Welcome to our dedicated page for Open Text news (Ticker: OTEX), a resource for investors and traders seeking the latest updates and insights on Open Text stock.
Open Text Corp (NASDAQ/TSX: OTEX), a recognized leader in enterprise information management (EIM), specializes in developing and delivering advanced software solutions designed to manage, leverage, and secure enterprise data. Founded in the mid-1980s at Canada's University of Waterloo, OpenText started with a focus on the Oxford English Dictionary technology project. Today, it offers a comprehensive suite of services that enable global enterprises, SMBs, governments, and consumers to gain valuable insights from unstructured information, such as documents, emails, and presentations.
Headquartered in Ontario, Canada, OpenText has evolved significantly, particularly with its recent release of Cloud Editions 24.1. This update includes the latest innovations in OpenText Aviator™, which enhances AI-driven use cases by providing secure information management and governance across knowledge bases without requiring data migration. These advancements underscore OpenText's strategic approach to integrating AI into business workflows, fostering a paradigm shift in operational efficiencies and decision-making processes.
OpenText's fiscal 2024 second-quarter results highlighted a 71% year-over-year revenue increase, reaching a record $1.535 billion. This growth was driven by heightened demand for cloud services, with enterprise cloud bookings up by 63%. The company's strategic divestiture of its AMC/Mainframe business to Rocket Software for $2.275 billion further emphasizes its focus on higher-growth opportunities in cloud, security, and AI markets.
Recent achievements include the introduction of the second generation of Fortify Audit Assistant, which enhances cybersecurity auditing capabilities using machine learning to reduce false positives and streamline security processes. Additionally, OpenText's involvement in the U.S. Government's Joint Cyber Defense Collaborative (JCDC) reflects its commitment to enhancing cybersecurity resilience through proactive defense measures.
OpenText continues to foster innovation and growth, as exemplified by its upcoming OpenText World Europe 2024 event series, which will showcase next-generation cloud and AI developments. The company remains committed to returning value to shareholders through its dividend program and has reinstated its share repurchase plan, underscoring confidence in its financial stability and growth prospects.
Pick n Pay Group, a major African retailer, has partnered with OpenText (NASDAQ: OTEX, TSX: OTEX) to revolutionize its software testing processes. By implementing OpenText DevOps Aviator, Pick n Pay has achieved 95% automation in software testing, reducing testing times by up to three days. This AI-driven solution has improved testing accuracy, increased coverage by 20%, and accelerated development cycles.
The partnership has enabled Pick n Pay to enhance its digital services for e-commerce customers, outperforming public AI platforms in precision and data protection. The implementation has resulted in a 95% increase in quality assurance and system integration testing, surpassing standard goals of 75% to 80%. This efficiency boost allows testers to focus on higher-priority tasks and has cut training time for junior testers by six weeks.
OpenText has unveiled Axcelerate with Aviator, an AI-powered enhancement to its eDiscovery platform, as part of Cloud Editions 24.3. This innovation leverages Large Language Models (LLMs) to help legal professionals gain data-driven insights, mitigate risks, and reduce eDiscovery costs. The solution addresses the growing demand for efficient e-discovery solutions, with 54% of corporate legal teams planning to use AI for high-value work.
Axcelerate with Aviator offers features such as faster fact-finding, enhanced efficiency through automated data categorization and summarization, and cost certainty with upfront LLM cost estimates. OpenText will showcase this technology at ILTACON 2024, demonstrating how generative AI can revolutionize eDiscovery processes.
OpenText (NASDAQ/TSX: OTEX) reported its Fiscal 2024 financial results, showcasing strong performance with total annual revenues of $5.8 billion, reflecting a 29% year-over-year growth. Key metrics include:
- Total Revenues: $5.8 billion, up 28.6% Y/Y
- Annual Recurring Revenues: $4.5 billion, up 25.4% Y/Y
- Cloud Revenues: $1.8 billion, up 7.1% Y/Y
- Adjusted EBITDA: $2.0 billion, margin of 34.1%
- GAAP-based Net Income: $465 million, up 209.3% Y/Y
- Free Cash Flows: $808 million
OpenText also announced a new $300 million share repurchase program, a 5% dividend increase, and expects to return approximately $570 million to shareholders in Fiscal 2025. The company's quarterly results saw total revenues of $1.4 billion, down 8.6% Y/Y due to the AMC divestiture, but GAAP-based net income surged 609.4% Y/Y primarily due to gains from the divestiture.
OpenText announced that Export Development Bank of Egypt (EBank Egypt) has enhanced operational efficiencies and innovation using OpenText IT Operations Cloud solutions. EBank implemented OpenText Service Management Automation X (SMAX) to replace its outdated ticketing support system, providing smart self-serve capabilities and automating manual processes. The bank also leverages OpenText Operations Orchestration (OO) and OpenText Universal Discovery and CMDB to optimize IT operations and apply stricter security controls.
The implementation has transformed EBank's service management infrastructure, unlocking efficiencies and enhancing customer experience. It has also supported the bank's ESG goals by making it largely paperless. The success has led to plans for extending SMAX to non-IT departments, further enhancing accuracy and real-time tracking capabilities across the organization.
OpenText (NASDAQ: OTEX, TSX: OTEX) has unveiled Cloud Editions (CE) 24.3, a significant advancement in information management, cloud solutions, security, and artificial intelligence (AI). This release addresses the growing demand for AI and cloud integration in business transformation, with 68% of CIOs expecting generative AI and large language models to impact investment priorities.
Key innovations include OpenText DevOps Aviator, which accelerates application delivery using AI-powered testing bots, and OpenText Fortify Aviator, which automates SAST vulnerability remediation. OpenText Content Aviator enhances content management workflows across multiple platforms, while OpenText Thrust Studio provides developers with a real-time AI-powered digital assistant.
The company has also achieved FedRAMP authorization for several products, expanding its offerings to U.S. federal agencies.
OpenText (NASDAQ: OTEX) has announced its 2024 Hackathon, titled Hacknosis: Sustainable MedTech, which runs from July 15 to August 15. This virtual event aims to encourage innovation in MedTech sustainability, social sustainable design, and carbon accounting using OpenText APIs. According to the OpenText IT Sustainability Report, 97% of organizations have sustainability initiatives, but only 50% use software to track their IT carbon footprint. The hackathon seeks to bridge this gap by requiring participants to develop technologies that enhance OpenText solutions or support sustainability initiatives.
The event will feature three categories: MedTech sustainability, Social sustainability, and Technology, with cash prizes for the top three solutions in each category. John Radko, SVP of Engineering at OpenText, emphasized the value of hackathons in fostering creativity and innovation. Winners will be announced in September 2024 and celebrated in events later in the year. More information and registration details are available on the Hacknosis: Sustainable MedTech page.
OpenText (NASDAQ: OTEX, TSX: OTEX) announced that it will release its fourth quarter fiscal year 2024 financial results on Thursday, August 1, 2024, at approximately 4:00 p.m. ET.
The company's CEO & CTO, Mark J. Barrenechea, and President, CFO & Corporate Development, Madhu Ranganathan, will host a conference call webcast on the same day at 5:00 p.m. ET to discuss the results.
The webcast will be accessible from the Investor Relations section of OpenText's website.
OpenText announced the appointment of Annette Rippert to its board of directors, effective July 9, 2024. Rippert brings nearly 30 years of experience from Accenture, where she last served as Group Chief Executive – Strategy & Consulting. Her background includes leading global strategy, accelerating the use of technology, AI, and data, and managing over 20 acquisitions. Tom Jenkins, Chair of the Board, highlighted her extensive experience and alignment with the company's strategy and growth opportunities. Rippert's accolade includes top ranks in The Consulting Report's Top 25 Women Leaders and the HERoes Top 100 Women Executives list.
OpenText (NASDAQ: OTEX) has received full FedRAMP authorization for its Cloud for Government solution, including Extended ECM and AppWorks. This authorization helps federal agencies modernize applications, strengthen cybersecurity, and deliver a better citizen experience by digitizing records and automating workflows. The solution ensures compliance with evolving security requirements and provides integrated content lifecycle management. Additionally, it supports seamless collaboration and improves operational effectiveness. This FedRAMP authorization enables federal agencies to securely and efficiently migrate more workloads to the cloud while maintaining control and compliance.
OpenText (NASDAQ: OTEX, TSX: OTEX) has been identified as a Leader in two IDC MarketScapes for 2024: Worldwide Unified Endpoint Management (UEM) Software for Small and Medium-Sized Businesses (SMBs) and Worldwide Client Endpoint Management Software for Microsoft Windows Devices. The UEM assessment highlights the strengths of OpenText's ZENworks, including its strong device management capabilities across various platforms and its integration with OpenText's security features. The acquisition of Micro Focus has improved ZENworks' cloud and AI integration, expanding market opportunities. OpenText emphasizes delivering cloud-based UEM solutions to protect SMBs from cyber threats while enhancing productivity. The company's tools also help reduce IT costs by unifying device management and security in one platform.
FAQ
What is the current stock price of Open Text (OTEX)?
What is the market cap of Open Text (OTEX)?
What does Open Text Corp specialize in?
Where is Open Text Corp headquartered?
What are some recent achievements of Open Text Corp?
How does Open Text Corp leverage AI in its offerings?
What was the revenue growth for Open Text Corp in Q2 2024?
What strategic divestiture did Open Text Corp recently complete?
What is the significance of OpenText's involvement in the JCDC?
What is Fortify Audit Assistant?
What events will OpenText host in 2024?
How does OpenText plan to use the proceeds from the AMC/Mainframe divestiture?
