Total Growth Model: Cloud and ARR Growth slide image

Total Growth Model: Cloud and ARR Growth

F'24 Target Model (1) Updated F'23 Reported F'24E in CC(2) F'23 Reported USD$M unless stated otherwise F'24E in CC(2) $528 1.2% Ent. Cloud Bookings (3) and Growth Y/Y% Organic CC Growth (4) Y/Y% 25% to 30% $4,485 32.8% $655 ($132) Total Revenues A-EBITDA Margin (5) Free Cash Flows (5)(6) FX Revenues (headwind)/tailwind* *1H F'24 FX tailwind of $42M, 2H F'24 neutral to slight headwind 1% to 2% $5,850 to $5,950 36% to 37% $825 to $900 USD$M $1,700 37.9% $1,915 42.7% $3,615 80.6% $539 12.0% $331 7.4% % of Rev % of Revenues Y/Y Growth Cloud Services and Subscriptions 30% to 32% Customer Support 45% to 47% 6% to 8% 43% to 45% (8) ARR 76% to 78% 25% to 27% $20 to $40 $4,485 License Revenues Professional Services Total Revenues 15% to 17% 68% to 70% 6% to 8% $5,850 to $5,950 26% to 28% 76.1% Non-GAAP Gross Margin (5) 77% to 79% F'23 F'24E 14.3% Research & Development(5) 14% to 16% 14% Adj Tax Rate(7) 14% 20.2% Sales & Marketing(5) 18% to 20% $329 Net Interest Expense and Other $550 to $570 8.7% General & Admin(5) 7% to 9% $124 Capital Expenditures $140 to $160 2.4% Depreciation (5) 1% to 3% Expect Micro Focus to return to organic growth in F'24 45.6% Total Operating Expenses (5) 42% to 44% opentext™ (1), (2), (3), (4), (5), (6), (7), (8) See Slide Notes © 2024 Open Text 333
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