxes | 31,818 | ||||
Interest and other related expense, net | 37,333 | ||||
Amortization of acquired technology-based intangible assets | 53,453 | ||||
Amortization of acquired customer-based intangible assets | 54,156 | ||||
Depreciation | 21,961 | ||||
Share-based compensation | 12,357 | ||||
Special charges (recoveries) | 2,846 | ||||
Other (income) expense, net | (8,283) | ||||
Adjusted EBITDA | $ | 297,131 | |||
GAAP-based net income margin | 11.0 | % | |||
Adjusted EBITDA margin | 35.7 | % |
Three Months Ended March 31, 2021 | |||||
GAAP-based cash flows provided by operating activities | $ | 63,572 | |||
Add: | |||||
Capital expenditures (1) | (13,311) | ||||
Free cash flows | $ | 50,261 | |||
(1) Defined as “Additions of property and equipment” in the Condensed Consolidated Statements of Cash Flows. |
Reconciliation of selected GAAP-based measures to Non-GAAP-based measures for the nine months ended March 31, 2021 (In thousands, except for per share data) | ||||||||||||||||||||
Nine Months Ended March 31, 2021 | ||||||||||||||||||||
GAAP-based Measures | GAAP-based Measures % of Total Revenue | Adjustments | Note | Non-GAAP-based Measures | Non-GAAP-based Measures % of Total Revenue | |||||||||||||||
Cost of revenues | ||||||||||||||||||||
Cloud services and subscriptions | $ | 354,235 | $ | (2,484) | (1) | $ | 351,751 | |||||||||||||
Customer support | 89,815 | (1,405) | (1) | 88,410 | ||||||||||||||||
Professional service and other | 143,521 | (1,867) | (1) | 141,654 | ||||||||||||||||
Amortization of acquired technology-based intangible assets | 165,581 | (165,581) | (2) | — | ||||||||||||||||
GAAP-based gross profit and gross margin (%) / Non-GAAP-based gross profit and gross margin (%) | 1,729,835 | 69.4 | % | 171,337 | (3) | 1,901,172 | 76.3 | % | ||||||||||||
Operating expenses | ||||||||||||||||||||
Research and development | 304,212 | (7,195) | (1) | 297,017 | ||||||||||||||||
Sales and marketing | 438,984 | (13,594) | (1) | 425,390 | ||||||||||||||||
General and administrative | 190,502 | (12,074) | (1) | 178,428 | ||||||||||||||||
Amortization of acquired customer-based intangible assets | 164,075 | (164,075) | (2) | — | ||||||||||||||||
Special charges (recoveries) | (1,404) | 1,404 | (4) | — | ||||||||||||||||
GAAP-based income from operations / Non-GAAP-based income from operations | 569,222 | 366,871 | (5) | 936,093 | ||||||||||||||||
Other income (expense), net | 16,417 | (16,417) | (6) | — | ||||||||||||||||
Provision for income taxes | 342,121 | (227,030) | (7) | 115,091 | ||||||||||||||||
GAAP-based net income / Non-GAAP-based net income, attributable to OpenText | 129,389 | 577,484 | (8) | 706,873 | ||||||||||||||||
GAAP-based earnings per share / Non-GAAP-based earnings per share-diluted, attributable to OpenText | $ | 0.47 | $ | 2.12 | (8) | $ | 2.59 |
Nine Months Ended March 31, 2021 | ||||||||
Per share diluted | ||||||||
GAAP-based net income, attributable to OpenText | $ | 129,389 | $ | 0.47 | ||||
Add: | ||||||||
Amortization | 329,656 | 1.21 | ||||||
Share-based compensation | 38,619 | 0.14 | ||||||
Special charges (recoveries) | (1,404) | (0.01) | ||||||
Other (income) expense, net | (16,417) | (0.06) | ||||||
GAAP-based provision for income taxes | 342,121 | 1.26 | ||||||
Non-GAAP-based provision for income taxes | (115,091) | (0.42) | ||||||
Non-GAAP-based net income, attributable to OpenText | $ | 706,873 | $ | 2.59 |
Nine Months Ended March 31, 2021 | |||||
GAAP-based net income, attributable to OpenText | $ | 129,389 | |||
Add: | |||||
Provision for income taxes | 342,121 | ||||
Interest and other related expense, net | 114,017 | ||||
Amortization of acquired technology-based intangible assets | 165,581 | ||||
Amortization of acquired customer-based intangible assets | 164,075 | ||||
Depreciation | 64,244 | ||||
Share-based compensation | 38,619 | ||||
Special charges (recoveries) | (1,404) | ||||
Other (income) expense, net | (16,417) | ||||
Adjusted EBITDA | $ | 1,000,225 | |||
GAAP-based net income margin | 5.2 | % | |||
Adjusted EBITDA margin | 40.1 | % |
Nine Months Ended March 31, 2021 | |||||
GAAP-based cash flows provided by operating activities | $ | 579,931 | |||
Add: | |||||
Capital expenditures (1) | (36,267) | ||||
Free cash flows | $ | 543,664 | |||
(1) Defined as “Additions of property and equipment” in the Condensed Consolidated Statements of Cash Flows. |
Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | ||||||||||||||||
Currencies | % of Revenue | % of Expenses(1) | % of Revenue | % of Expenses(1) | |||||||||||||
EURO | 21 | % | 12 | % | 24 | % | 14 | % | |||||||||
GBP | 5 | % | 5 | % | 5 | % | 6 | % | |||||||||
CAD | 3 | % | 14 | % | 3 | % | 11 | % | |||||||||
USD | 63 | % | 53 | % | 60 | % | 53 | % | |||||||||
Other | 8 | % | 16 | % | 8 | % | 16 | % | |||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Nine Months Ended March 31, 2022 | Nine Months Ended March 31, 2021 | ||||||||||||||||
Currencies | % of Revenue | % of Expenses(1) | % of Revenue | % of Expenses(1) | |||||||||||||
EURO | 23 | % | 13 | % | 23 | % | 14 | % | |||||||||
GBP | 5 | % | 6 | % | 5 | % | 5 | % | |||||||||
CAD | 3 | % | 14 | % | 3 | % | 10 | % | |||||||||
USD | 61 | % | 52 | % | 61 | % | 55 | % | |||||||||
Other | 8 | % | 15 | % | 8 | % | 16 | % | |||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
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