WATERLOO, ON, Aug. 20 /PRNewswire-FirstCall/ -- Open Text(TM)
Corporation (NASDAQ:OTEX) (TSX:OTC), a leading provider of
Enterprise Content Management (ECM) software, today announced
unaudited financial results for its fourth quarter and fiscal year
ended June 30, 2009.(1) Total revenue for the fourth quarter was
$203.4 million, up 2% compared to $200.3 million for the same
period in the prior fiscal year. License revenue in the fourth
quarter was $63.0 million, down 8% compared to $68.2 million in the
fourth quarter of the prior fiscal year. Adjusted net income in the
quarter was $39.2 million or $0.73 per share on a diluted basis, up
18% compared to $33.3 million or $0.63 per share on a diluted basis
for the same period in the prior fiscal year. Net income in
accordance with U.S. generally accepted accounting principles ("US
GAAP") was $19.5 million or $0.36 per share on a diluted basis,
compared to $27.3 million or $0.51 per share on a diluted basis for
the same period in the prior fiscal year.(2) Total revenue for
fiscal year 2009 was $785.7 million, up 8% compared to $725.5
million for the previous fiscal year. License revenue for fiscal
year 2009 was $229.8 million, up 5% compared to $219.1 million in
the previous fiscal year. Adjusted net income for fiscal year 2009
was $132.8 million, or $2.49 per share on a diluted basis, up 24%
compared to adjusted net income for the previous fiscal year of
$107.0 million, or $2.03 per share on a diluted basis. Net income
for fiscal year 2009 in accordance with US GAAP was $56.9 million,
or $1.07 per share on a diluted basis, compared to the prior fiscal
year's net income of $53.0 million, or $1.01 per share on a diluted
basis.(2) Operating cash flow in the fourth quarter of fiscal 2009
was $38.6 million, compared to $44.6 million in the fourth quarter
of the prior fiscal year. For the full 2009 fiscal year, Open Text
generated $176.2 million in operating cash flow compared to $166.0
million in fiscal 2008. The cash and cash equivalents balance as of
June 30, 2009 was $275.8 million. Accounts receivable as of June
30, 2009, totaled $115.8 million, compared to $134.4 million as of
June 30, 2008, and Days Sales Outstanding (DSO) was 51 days in the
fourth quarter of fiscal 2009, compared to 60 days in the fourth
quarter of fiscal 2008. "I am pleased that we achieved our bottom
line target in this quarter and grew adjusted earnings by 24% for
the year in this difficult economic environment," said John
Shackleton, President and Chief Executive Officer of Open Text.
"Driven by demand for compliance based solutions I remain confident
on our future prospects." On July 21, 2009 Open Text announced that
it had completed the acquisition of all of the issued and
outstanding shares of Vignette Corporation. "With the acquisition
of Vignette we solidify our ECM market leadership. We have gained a
great customer base and enterprise-level technology that enhances
our ECM suite," said Mr. Shackleton. "We are pleased with how the
acquisition is progressing and to date the integration is tracking
to plan." Please see note (2) below for a reconciliation of non-US
GAAP based financial measures used in this press release, to US
GAAP based financial measures. Teleconference Call Open Text will
host a conference call on August 20, 2009 at 5:00 p.m. ET to
discuss its final financial results. Date: Thursday, August 20,
2009 Time: 5:00 p.m. ET/2:00 p.m. PT Length: 60 minutes Where:
416-644-3415 800-733-7571 (Toll Free) Please dial-in approximately
10 minutes before the teleconference is scheduled to begin. A
replay of the call will be available beginning August 20, 2009 at
7:00 p.m. ET through 11:59 p.m. on September 3, 2009 and can be
accessed by dialing 416-640-1917 and using passcode 21310608
followed by the number sign. For more information or to listen to
the call via Web cast, please use the following link:
http://www.opentext.com/events/wa-event.html?id=6638242 About Open
Text Open Text(TM) is the world's largest independent provider of
Enterprise Content Management software. The company's solutions
manage information for all types of business, compliance and
industry requirements in large companies, government agencies and
professional service firms. Open Text supports approximately 46,000
customers in 114 countries and 12 languages. For more information
about Open Text, visit http://www.opentext.com/. Safe Harbor
Statement under the Private Securities Litigation Reform Act of
1995 This press release contains forward-looking statements,
including statements about the financial conditions, and results of
operations and earnings for Open Text Corporation ("Open Text" or
"the Company"). Forward-looking statements in this press release
are not promises or guarantees of future performance and are
subject to risks and uncertainties that could cause the Company's
actual results to differ materially from those anticipated. The
Company cautions you not to place undue reliance upon any such
forward-looking statements, which speak only as of the date made.
The results included in this press release are unaudited and
therefore are deemed to be forward-looking statements. Factors that
may cause actual results or earnings to differ materially from such
forward-looking statements include, among others, the following:
(i) the future performance, financial and otherwise, of Open Text;
(ii) the ability of Open Text to bring new products to market and
to increase sales; (iii) the strength of the Company's product
development pipeline; (iv) the Company's growth and profitability
prospects; (v) the estimated size and growth prospects of the ECM
market; (vi) the Company's competitive position in the ECM market
and its ability to take advantage of future opportunities in this
market; (vii) the benefits of the Company's products to be realized
by customers; and (viii) the demand for the Company's product and
the extent of deployment of the company's products in the ECM
marketplace. Forward-looking statements may also include, without
limitation, any statement relating to future events, conditions or
circumstances. The risks and uncertainties that may affect
forward-looking statements include, but are not limited to: (i)
integration of acquisitions and related restructuring efforts,
including the quantum of restructuring charges and the timing
thereof; (ii) the possibility that the Company may be unable to
meet its future reporting requirements under the Securities
Exchange Act of 1934, as amended, and the rules promulgated
thereunder; (iii) the risks associated with bringing new products
to market; (iv) fluctuations in currency exchange rates; (v) delays
in the purchasing decisions of the Company's customers; (vi) the
competition the Company faces in its industry and/or marketplace;
(vii) the possibility of technical, logistical or planning issues
in connection with the deployment of the Company's products or
services; (viii) the continuous commitment of the Company's
customers; (ix) demand for the Company's products; and (10) other
risks detailed from time to time in the Company's filings with the
Securities and Exchange Commission (SEC), including the Company's
Annual Report on Form 10-K for the year ended June 30, 2008.
Forward-looking statements are based on management's beliefs and
opinions at the time the statements are made, and the Company does
not undertake any obligation to update forward-looking statements
should circumstances or management's beliefs or opinions change.
Notes (1) Based on comparison of historical revenue figures
publicly disseminated by companies in the Enterprise Content
Management ("ECM") sector. All dollar amounts in this press release
are in US Dollars unless otherwise indicated. (2) In addition to
these GAAP and adjusted results the Company has provided financial
information that adds back maintenance revenue eliminated due to
the impact of purchase accounting entries on deferred revenue and
the impact of interest expense. Management believes that the
furnishing of these adjustments provide a consistent basis for
comparison between quarters and help to more accurately reflect
Open Text's underlying operating results. (in millions of US
dollars, except Three months ended per-share data) June 30, 2009
GAAP Revenue $ 203.4 Maintenance revenue adjustment for purchase
accounting 0.5 ------------------- Non-GAAP revenue $ 203.9
------------------- ------------------- Adjusted Income $ 39.2
Maintenance revenue adjustment for purchase accounting 0.5 Net
Interest Expense 2.8 Income tax effect (0.9) -------------------
Non-GAAP net income $ 41.6 ------------------- -------------------
Adjusted EPS Diluted $ 0.73 Non GAAP Adjustments (net of tax) -
Maintenance 0.01 - Interest 0.04 ------------------- Non-GAAP EPS $
0.78 ------------------- ------------------- (in millions of US
dollars, except Twelve months ended per-share data) June 30, 2009
GAAP Revenue $ 785.7 Maintenance revenue adjustment for purchase
accounting 1.5 ------------------- Non-GAAP revenue $ 787.2
------------------- ------------------- Adjusted Income $ 132.8
Maintenance revenue adjustment for purchase accounting 1.5 Net
Interest Expense 13.6 Income tax effect (4.2) -------------------
Non-GAAP net income $ 143.7 ------------------- -------------------
Adjusted EPS Diluted $ 2.49 Non GAAP Adjustments (net of tax) -
Maintenance 0.02 - Interest 0.18 ------------------- Non-GAAP EPS $
2.69 ------------------- ------------------- (3) Use of US Non-GAAP
financial measures In addition to reporting financial results in
accordance with US GAAP, the Company provides certain non-US GAAP
financial measures that are not in accordance with US GAAP. These
non-US GAAP financial measures have certain limitations in that
they do not have a standardized meaning and thus the Company's
definition may be different from similar non-US GAAP financial
measures used by other companies and/or analysts and may differ
from period to period. Thus it may be more difficult to compare the
Company's financial performance to that of other companies.
However, the Company's management compensates for these limitations
by providing the relevant disclosure of the items excluded in the
calculation of adjusted net income and adjusted EPS both in its
reconciliation to the US GAAP financial measures of net income and
EPS and its consolidated financial statements, all of which should
be considered when evaluating the Company's results. The Company
uses the financial measures adjusted EPS and adjusted net income to
supplement the information provided in its consolidated financial
statements, which are presented in accordance with US GAAP. The
presentation of adjusted net income and adjusted EPS is not meant
to be a substitute for net income or net income per share presented
in accordance with US GAAP, but rather should be evaluated in
conjunction with and as a supplement to such US GAAP measures. Open
Text strongly encourages investors to review its financial
information in its entirety and not to rely on a single financial
measure. The Company therefore believes that despite these
limitations, it is appropriate to supplement the disclosure of the
US GAAP measures with certain non-US GAAP measures for the reasons
set forth below. Adjusted net income and adjusted EPS are
calculated as net income or net income per share on a diluted
basis, excluding, where applicable, the amortization of acquired
intangible assets, other income (expense), share-based
compensation, and restructuring, all net of tax. The Company's
management believes that the presentation of adjusted net income
and adjusted EPS provides useful information to investors because
it excludes non-operational charges. The use of the term
"non-operational charge" is defined by the Company as those that do
not impact operating decisions taken by the Company's management
and is based upon the way the Company's management evaluates the
performance of the Company's business for use in the Company's
internal reports. In the course of such evaluation and for the
purpose of making operating decisions, the Company's management
excludes certain items from its analysis, such as amortization of
acquired intangibles, restructuring costs, share-based
compensation, other income (expense) and the taxation impact of
these items. These items are excluded based upon the manner in
which management evaluates the business of the Company and are not
excluded in the sense that they may be used under US GAAP. The
Company believes the provision of supplemental non-US GAAP measures
allows investors to evaluate the operational and financial
performance of the Company's core business using the same
evaluation measures that management uses, and is therefore a useful
indication of Open Text's performance or expected performance of
recurring operations and facilitates period-to-period comparison of
operating performance. As a result, the Company considers it
appropriate and reasonable to provide, in addition to US GAAP
measures, supplementary non-US GAAP financial measures that exclude
certain items from the presentation of its financial results in
this press release. The following charts provide reconciliation
(unaudited) of US GAAP based financial measures to non-US GAAP
based financial measures referred to in this press release:
Reconciliation (unaudited) of US GAAP based Net Income to Adjusted
Net
----------------------------------------------------------------------
Income (in millions of US dollars) for the quarters ended June 30,
2009
-----------------------------------------------------------------------
and 2008: --------- Three months ended Three months ended June 30,
2009 June 30, 2008 GAAP based "Net Income" $19.5 $27.3 Special
Charges/(recovery) 1.2 (0.3) Amortization of intangibles 17.3 18.4
Other (Income)/Expense 3.0 (11.3) Share-based compensation 1.1 1.0
Tax Impact on Above (2.9) (1.8)
-------------------------------------------------------------------------
Non-GAAP based "Adjusted Net Income" $39.2 $33.3
-------------------------------------------------------------------------
Reconciliation (unaudited) of US GAAP based EPS to non-US GAAP
based EPS
------------------------------------------------------------------------
(calculated on a diluted basis) for the quarters ended June 30,
2009 and
------------------------------------------------------------------------
2008: ----- Three months ended Three months ended June 30, 2009
June 30, 2008 GAAP based "Net Income" $0.36 $0.51 Special
Charges/(recovery) 0.02 (0.01) Amortization of intangibles 0.32
0.35 Other (Income)/Expense 0.06 (0.21) Share-based compensation
0.02 0.02 Tax Impact on Above (0.05) (0.03)
-------------------------------------------------------------------------
Non-GAAP based "Adjusted Net Income" $0.73 $0.63
-------------------------------------------------------------------------
Reconciliation (unaudited) of US GAAP based Net Income to Adjusted
Net
----------------------------------------------------------------------
Income (in millions of US dollars) for the fiscal years ended June
30,
----------------------------------------------------------------------
2009 and 2008: -------------- Twelve months ended Twelve months
ended June 30, 2009 June 30, 2008 GAAP based "Net Income" $ 56.9
$53.0 Special Charges/(recovery) 14.4 (0.4) Amortization of
intangibles 81.0 72.3 Other (Income)/Expense 3.2 1.0 Share-based
compensation 5.0 3.8 Tax Impact on Above (27.7) (22.7)
-------------------------------------------------------------------------
Non-GAAP based "Adjusted Net Income" $132.8 $107.0
-------------------------------------------------------------------------
Reconciliation (unaudited) of US GAAP based EPS to non-US GAAP
based EPS
------------------------------------------------------------------------
(calculated on a diluted basis) for the fiscal years ended June 30,
2009
------------------------------------------------------------------------
and 2008: --------- Twelve months ended Twelve months ended June
30, 2009 June 30, 2008 GAAP based "Net Income" $1.07 $1.01 Special
Charges/(recovery) 0.27 (0.01) Amortization of intangibles 1.52
1.37 Other (Income)/Expense 0.06 0.02 Share-based compensation 0.09
0.07 Tax Impact on Above (0.52) (0.43)
-------------------------------------------------------------------------
Non-GAAP based "Adjusted Net Income" $2.49 $2.03
-------------------------------------------------------------------------
(4) The following table provides a composition of our major
currencies for revenue and expenses, expressed as a percentage, for
the fourth quarter of Fiscal 2009: Currencies % of Revenue % of
Expenses* ---------------------------------------- ---------------
---------------- EURO ................................... 25% 27%
GBP .................................... 9% 8% CHF
.................................... 7% 4% CAD
.................................... 7% 24% USD
.................................... 45% 33% Others
................................. 7% 4% ---------------
---------------- Total .................................. 100% 100%
--------------------------------- ---------------------------------
* Expenses include all cost of revenues and operating expenses
included within the Consolidated Statements of Income, except for
amortization of intangible assets, share-based compensation and
special charges. (5) Reconciliation of tax rate reduction on
(unaudited) US GAAP based EPS
---------------------------------------------------------------------
to non-US GAAP based EPS (calculated on a diluted basis) for
quarters
---------------------------------------------------------------------
ended September 30, 2008, December 31, 2008, March 31, 2009, June
30,
---------------------------------------------------------------------
2009 and year-to-date June 30, 2009.
------------------------------------ Three Three Three Three Year
to months months months months date ended ended ended ended Fiscal
9-30-2008 12-31-2008 3-31-2009 6-30-2009 2009 GAAP based "Net
Income" $0.28 $0.01 $0.41 $0.37* $1.07 Reported Non-GAAP based
"Adjusted Net Income" $0.53 $0.64 $0.59 $0.73 $2.49 Quarterly
impact of reduction in year to date tax rate adjustment reflected
in Q4 0.01 0.02 0.01 (0.04) Comparable Non-GAAP based "Tax Rate
Effected Adjusted Net Income" $0.54 $0.66 $0.60 $0.69 $2.49 * - The
Q4 amount is different from the number presented on the
consolidated statements of income due to the rounding effect of the
deferring amounts of weighted average number of common shares
outstanding on a year-to-date basis compared to a quarter-to-date
basis. OPEN TEXT CORPORATION CONSOLIDATED BALANCE SHEETS (In
thousands of U.S. dollars, except per share data) June 30 2009 2008
------------ ------------ ASSETS Unaudited Audited Current assets:
Cash and cash equivalents $ 275,819 $ 254,916 Accounts receivable
trade, net of allowance for doubtful accounts of $4,208 as of June
30, 2009 and $3,974 as of June 30, 2008 115,802 134,396 Inventory
1,568 - Income taxes recoverable 4,496 16,763 Prepaid expenses and
other current assets 16,604 10,544 Deferred tax assets 20,621
13,455 ------------ ------------ Total current assets 434,910
430,074 Investments in marketable securities 13,103 - Capital
assets 45,165 43,582 Goodwill 576,111 564,648 Acquired intangible
assets 315,048 281,824 Deferred tax assets 69,877 59,881 Other
assets 13,064 10,491 Long-term Income taxes recoverable 39,958
44,176 ------------ ------------ Total assets $ 1,507,236 $
1,434,676 ------------ ------------ ------------ ------------
LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts
payable and accrued liabilities $ 115,018 $ 99,035 Current portion
of long-term debt 3,449 3,486 Deferred revenues 189,397 176,967
Income taxes payable 10,356 13,499 Deferred tax liabilities 508
4,876 ------------ ------------ Total current liabilities 318,728
297,863 Long-term liabilities: Accrued liabilities 23,073 20,513
Pension obligation 15,803 - Long-term debt 299,234 304,301 Deferred
revenues 7,914 2,573 Long-term income tax payable 47,131 54,681
Deferred tax liabilities 108,889 109,912 ------------ ------------
Total long-term liabilities 502,044 491,980 Minority interest -
8,672 Shareholders' equity: Share capital: 52,716,751 and
51,151,666 Common Shares issued and outstanding at June 30, 2009
and June 30, 2008, respectively; Authorized Common Shares:
unlimited 457,982 438,471 Additional paid in capital 52,152 39,330
Accumulated other comprehensive income: 71,851 110,819 Retained
earnings 104,479 47,541 ------------ ------------ Total
shareholders' equity 686,464 636,161 ------------ ------------
Total liabilities and shareholders' equity $ 1,507,236 $ 1,434,676
------------ ------------ ------------ ------------ OPEN TEXT
CORPORATION CONSOLIDATED STATEMENTS OF INCOME (In thousands of U.S.
dollars, except per share data) (Unaudited) Year ended June 30,
-------------------------------------- 2009 2008 2007
-------------------------------------- Revenues: License $ 229,818
$ 219,103 $ 182,507 Customer support 405,310 363,580 287,570
Service and other 150,537 142,849 125,587
-------------------------------------- Total revenues 785,665
725,532 595,664 -------------------------------------- Cost of
revenues: License 16,204 15,415 13,652 Customer support 68,902
58,764 46,433 Service and other 118,998 117,037 105,955
Amortization of acquired technology-based intangible assets 47,733
41,515 36,206 -------------------------------------- Total cost of
revenues 251,837 232,731 202,246
-------------------------------------- Gross profit 533,828 492,801
393,418 -------------------------------------- Operating expenses:
Research and development 116,164 107,206 79,102 Sales and marketing
186,533 172,873 150,958 General and administrative 73,842 69,985
61,092 Depreciation 12,012 12,017 13,846 Amortization of acquired
customer-based intangible assets 33,259 30,759 24,586 Special
charges (recoveries) 14,434 (418) 12,908
-------------------------------------- Total operating expenses
436,244 392,422 342,492 --------------------------------------
Income from operations 97,584 100,379 50,926
-------------------------------------- Other income (expense)
(3,187) (1,023) 1,742 Interest expense (13,620) (22,859) (20,282)
-------------------------------------- Income before income taxes
80,777 76,497 32,386 Provision for income taxes 23,788 22,993
10,334 -------------------------------------- Net income before
minority interest 56,989 53,504 22,052 Minority interest 51 498 392
-------------------------------------- Net income for the period $
56,938 $ 53,006 $ 21,660 --------------------------------------
-------------------------------------- Net income per share - basic
$ 1.09 $ 1.04 $ 0.44 --------------------------------------
-------------------------------------- Net income per share -
diluted $ 1.07 $ 1.01 $ 0.43 --------------------------------------
-------------------------------------- Weighted average number of
Common Shares outstanding - basic 52,030 50,780 49,393
--------------------------------------
-------------------------------------- Weighted average number of
Common Shares outstanding - diluted 53,271 52,604 50,908
--------------------------------------
-------------------------------------- OPEN TEXT CORPORATION
CONSOLIDATED STATEMENTS OF INCOME (In thousands of U.S. dollars,
except per share data) (Unaudited) Three months ended June 30,
------------------------- 2009 2008 -------------------------
Revenues: License $ 62,973 $ 68,151 Customer support 104,494 95,056
Service and other 35,889 37,062 ------------------------- Total
revenues 203,356 200,269 ------------------------- Cost of
revenues: License 3,534 4,119 Customer support 18,675 17,683
Service and other 29,100 30,485 Amortization of acquired
technology-based intangible assets 13,562 10,615
------------------------- Total cost of revenues 64,871 62,902
------------------------- Gross profit 138,485 137,367
------------------------- Operating expenses: Research and
development 28,829 29,086 Sales and marketing 47,928 51,407 General
and administrative 19,238 17,752 Depreciation 3,165 2,372
Amortization of acquired customer-based intangible assets 3,730
7,753 Special charges (recoveries) 1,200 (296)
------------------------- Total operating expenses 104,090 108,074
------------------------- Income from operations 34,395 29,293
------------------------- Other income (expense) (3,039) 11,318
Interest expense (2,848) (736) ------------------------- Income
before income taxes 28,508 39,875 Provision for income taxes 9,027
12,545 ------------------------- Net income before minority
interest 19,481 27,330 Minority interest - 76
------------------------- Net income for the period $ 19,481 $
27,254 ------------------------- ------------------------- Net
income per share - basic $ 0.37 $ 0.53 -------------------------
------------------------- Net income per share - diluted $ 0.36 $
0.51 ------------------------- ------------------------- Weighted
average number of Common Shares outstanding - basic 52,648 51,124
------------------------- ------------------------- Weighted
average number of Common Shares outstanding - diluted 53,670 53,068
------------------------- ------------------------- OPEN TEXT
CORPORATION CONSOLIDATED STATEMENTS OF CASHFLOWS (In thousands of
U.S. Dollars) Year ended June 30,
-------------------------------------- 2009 2008 2007
-------------------------------------- Cash Flows from operating
activities: Net income for the period $56,938 $53,006 $21,660
Adjustments to reconcile net income to net cash provided by
operating activities: Depreciation and amortization 93,004 84,291
74,638 In-Process Research and Development 121 500 - Share-based
compensation expense 5,032 3,789 5,376 Employee long-term incentive
plan 3,880 2,154 - Excess tax benefits on share-based compensation
expense (8,631) (1,079) (1,285) Undistributed earnings related to
minority interest 51 498 392 Pension accruals 1,377 - -
Amortization of debt issuance costs 1,099 1,220 805 Unrealized
loss(gain) on financial instruments (1,682) 3,178 (380) Loss on
sale or write down of capital assets 353 - - Deferred taxes (9,914)
(24,326) (19,097) Impairment of intangible assets - - 697 Changes
in operating assets and liabilities: Accounts receivable 43,761
(5,626) 11,089 Inventory 50 - - Prepaid expenses and other current
assets (3,130) (168) 1,425 Income taxes 23,274 12,600 (8,313)
Accounts payable and accrued liabilities (19,930) 914 6,195
Deferred revenue (6,861) 33,751 13,746 Other assets (2,622) 1,274
3,916 -------------------------------------- Net cash provided by
operating activities 176,170 165,976 110,864 Cash Flows from
investing activities: Acquisition of Capital Assets (12,150)
(6,895) (5,260) Purchase of Vizible (850) - - Purchase of Captaris
- net of cash acquired (101,033) - - Purchase of eMotion LLC - net
of cash acquired (3,635) - - Purchase of a division of Spicer
Corporation (11,437) - - Purchase of Hummingbird - - (384,761)
Purchase of Momentum - - (4,076) Additional purchase consideration
for prior period acquisitions (4,612) (1,065) (2,283) Purchase of
an asset group constituting a business - (2,209) - Investments in
Marketable securities (8,930) - (829) Acquisition related costs
(18,182) (18,248) (39,061) --------------------------------------
Net cash used in investing activities (160,829) (28,417) (436,270)
Cash flows from financing activities: Excess tax benefits on
share-based compensation expense 8,631 1,079 1,285 Proceeds from
issuance of Common shares 19,593 12,272 11,734 Proceeds from
long-term debt - - 390,000 Repayment of long-term debt (3,426)
(63,616) (33,247) Debt Issuance Costs - (349) (7,433)
-------------------------------------- Net cash provided by (used
in) financing activities 24,798 (50,614) 362,339 Foreign Exchange
gain (loss) on cash and cash equivalents (19,236) 17,992 5,692
Increase in cash and cash equivalents during the period 20,903
104,937 42,625 Cash and cash equivalents at the beginning of the
period 254,916 149,979 107,354
-------------------------------------- Cash and cash equivalents at
the end of the period $275,819 $254,916 $149,979
--------------------------------------
-------------------------------------- OPEN TEXT CORPORATION
CONSOLIDATED STATEMENTS OF CASHFLOWS (In thousands of U.S. Dollars)
Unaudited ------------------------- Three months ended June 30
------------------------- 2009 2008 ------------------------- Cash
Flows from operating activities: Net income for the period $19,481
$27,254 Adjustments to reconcile net income to net cash provided by
operating activities: Depreciation and amortization 20,457 20,740
In-Process Research and Development - - Share-based compensation
expense 1,075 994 Employee long-term incentive plan 1,484 664
Excess tax benefits on share-based compensation expense (249) (212)
Undistributed earnings related to minority interest - 76 Pension
accruals 253 - Amortization of debt issuance costs 268 216
Unrealized loss (gain) on financial instruments (1,548) (2,401)
Loss on sale or write down of capital assets - - Deferred taxes
(6,337) (19,707) Changes in operating assets and liabilities:
Accounts receivable (4,136) 1,392 Inventory 370 - Prepaid expenses
and other current assets 295 1,840 Income taxes 13,618 6,708
Accounts payable and accrued liabilities 1,247 8,763 Deferred
revenue (5,557) (2,304) Other assets (2,094) 588
------------------------- Net cash provided by operating activities
38,627 44,611 Cash Flows from investing activities: Acquisition of
Capital Assets (5,842) (1,481) Purchase of Vizible (850) -
Additional purchase consideration for prior period acquisitions -
(614) Acquisition related costs (5,604) (3,341)
------------------------- Net cash used in investing activities
(12,296) (5,436) Cash flows from financing activities: Excess tax
benefits on share-based compensation expense 249 212 Proceeds from
issuance of Common shares 1,919 857 Repayment of long-term debt
(856) (870) ------------------------- Net cash provided by (used
in) financing activities 1,312 199 Foreign Exchange gain (loss) on
cash and cash equivalents 11,128 (220) Increase in cash and cash
equivalents during the period 38,771 39,154 Cash and cash
equivalents at the beginning of the period 237,048 215,762
------------------------- Cash and cash equivalents at the end of
the period $275,819 $254,916 -------------------------
------------------------- DATASOURCE: Open Text Corporation
CONTACT: Paul McFeeters, Chief Financial Officer, Open Text
Corporation, (905) 762-6121, ; Greg Secord, Vice President,
Investor Relations, Open Text Corporation, (519) 888-7111 ext.2408,
Copyright
