Open Text Corporation · TSX:OTEX
Open Text — Investor Day (September 2012)
28 slides from Open Text's investor day presentation, Sep 6, 2012
Slide 1: Investor Briefing
Investor Briefing New York City, Palace Hotel Mark J. Barrenechea OpenText President & CEO September 6th, 2012 Copyright © OpenText Corporation. All rights reserved.
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements in this presentation constitute forward-looking statements or forward- looking information within the meaning of applicable securities laws (“forward-looking statements”). Such forward-looking statements involve known and unknown risks, uncertainties and othe
Slide 3: Agenda
Agenda Speaker Time Mark J. Barrenechea 09:00 AM – 09:30 AM CEO Greg Corgan 09:30 AM – 10:00 AM EVP, Field Operations Muhi Majzoub 10:00 AM – 10:30 AM SVP, Engineering Paul McFeeters 10:30 AM – 11:00 AM CFO & CAO Mark J. Barrenechea 11:00 AM – 11:10 AM CEO Q&A 11:10 AM – 11:50 AM Break 11:50 AM – 12
Slide 4: What You Will Hear Today
What You Will Hear Today Expanded Market Opportunity - EIM Growth Plans: Revenue, License, Earnings Expanded Management Team Innovation Strategy Fiscal 2013 target model 4
Slide 5: Consistency and Growth
Consistency and Growth Non-GAAP EPS Revenue $5.00 1400 Service $4.50 1200 Customer Support $4.00 License 294 $3.50 1000 270 $3.00 800 238 $2.50 230 600 219 657 $2.00 183 561 400 508 $1.50 405 364 $1.00 288 200 204 257 $0.50 126 143 151 167 0 $- FY07 FY08 FY09 FY10 FY11 FY12 FY07 FY08 FY09 FY10 FY11
Slide 6: $2 Billion in Acquisitions
OPENTEXT $2 Billion in Acquisitions Za EASYLINK S ER Vic cE S§S S &Captaris § Global360. +~wecomme = StreamServe <C> [stein METASTORIN AZ VIGNETTE “fetummingie’ §=—_ 2S
Slide 7: Update on Priorities
Update on Priorities OpenText My Day 1 Observations Go Forward Priorities Expanded Opportunity & ECM EIM Addressable Market $5b TAM in 2012 $19b TAM in 2016 Strong Revenue, Consistency and Growth Earnings, Cash Flow Remains a Priority CAGRs below @ or above Organic License Growth Market Rates Market
Slide 8: Executive Team
Executive Team Paul McFeeters Greg Corgan Muhi Majzoub James McGourlay CFO & CAO WW Field Operations Engineering Customer Service Gordon Davies James Latham Steve Hunt Manny Sousa CLO CMO CIO Human Resources 8
Slide 9: Delivered a Solid Fiscal 2012
Delivered a Solid Fiscal 2012 OpenText delivered record performance in revenue, profit, earnings per share and Non-GAAP operating cash flow 13% $1.2 billion $293 million $4.60 Revenue License Up 17% percent Up 9% percent $4.07 $4.60 Non-GAAP Earnings $270 million $287 million Per Share Up 13% percen
Slide 10: Global Business
Global Business Fiscal 2012 Stockholm, SE EMEA HQ Grasbrunn, DE WW HQ Reading, UK Waterloo, ON Paris, FR Bellevue, WA Ottawa, ON San Francisco, Richmond Hills, ON CA Tokyo, JN New York, NY Tucson, AZ Washington, DC Atlanta, GA Austin, TX Hong Kong Mumbai IN Hyderabad IN Singapore APJ HQ Sydney, AU S
Slide 11: Markets Evolve: The Platform
Markets Evolve: The Platform Developer Tools BI The Database Platform Application Server Security 100’s 4 Leaders 11
Slide 12: Markets Evolve: Applications
Markets Evolve: Applications HRMS CRM Business Financials Suite PLM Supply Chain MRP 100’s 3 Leaders 12
Slide 13: Markets Evolve: EIM
Markets Evolve: EIM FAX Discovery EDI Capture Enterprise ECM Information Management BPM IX CEM 100’s 13
Slide 14: Unstructured Enterprise Information
Unstructured Enterprise Information Unstructured Information Discover. Connect. Capture. Digitize Control Content Extract Value Provide Insight Build Apps Records Management ERP, CRM Portal Cases Classification SCM, PLM Social Contracts Metadata Email Search Customers Security Other Repositories Mob
Slide 15: OpenText Vision and Strategy
OpenText Vision and Strategy Enterprise Information Management Unleashing the Power of Information Mobile . Social . Cloud The Next Generation Enterprise Platform 15
Slide 16: Two Enterprise Information Pillars
Two Enterprise Information Pillars Emerging Mature EIM ERP Customer ECM, BPM, Employee FIN, HRMS, CEM, iX, Supplier OM, CRM, Assets Discovery Products PLM … Unstructured Structured Information Information $19b TAM 2016 $33b TAM 2016 10% CAGR 7% CAGR 16
Slide 17: EIM Today
EIM Today Lack of Standards Data Fragmentation Islands Custom Process Fragmentation of Data Applications ERP, Email, Paper, Contracts, Cases, DBMS, File Systems, Quality, Compliance, Bespoke Applications Desktops, SharePoint Assets, … Data Vulnerability Costly Important Varying Data Too Many Point S
Slide 18: EIM Tomorrow
EIM Tomorrow Vertical Stacks Information Integration Applications Contracts, Cases, Quality… Process Integration Standard Business Flows Tools & BI Standards and Consistency… Packaged Applications Information Governance & Middleware Data Integration Security Suite Providers Information Stores EIM, E
Slide 19: Enterprise Information Management (EIM)
Enterprise Information Management (EIM) TAM: $13 billion 2012, $19 billion 2016.* 10% CAGR** Customer win: Emergency Medicine Physicians ECM BPM CEM Information Exchange Discovery 2012 2012 2012 2012 2012 $4.6B Market $2.6B Market $1.35B Market $3.2B Market $1.4B Market 7.2% Growth 7.9% Growth 14% G
Slide 20: Product Priorities
Product Priorities Data & Process Functional Applications Integration Excellence Information Reference Records Management, Contracts, Cases, Model, Middleware, Archiving, Social Compliance, Assets, … Connectors & Communities, Process Collectors, and Tools Modeling, Scanning, … Built on an Integrated
Slide 21: How We Look at the Market
How We Look at the Market Competitive Grid How we win ECM BPM CEM iX Discovery OpenText ✔ ✔ ✔ ✔ ✔ Category leader IBM - - - ✔ ✔ EIM leader HP ✔ - - - ✔ MicroSoft ✔ - - - - Expertise EMC ✔ - - - - Oracle ✔ - ✔ - - Customer references Adobe - - - - ✔ Proven ROI Pega - ✔ - - - Tibco - ✔ - - - Singular
Slide 22: Growth Drivers
Growth Drivers Distribution EIM New Markets Expansion Product Cycle Cloud Services Acquisitions 22
Slide 23: Unleashing the Power of Information
Unleashing the Power of Information
Slide 24: Investor Briefing: Wrap Up
Investor Briefing New York City, Palace Hotel Mark J. Barrenechea OpenText President & CEO Wrap Up September 6th, 2012 Copyright © OpenText Corporation. All rights reserved.
Slide 25: Two Key Observations
Two Key Observations 80% of Enterprise More unstructured data is unstructured. data will be The other 20% lives generated this year, in ERP systems. then in all previous years combined. “Investigating the 80% “ – Seth Grimes, BridgePoint “Technology Trends You Can’t Ignore” - Gartner 25
Slide 26: Summary
Summary EIM Growth Leadership $19b TAM 2016. Revenue. License. Company. Products. 10% CAGR. EPS. CF. Customers. Consistency Doubled the company in six years. Year over Year execution. Acquisitions 26
Slide 27: Unleashing the Power of Information
Unleashing the Power of Information
Slide 28: References
References • ECM, BPM: Gartner Forecast Enterprise Software Markets, 2009-2016 1Q12 Update • InfoExchange: Research and Markets, Computer-based Fax Markets, 2010-2015 • Gartner Enterprise Software Markets, 2009-2016 • 1Q12 Update, Davidson Consulting, Fax Server Industry Forecast, 2011-2016 • CEM: G