OpenText Releases Impressive Second Quarter Financial Results for FY 2026
On February 5, 2026, OpenText Corporation, a global leader in enterprise information management, unveiled its financial performance for the second quarter of fiscal year 2026, which concluded on December 31, 2025. The company reported total revenues of $1.33 billion, only slightly down by 0.6% compared to last year's figures.
Highlights from the fiscal second quarter show a notable growth in cloud revenues, reaching $478 million, up 3.4% year-over-year. This growth underscores OpenText's commitment to cloud-based solutions as it continues to be a significant part of their business model. The enterprise cloud bookings also demonstrated a robust increase of 18%, totaling $295 million for the quarter.
Despite the slight decline in total revenues, the company achieved a net income of $168 million, translating to a margin of 12.7%. The adjusted EBITDA was reported at an impressive $491 million for the quarter, yielding a substantial margin of 37.0%. These results reflect OpenText's efficient operational management and the effectiveness of its strategic investments in innovative technologies to ensure long-term sustainability.
James McGourlay, the interim CEO, commented, "Our excellent performance this quarter was primarily driven by an 18% growth in our Content Management cloud business. OpenText is at the forefront of AI-driven enterprise information management, and the results from our recent OpenText World conference showed how our clients leverage our AI solutions to solve complex challenges, enhancing insights, security, and compliance."
Additionally, OpenText recently welcomed Ayman Antoun as the new CEO. Antoun’s extensive experience in enterprise technology is expected to catalyze further growth and innovation within the company. He takes over from McGourlay, who is engaging in a smooth transition process.
The financial landscape presented by OpenText highlights their capability to adapt to a changing market environment. The firm demonstrated strong operating cash flow, with $319 million in cash flows and $279 million in free cash flow, although both figures showed a year-over-year decline, suggesting some challenges in maintaining cash flow momentum.
OpenText's capital returns included $119 million, with $69 million allocated to dividend payments and an additional $50 million used for share repurchases, showcasing the company’s commitment to returning value to shareholders.
Overall, the highlights from Q2 of FY 2026 reveal a company poised for continued success in the cloud and AI sectors. OpenText's strong quarterly performance amidst market fluctuations underscores its resilience and innovation-driven approach, which positions it well for future growth as digital transformation continues to accelerate across industries.
Highlights from the fiscal second quarter show a notable growth in cloud revenues, reaching $478 million, up 3.4% year-over-year. This growth underscores OpenText's commitment to cloud-based solutions as it continues to be a significant part of their business model. The enterprise cloud bookings also demonstrated a robust increase of 18%, totaling $295 million for the quarter.
Despite the slight decline in total revenues, the company achieved a net income of $168 million, translating to a margin of 12.7%. The adjusted EBITDA was reported at an impressive $491 million for the quarter, yielding a substantial margin of 37.0%. These results reflect OpenText's efficient operational management and the effectiveness of its strategic investments in innovative technologies to ensure long-term sustainability.
James McGourlay, the interim CEO, commented, "Our excellent performance this quarter was primarily driven by an 18% growth in our Content Management cloud business. OpenText is at the forefront of AI-driven enterprise information management, and the results from our recent OpenText World conference showed how our clients leverage our AI solutions to solve complex challenges, enhancing insights, security, and compliance."
Additionally, OpenText recently welcomed Ayman Antoun as the new CEO. Antoun’s extensive experience in enterprise technology is expected to catalyze further growth and innovation within the company. He takes over from McGourlay, who is engaging in a smooth transition process.
The financial landscape presented by OpenText highlights their capability to adapt to a changing market environment. The firm demonstrated strong operating cash flow, with $319 million in cash flows and $279 million in free cash flow, although both figures showed a year-over-year decline, suggesting some challenges in maintaining cash flow momentum.
OpenText's capital returns included $119 million, with $69 million allocated to dividend payments and an additional $50 million used for share repurchases, showcasing the company’s commitment to returning value to shareholders.
Overall, the highlights from Q2 of FY 2026 reveal a company poised for continued success in the cloud and AI sectors. OpenText's strong quarterly performance amidst market fluctuations underscores its resilience and innovation-driven approach, which positions it well for future growth as digital transformation continues to accelerate across industries.
Topics Business Technology）
【About Using Articles】
You can freely use the title and article content by linking to the page where the article is posted.
※ Images cannot be used.
【About Links】
Links are free to use.