Slide 1: Collaboration Software: Productivity Tools for the Global 2000
Collaboration Software Productivity Tools for the Global 2000 Tom Jenkins, C E O Alan Hoverd, CFO 1st Quarter FY 2003 October, 2002
Slide 2: Disclaimer
Disclaimer “This presentation may contain forward-looking statements relating to the future performance of Open Text, the deployment of Livelink and myLivelink by customers, and future performance of Open Text Corporation. Forward-looking statements are subject to certain risks and uncertainties, an
Slide 3: Q1 Quarter FY03
Q1 Quarter FY03 4 Record revenue and profits for Q1 4 $37.7 M revenue and $5.2 M profits 4 5% license revenue growth y/y 4 5 deals over $1million 4 67% profit growth Q/Q 4 Adjusted EPS 0.25 4 Beat street estimate by 5 cents or 25% 4 10th quarter of profit in a row 4 Forecast $1.20 adjusted eps for t
Slide 4: Balance Sheet
Balance Sheet 4 Clean Balance sheet: 4 Cash $103 million 4 Working Capital $94 million 4 Def Revenue $25 million 4 Debt None 4 DSO 71 days 4 Pre-paid minimal 4 Cash Flow (last 2 yrs) $53 million
Slide 5: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 6: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 7: Corporate Overview
Corporate Overview 4 Collaboration $US MM Revenue 180 160 Software 140 4 OTEX 120 100 80 4 IPO in 1996 60 40 4 $167M FY03 20 0 1996 1997 1998 1999 2000 2001 2002 200 3 4 $1.20 adj EPS 1996 97 98 99 00 01 02 03* Year 4 1,000 people worldwide 4 Growth despite soft economy
Slide 8: Strong Internet History
Strong Internet History 4 Put Oxford Dictionary online in 91 4 1st Internet search engine in 94 4 1st Yahoo search engine in 95 http://www.opentext.com/investor/ 4 Founded About.com in 96 4 1st KM web product in 97 4 1st Netscape KM engine in 97 4 1st Integrated CKM engine in 01
Slide 9: Global 2000 Customers
Global 2000 Customers United States 60% 650 people Europe: 35% 300 people Asia: 5% 50 people World Operations HQ in Chicago 1,000 staff worldwide
Slide 10: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 11: The Problem
The Problem 4 Electronic informationdominates how we get our jobs done 4 Managing information is key to improving productivity 4 Collaboration between teams of separated people 4 A difficult problem that is critical to competitiveness
Slide 12: The Marketplace
The Marketplace Collaboration and Knowledge Management …… To drive Productivity solutions for Global 2000
Slide 13: Impact of Collaboration
Impact of Collaboration Make better decisions faster! A Group Collaboration Quality ROI Savings One Person A group Time
Slide 14: The problem with KM
The problem with KM Input is Knowledge Repository is not useful a barrier: without information being fed organically most is lost Knowledge Information Repository
Slide 15: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 16: Collaboration & KM
Collaboration & KM Knowledge Repository is fed as a by-product of collaborative work Collaborative Work MeetingZone Knowledge Environment Repository Knowledge Repository is mined to make collaborative working more effective
Slide 17: Collaboration and KM
Collaboration and KM Pharma FinServ MeetingZone Collaborative Work & Knowledge Environment Repository FirstClass Govt More…
Slide 18: Easy to get into meeting
Easy to get into meeting E-mail Invitation – make it easy to use All invitees receive e-mail notification. In addition to the information that participants and guests receive, hosts also receive the Host ID. Invitees can simply click this link to go to the meeting on the server.
Slide 19: Meeting Whiteboard
Meeting Whiteboard Draw and Capture Chat at the same time
Slide 20: Archive Meeting Sessions
Archive Meeting Sessions Archive meeting sessions in a project
Slide 21: Recent Announcements
Recent Announcements 4 Big product moves: 4 Formal launch of Livelink CM 4 Acquisition Proposal for Centrinity 4 Advanced Messaging capability 4 Livelink Doorways and Unite 4 More to follow…..
Slide 22: Livelink CM: more than 50 customers
Livelink CM 4 More than 50 customers already! 4 Based on ISO web site from St. Galen 4 Formal launch at LLUP in November 4 Full blown CM capability 4 Will be more competitive for customers
Slide 23: The CM Problem - an ISO example
The CM Problem — anRecent Announcements ISO example Livelink for Content Management is inspired by a custom, Livelink- based content management application built for ISO in Geneva. All of the content on their site is sourced and managed in Livelink.
Slide 24: Elements of a WCM System
Recent Announcements Elements of a WCM System S ta ge P ublis h Working S ta ging P ublis he d Are a Are a Are a De live r J 2EE Applica tion J 2EE Live link S e rve r Conte nt S e rve r Personalized Content and/or delivered to the syndicated end user content delivered to the end user
Slide 25: The CM Problem - an ISO example
Recent The CM Problem – an ISO Announcements example Header Each page is composed of many content elements Menu Advertising The content management Table of Contents Main Content application built for Livelink manages the different panels of the site, including Header, TOC, main content, and so on.
Slide 26: Advanced Messaging and Centrinity Acquisition Proposal
Advanced Messaging 4 Acquisition Proposal for Centrinity 4 First Class is product name 4 Advanced Messaging capability 4 Provides a means by which messaging can be done WITHIN Livelink applications 4 Creates opportunity manage biggest source of data today: email
Slide 27: Advanced Messaging
Advanced Messaging Desktop File Edit Format Message Collaborate View Help ja POS fF ae Gres Fie Edt Fomst Message Collsborate View Help Pricey, October 11, 2002 11.01 22 AM of | = e r: chemet/Watetloe, Ontario TS Desktop 2 Files 14 Folders FirstClass Online : Phil Coe Message From: 4 1-519-888-7111
Slide 28: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 29: Investing in the future
Investing in the future 4 Profit Focus but actively investing 4 Not tactical investing (eg. Adverts) 4 Strategic investing (eg. Research) 4 We are doing strategic investing 4 Investing 16% of sales on research 4 $40 million in past two years 4 Developing users & solutions at LLUP
Slide 30: Collaboration and KM
Collaboration and KM Pharma FinServ MeetingZone Collaborative Work & Knowledge Environment Repository FirstClass Govt More…
Slide 31: Livelink in Pharmaceuticals
Livelink in Pharmaceuticals XML BASED ELECTRONIC SUBMISSIONS MANAGING CLINICAL FORMS & DATA ACCESS DATA IN LEGACY SYSTEMS COMPLIANCE to FDA 21 CFR Part 11
Slide 32: Livelink in AEC
Livelink in AEC MULTIPLE WORKSPACES DRAWING VIEWING AND REDLINING FORM DRIVEN TASKS & WORKFLOW PROJECT CALENDARS & DIARIES
Slide 33: Livelink in Quality
Livelink in Quality 4 Stage/Gate Process Support 4 Project Team Collaboration 4 Decision Support 4 Process Oriented GUI
Slide 34: Open Text Business Model
Open Text Business Model marketplace V-Organization Small to Medium Global 2000 Enterprises Company channel Application Solution direct Service Provider Provider sales force Other Network Hardware Software Service Vendor Open Text Vendors Provider
Slide 35: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 36: Innovation in the last 12 months
Innovation in the last 12 months 4 Livelink KM – knowledge management 4 Livelink MeetingZone – web meeting 4 Livelink RM – records management 4 Virtual Teams – meeting methods 4 Livelink Unite – application integration 4 Livelink Atlas – extended search 4 Livelink SAP – extended ERP 4 Livelink eSign
Slide 37: Number of Users
Growth driven by Enterprise Enterprise 6 million users Follow On Department Number of Users 1 million per year 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 1996 1997 1998 1999 2000 2001 2002 96 97 98 99 00 01 Fiscal Years
Slide 38: Revenue & Margin Model
Revenue & Margin Model 4 Revenue Type • Product License: 50% • Product Maintenance 25% • Professional Services 25% 4 Overall Gross Margin: 75 % • Development 15% • Sales & Marketing 35% • General & Admin 10% 4 Operating Income 15%
Slide 39: 5 Year Stock Performance
5 Year Stock Performance 200% vs. 30%
Slide 40: The Company, Problem, Solution, Strategy, Results, Summary
Corporate Presentation 4 The Company 4 The Problem 4 The Solution 4 The Strategy 4 The Results 4 The Summary
Slide 41: Summary
Summary 4 Profits & cash flow with growth 4 MeetingZone will drive revenues 4 Lots of new products this year 4 ROI story more relevant now 4 Continue to invest & invent 4 Acquisition of smaller players
Slide 42: Thank You: Great Minds Working Together
Thank You Great Minds Working Together TM