WATERLOO, ON — February 5, 2026 — Leads & Copy — Open Text Corporation (NASDAQ: OTEX), (TSX: OTEX) has announced its financial results for the second quarter ended December 31, 2025.
Total revenues reached $1.327 billion, marking a -0.6% year-over-year change. Cloud revenues were $478 million, a +3.4% year-over-year increase, marking the 20th consecutive quarter of cloud organic growth. The company’s net income margin was 12.7%, with a robust adjusted EBITDA margin of 37.0%.
Interim Chief Executive Officer James McGourlay said the company had an excellent quarter, led by 18% revenue growth in its Content Management cloud business. McGourlay added that OpenText is at the forefront of Enterprise Information Management for AI, and at the recent OpenText World conference, customers and partners demonstrated how they leverage OpenText’s Aviator AI solutions to solve complex problems, bringing insights, security and compliance to their information and most sensitive data. McGourlay also welcomed Ayman Antoun to the CEO role at OpenText, and said he looks forward to working with him on a smooth and steady transition.
Executive Vice President and Chief Financial Officer Steve Rai said that with strong adjusted EBITDA margin and free cash flow performance in the quarter, the strength of the OpenText operating model continues to drive its business to meet the Company’s margin targets for Fiscal 2026. Rai noted that the company’s robust cash flow engine provides the scale and capital flexibility to continue investing for growth within its core Enterprise Information Management for AI market.
Executive Chair of the Board and Chief Strategy Officer P. Thomas Jenkins said that welcoming Ayman Antoun as CEO marks a pivotal milestone in OpenText’s journey, adding that he brings deep enterprise technology and software expertise with decades of experience leading large scale global transformations. Jenkins said Antoun’s leadership will help OpenText expand its market share as the world’s leader in secure, trusted data amid accelerating demand for cloud modernization and enterprise AI. Jenkins added that the closing of eDOCS and announced divestiture of Vertica demonstrates OpenText’s continued progress in divesting non-core assets and that the company remains committed to building a leaner OpenText, focused on growth and helping clients leverage enterprise content to train agentic AI.
Second Quarter Financial Highlights Y/Y:
Annual recurring revenues (ARR) were $1.060 billion, +0.7% year-over-year. Quarterly enterprise cloud bookings reached $295 million, +18.0% year-over-year. Cash flows: Operating $319 million and free cash flows $279 million. Net income: GAAP $168 million, -26.9% year-over-year, Non-GAAP $286 million, -2.4% year-over-year. Adjusted EBITDA of $491 million, margin of 37.0%. Diluted earnings per share (EPS): GAAP $0.66, Non-GAAP $1.13. Capital returns of $119 million including $69 million via dividends and $50 million of share repurchases.
The Board declared a cash dividend of $0.275 per common share on February 4, 2026, payable on March 20, 2026, to shareholders of record as of March 6, 2026.
Quarterly Business Highlights:
OpenText appointed Ayman Antoun as Chief Executive Officer, effective April 20, 2026. The company also announced the divestiture of Vertica, a part of its non-core Analytics portfolio, for US$150 million, and completed the divestiture of eDOCS, a non-core product, for US$163 million. John Hastings and Margaret Stuart were appointed to the Board of Directors in December 2025, bringing the total of new board members appointed in 2025 to four. OpenText unveiled a next-generation AI Data Platform for secure information management at its OpenText World user conference and expanded collaboration with SAP to deliver AI-ready cloud content management at scale. Key customer wins in the quarter include: Anritsu Service Assurance, Atos Group, BNP Paribas, Central Clinical Labs, Dairy Farmers of America, Desjardins, Finova, Raiffeisen Informatik Consulting, Ricoh Corporation, Sklavenitis, Solenis, Turkcell, US Bank National Association.
OpenText posted an investor presentation on its Investor Relations website and invites the public to listen to the earnings conference call webcast on Thursday, February 5, 2026 at 5:00 p.m. ET (2:00 p.m. PT) from the Investor Relations section of the Company’s website.
Source: Open Text Corporation
