Open Text Corporation (OTEX) Earnings Call Transcript & Summary

[Presentation] Hello, and welcome to OpenText's 2021 Investor Day. I'm Harry Blount, the Senior Vice President of Investor Relations here at OpenText. We're very excited to be hosting our first ever virtual investor day, and we have a great lineup for you today. You will hear our presentations from Mark J. Barrenechea, OpenText's Chief Executive Officer and its Chief Technology Officer as well as other members of the OpenText executive team. Shortly after conclusion of today's event, a replay will be available on our Investor Relations website, investors.opentext.com. Today's event will last approximately 3 hours with a 5-minute break at around 10:40 Pacific time. At the end of our presentations, we will have a dedicated Q&A session. To submit a question at any point during our program, please enter it in the Q&A box located on the right side of your screen. We will do our best to get through as many questions as possible within the allotted time. If we're unable to get to your question, please feel free to e-mail us at [email protected] after the conclusion of today's program. And now I will proceed with the reading of our safe harbor statement. Please note, during the course of today's presentation, we may make statements relating to the future performance of OpenText that contain forward-looking information. While these forward-looking statements represent our current judgment, actual results could differ materially from a conclusion, forecast or projection in the forward-looking statements today. Certain material factors and assumptions were applied in drawing any such statement. Additional information about the material factors that could cause actual results to differ materially from a conclusion, forecast or projection in the forward-looking information as well as risk factors, including in relation to current global pandemic that may project future performance results of OpenText are contained in OpenText's recent forms 10-K and 10-Q as well as in our press release and on our website. We undertake no obligation to update these forward-looking statements unless required to do so by law. In addition, our conference call may include discussions of certain non-GAAP financial measures. Reconciliations of any non-GAAP financial measures to their most directly comparable GAAP measures may be found within our public filings and other materials, which are also available on our website. And with that, it is my privilege to hand it over to Mark Barrenechea, OpenText's CEO.

Harry, thank you very much. And all blessings to you, your families and your colleagues for health, well-being and happiness, OpenText as well. And our confidence is growing here in calendar '21 and that '21 is going to be a strong year. We have vaccinations on the rise. U.S. Stimulus Bill is about to pass. And many of our locations are beginning to open up to Tier 1: San Mateo, California, Waterloo, Richmond Hill, Bangalore and Hyderabad. So there's a lot of optimism. We also hope that we'll physically be together soon. We thank you for gathering digitally and virtually. And I and the team are very excited to present today, to present OpenText and our growth agenda. So thank you for taking the time today. We really appreciate it. So let me jump right in and walk a bit through our speakers and key messages for the day. I'm going to talk to our corporate growth strategy. Muhi will present our product strategy and our increased R&D investment and how we're going to apply over $400 million of R&D over the next year. Ted Harrison, will -- our Executive Vice President for Enterprise sales, will speak to enterprise growth, getting to full coverage of the Global 10,000 and our partner expansion. James McGourlay, who leads up our Customer Operations, will speak to renewals, growth and expansion opportunities. Prentiss Donohue, who leads our SMB and direct-to-consumer group, will speak to SMB growth and RMM and MSP expansion. Gordon Davies, our Chief Legal Officer and Head of Corporate Development, will speak to our M&A strategy in corporate systemship. And Madu Ranganathan, our Chief Financial Officer, will bring it all together and speak to profitability, returns and operating excellence. So let me speak a bit to our history and the foundation from which we're building on. And we're 30 years in the making, if you will. We're actually 29. We turn 30 later this year. And you can see the moments that matter through time, where we established the content services market. We brought Release 16 to market. We entered the business network marketplace with GXS. We helped consolidate our leadership with Documentum. We entered both the SMB go-to-market as well as security and data protection with Carbonite. Last year, we brought to market our Cloud Editions and our new cloud platforms, which we're going to spend a lot of time today on. And today, we're going to talk about a new program we're launching called Grow with OpenText and our Cloud Editions, and we've labeled it the Ultimate Cloud with a trademark at the end of it. And we're going to speak about our 2024 aspirations. So from this foundation getting to our 2024, fiscal 2024 aspirations, which is total revenue organic growth between 2% and 4%, and achieving annual recurring revenues of approximately 85% of our business. So through the course of the day, you'll hear our programs, our execution, our aspirations to deliver 2% to 4% total revenue organic growth by fiscal '24 and to have those revenues be highly predictable with an ARR of 85%. Our beliefs that information and knowledge makes business better and people better, we have the aspiration to be the leading cloud information management company, enabling intelligent, secure and connected businesses. And you'll find a very deeply passionate company for our customers, delivering compelling innovations that provide customers competitive advantage. You'll find our employees in inclusive environment where passionate, skilled and diverse employees thrive. And for shareholders, we deliver shareholder value through growth, profits and capital efficiency, which will be part of what we speak to today. I'd like to take a snapshot of OpenText and just maybe start the day, ensure we're all in kind of the same surface area of the business. If we -- from fiscal '20, our footprint in the Americas was $1.9 billion with close to 6,600 employees. Near $1 billion business in EMEA with 2,700 employees. And Asia Pacific and Japan, $250 million business with over 5,000 employees. You can see the recurring and predictable nature of our business. As of end of Q2, 80% of the business recurring, annual recurring revenue. Over the period of fiscal '14 through the last trailing 12 months, cloud growth of 265%. And we have a fantastic baseline. A marquee installed base of 75,000 enterprise customers. You have -- trying to speak to 470,000 small and medium-sized businesses. We're operating combined across the entire OpenText portfolio of 287 million endpoints. And in the enterprise business, 89 out of the top 100 businesses are standardized on OpenText. This is a fantastic foundation for us to strive towards our fiscal '24 aspirations. The last 12 months or calendar '20 has been most remarkable for all businesses, including OpenText. If we look at our trailing 12-month results from Q2 backwards, cloud revenues of $1.36 billion, up 41%. Our annual recurring revenues of $2.6 billion, up 21%. Total revenue of $3.3 billion, up 12%. Our adjusted EBITDA dollars of $1.28 billion, up 15%. Our adjusted EPS, up 14%. And cash flows of $1.06 billion, up 35%. And I'll note that free cash flows over revenue, you divide free cash flows by revenue, and I call that a free cash flow yield, is 33%. We're highly efficient. And for every dollar of revenue, over the trailing last 12 months, we converted every dollar of revenue, we converted $0.33 of every dollar of revenue into free cash flows. That is a very efficient business and a fantastic baseline for us to operate on. We have a deeply talented and experienced leadership team. And you're going to -- we have Madhu, Muhi, Gordon, Ted, James, and Prentiss with us today. I'm very proud of our team. Again, it is an honor to be a member of the leadership team and its deeply talented and experienced. Let me shout out a few members who are not presenting today, and I look forward to introducing to you over the course of time, Kristina Lengyel, who just joined us. She's leading our new customer success -- Customer Solutions organization. This is our professional services, learning services, our cloud onboarding, cloud transformation team, 3,000 employees strong, and we welcome Kristina. Paul leaves -- leads all our revenue operations. It's been with us for 4 years going on five. Brian Sweeney, a great business partner and Chief Human Resource Officer, 3 years going on 4 years. Doug Parker has spent 12 years with our business leading our M&A teams, Dave Jamieson, 7 years experience, our CIO. And Lou Blatt going on his second year and our new Chief Marketing Officer. It's a deeply talented and experienced leadership team. I also want to recognize our Board of Directors. We have a highly skilled Board of Directors with a diverse skill set. Tom Jenkins, our Chair; Kate Stevenson, CIBC chair; Steve Sadler, Chair of Enghouse Systems; Randy Fowlie, on the Board of Dye & Durham; Debbie Weinstein from the LaBarge and Weinstein law firm; Gail Hamilton, the Arrow Board of Directors; Harmit Singh, CFO, Levi Strauss; Robert Hau, who recently joined our Board as CFO of Fiserv; Michael Slaunwhite, former CEO of Halogen Software; and Major General David Fraser of the Canadian Forces. We just have a fantastic and highly skilled board of Directors. They bring a diverse skill set and a great partnership with the leadership of OpenText. So I'd like to go into our competitive advantage, and I will start with kind of the people and leadership and expertise. We're near 15,000 employees strong, focused singularly on information management and helping customers gain the advantage of information management. We're the largest information management cloud company and well positioned to grow and extend our lead. You're going to hear today that we are a modern cloud company, and I'm going to bring this to life in a moment, and so will Muhi and so will the rest of the executive team. We have a proven ability to deliver high-impact innovations that make the difference from building the content services market to having content be available across the business network, to content, to the experiences that matter, to secure and protect that information and to have it well-governed from everything from PCI to GDPR. We have a robust financial performance and profile to build from, a marquee customer installed base partners and predictable revenues. And from our business model, values and our purpose, we'll drive stakeholder and shareholder value. I believe these to be are sustainable and long-term competitive advantages. Let me speak about information management as a strategic platform. We all know ERP and ERP or e-business suites on the left-hand side of traditional process-based applications. And companies have gained process advantages over the years. Financials, HR, order management, supply chain, sales, support and service, resource planning and more. This market was created by Oracle and SAP. Others, JD Edwards and Abon and others, PeopleSoft that were around in the earlier days. But it's taken SAP 50 years to build out that market. It's taken Oracle 45 to 50 years to build out that marketplace. It's our position at information management, content management capture, collaboration, archive, records, business process, experienced platform, security and data, contract case management, all the applications on top of modern information applications that information management is as strategic and as large as ERP, though it's still slightly earlier days. We're only 29 years old. And if you look at our performance, and our position at 29 versus an SAP at 50 or an Oracle at 46 or 47, we have more recurring revenue than those large SaaS software companies. Our adjusted EBITDA is ahead of them where they were when they were 29 years old as well as our free cash flow yield. So we're in a great position as a 29-year old to be the leader in information management. The market is as large and as strategic as ERP. And let me walk through that market. We wanted to kind of provide a summary today of the size and growth rate of information management. It's large and growing. If we look at the total addressable market, we believe content management -- total addressable market for OpenText, that content is $24 billion. And over the last few years, it had a CAGR of 11%. Business network, $20 billion on a growth CAGR of 7%. Digital experience, $21 billion and a CAGR of 7%. Security and protection, market size of $19 billion and a CAGR growth rate of 6%. All in, $84 billion total addressable market at an 8% growth rate. This isn't weighted average, if you will, towards OpenText, it's just a view of the marketplace. That 8% growth rate is sort of an all-in growth rate. You've got to throw professional services, all sized companies, small, medium and large. And you also have to throw on their unprofitable dollars. So when we look at this $84 billion market growing at 8% CAGR, our fiscal '24 aspirations are to grow up to 4% organically. And to make a very fine point on it, is to capture the profitable dollars, to capture the high profit dollars in that 8% growth. They're not all profitable dollars. So again, our fiscal '24 aspirations when matched to the total adjustable market, is we're seeking a total organic growth rate up to 4% and annual recurring revenues of 85%. And you can see our history from fiscal '13 to fiscal '20, we've more than doubled the company over that period of time with a near 13% CAGR rate over that same period. We are well positioned to grow and strive towards those aspirations. At a high level, we think that the market needs, the market demands are really in this 9 buy, if you will. Modern work is top of everybody's mind. And I'm going to double-click on this in a minute, but let me just stay at the high level for a moment. Modern work, modern experiences, global and sustainable supply chains, security and data protection, cloud migration, new workloads via API services, leveraging our marquee installed base, attracting new customer and partners and gaining scale in industries. At a high level, we believe that these are the market demands and market trends that are important to OpenText and where we're going to double down on. So let me double-click on those market needs and highlight our top focus areas. In modern work, it's digitalization, collaboration, project management, e-signature, other things. In modern experiences, it's social commerce, direct-to-consumer, it's omnichannel. In supply chains, as we get through the pandemic, it's sustainability, it's circular economies, it's connectivity, and we can bring software to this fight through our business network. In security and data protection, it's cyber threats and shift to behaviors. For cloud migration, it's bringing not just new customers, of course, new customers to our private cloud, new customers to our public cloud, but also the opportunity to migrate Release 16 customers to Cloud Editions. Not only our Release 16 customers want to migrate. Many, many of them. I think the majority of them, greater than 50% and are going to live out their investment on Release 16 and then be adding workloads on top of that in the private cloud and public cloud. But that cloud migration from Release 16 to private cloud Release 16 to public cloud absolutely represents an opportunity for us. You're going to hear more from us in a very focused way on e-signature, collaboration, and the API economy. We are introducing today at scale new API services, and Muhi will speak to those. Marquee installed base, which I've touched base on, Ted and Prentiss is going to go through new partners, and we're looking to scale in a variety of industries, financial services, health care, CPG, retail, government, auto, transportation, pharmaceuticals and more as we grow. We are a modern cloud company. We are a modern cloud company. We have simplified our go-to-market with 5 clouds. We have rapid innovation cycles. Every 90 days, we are uplifting, upscaling our platform. If you saw this morning, we had a press release announcing Cloud Editions 21.1 full availability from off-cloud, private cloud, public cloud and our API services. We're designing our platform to be easier to consume. We're refining customer choice. It's a recurring revenue expansion, new routes to market through API services. And this is about removing friction, designing into our product and platform to remove friction for selling, support, service and be data-driven in our decisions. The graph on the right, I'm not going to talk to right now. Muhi is going to walk through all the layers of our information management platform. Let me talk a bit about accelerating growth before I introduce our GROW with OpenText program. We're a modern cloud company, and that means accelerating organic growth, with scalable, high velocity, low friction business model. We are designing into our products, actually designing in how you do self-service, how you turn on new modules for upsell and cross-sell, and we're delivering incredible automation for self-service entitlements and renewals. That's going directly into the product design. You're also going to hear us talk today about our expanded Digital Zone, the OpenText Digital Zone. This is a new engagement model, right? It's one of the big innovations for us that have come out of the last year and the pandemic, where our presales, we operate today as a company, 98% virtual. And over the last year, we've innovated using our own tools. To deliver a platform called the OpenText Digital Zone, where we do all our presales there, all our demos, all our whiteboarding, all our architecture, all our prework, all our points -- proofs of concepts. This all happens in the Digital Zone, automated, scalable, self-service. And the Digital Zone is not just for demand, presales, sales, it's through support and through renewals. This is a business that we're going to be able to scale the revenues, and the costs are going to scale dislinear to the linearness of revenue. And you're going to hear Medhu speak to our next generation platforms, which we call DNA 2.0, digitalization and automation, to continue to remove all friction from all company processes, right? Over those last 6, 7 years, we've doubled the company. And as we strive, right, to achieve that again, we're going to do this through high automation, through product design, through the Digital Zone and through DNA 2.0. Let me introduce now GROW with OpenText. Grow with OpenText is a program, which you're about to hear about. And our enterprise world -- excuse me, our OpenText World launches in April. We'll start in Europe. We'll then have OpenText World in Asia Pacific. We'll then have our sales kick off, and then we'll have our global event. But we introduced Grow with OpenText in April. So I'm giving you -- next month. So I'm giving you a preview of it. It's our Cloud Editions, and we think it's the Ultimate Cloud, and you're going to hear us speak to that today. And it's about taking customers from all points of departure, whether they're a new customer or an existing customer, whether they're off-cloud, whether they're off-cloud plus private cloud, off-cloud plus public cloud, and taking them through modern work through the business network, through modern experience or digital experience, ensuring the environment is protected and secure, leveraging our advanced technology of AI and IoT with experts through the cloud addition to this destination of the intelligent, secure and connected business. Every company's journey is going to be unique. But we'll be able to gather, and we have been obviously gathering over our 29 years, incredible best practices or practices that -- and techniques that are known to work and accelerate time to value. So a little bit about the Grow with OpenText program, and I wanted to provide some detail today behind what GROW with OpenText is. It's our Cloud Editions, of course, which is one technology platform and 4 deployment choices. Grow with OpenText is a set of programs that brings together everything a customer needs to transform their business, accelerate growth, engage with communities and to compete. The first is our off-cloud business, and customers are willing to continue to invest to give customers full value for that investment. You can consume this via a license or a subscription, and I want to emphasize that our support business is much bigger than a support business. And I want to -- I just want to -- I really want to hit this today. That it's not just all future product updates, but it's also our knowledge center, it's our expertise, and we've added security alerts and updates, and we'll add security training over time to our maintenance business. We're going to be scaling up 3 programs in fiscal '22, Grow with OpenText. One is OpenText Optimized. We will bring our managed services off-cloud. So we're going to be like we do with the ECB, T-Mobile and other companies, we'll bring all our private cloud and managed service expertise off-cloud to run and manage our platform. We believe we can continue to scale this up and have customers get full value for their off-cloud investment. We'll be introducing dual usage rights for customers who are migrating to Cloud Editions. And Release 16 goes out of support, and we're extending support and program fees, and we will raise program fees for Release 16 and introduce migration programs. So customers can stay off-cloud. They can migrate with dual rights. They get optimized programs for our managed services, and that will come at a charge. Second is our private cloud, where there's process and information value. It's all subscription-based. We have over 3,000 customers who run their business in the OpenText private cloud. This is a business that we established when we acquired GXS, and it has become a real strategic platform for us. Many customers have unique processes, unique platforms, lots of integrations, and that's their process and information value. We love this business. We support this business. This business is going to grow and scale. And this is a destination. It's not a halfway point to something else. This is actually a full value destination. All our Cloud Editions are supported in the private cloud. You can bring your own license and maintenance, and you can now run anywhere with Grow at OpenText or our private cloud. You can run it at OpenText. You can run it at your place, my place or a third-party place, GCP, AWS, Azure. And that's a big new value-add with GROW with OpenText. Bring your own license and run anywhere. The third, as part of our Ultimate Cloud with Cloud Editions is the public cloud. This is where I think you get value, where customers get value through standardization, and this is subscription-based. Our business network cloud, our security data protection cloud, e-signature core, they're all public cloud today. They all run in the public cloud, and this is where we're expanding scope and customer choice. With Cloud Editions 21.4, Contact Cloud will operate fully as a public cloud. With Cloud Editions 22.2, Experience Cloud will operate fully as a public cloud. And not only will everything be available in private cloud, it will all be available in public cloud. And our fourth deployment choice is we believe in API services. This market is really maturing. It's the API economy, and we believe that we can provide embedded value to companies who are writing their own applications, industry leaders and the next generation of cloud companies who want information management simply as a service. So I promised I'll provide a little more detail behind our cloud, and this is what we want to introduce today is a new program, GROW with OpenText. We'll launch it in April, we're beginning to talk about it now and it's our programs of off-cloud, private cloud, public cloud and cloud API services. Let me move on to the next slide, if I can. We have a comprehensive go to market. And Ted and Prentiss is going to talk about this. We're going to have a complete and direct coverage of the G10K by the end of calendar '23. Complete and direct coverage by the end of calendar '23 of the G10K. We're now building ecosystems from SAP, Salesforce and AT&T. Ted is going to talk about the top 25 supply chains and how we're building ecosystems around that. We have a unique and scaled reach with MSPs and RMMs. We have 3,000 dedicated success professionals. In Kristina's organization, we have our demand zone -- our Digital Zone for demand sales and support. And this is all on a platform using Magellan, where we are making decisions that are data-driven for renewals and support. Let me speak a bit about capital allocation -- excuse me, our track record of financial performance. If we look at our total revenues from fiscal '14 through the trailing 12 months, we've scaled our revenues 103% from 1.6 to 3.3, near doubled the business. Annual recurring revenues, up 148% from $1 billion to $2.6 billion. Cloud, up 265% from $0.37 billion to $1.3 billion. Adjusted EBITDA, we've made this transformation while growing our EBITDA dollars from $538 million to $1.28 billion. And again, our free cash flow and becoming a more efficient business. So we strive for our fiscal '24 aspirations from an incredible, incredible foundation. Now let me get to our capital allocation and strong liquidity. If we look back over that same period from fiscal '14 through fiscal '20, we've deployed $5.8 billion of capital. We've gone -- we've introduced a dividend program that has just -- we measure our dividend program by looking at a trailing 12 months -- used to be operating cash flow, but now it's free cash flows. And we look to allocate 20% of our trailing 12-month free cash flows to our dividend. And in that method, as the company has grown, as we become more efficient, we've been able to increase our dividend year-over-year. And I'm very proud of how we conceptualized the program, put the program in place. And it's just had a track record over the last 6 years, going into our seventh year. We've delivered over $1 billion paid in dividends while increasing our quantum and staying to our growth rate over time. We're a low capital intensity business. Over the same period from fiscal '14 through fiscal '20, we've deployed near $500 million in CapEx. That's both to our cloud infrastructure and also into our operations. We have pretty good insight, right, into our business. So we don't need to go out and continue to spend way ahead of demand. We're able to keep up with it given our modern infrastructure. So we invest as we go. We're at a 1.6x net leverage ratio. We operate with a very efficient tax rate, 14% adjusted rate. And we've also resolved our long-standing tax matter, as you know, including -- we've written the check. So this matter is now fully behind us, and I'm glad to see it completely resolved. How we create value. I just have 2 or 3 more points, and then we'll get to our next speaker. How we create value is a balance. It's a balance of 3 things. It's a balance of growth, it's a balance of profitability and it's a balance of capital efficiency. And at certain times in the market, you will emphasize one part of this value formula over another. But it is a balance of growth, capital efficiency and profitability, where we deliver value to you, and this is how we think about it. So we think of growth, 12.5% total CAGR from '14 to '20. Our business is highly predictable, and it will grow in predictability to our fiscal '24 aspirations. Our outlook, I'll get to in a moment. For fiscal '22, we have a strong M&A pipeline and expect to deploy capital this calendar year to deliver acquisitions, and Gordon will speak to that. Profitability, we're in a great position with 30% plus free cash flow yield. And capital efficiency, a strategic acquirer, net leverage ratio of 1.6. And we continue to target high teens ROIC. Let me get to our financial outlook. We are reaffirming today our fiscal '21 outlook for total growth, where total revenue growth in the mid-single-digit; and cloud revenue growth, high teens. We're introducing today fiscal '22 outlook. We got visibility over the next 18 months, so we want to use today to introduce our fiscal '22 outlook or first take of fiscal '22 outlook. So total revenue, organic growth of 1% to 2%. Total revenue organic growth, 1% to 2%. And cloud revenue organic growth, 3% to 4%. We also want to introduce our fiscal '24 long-term aspirations, which is total revenue organic growth between 2% and 4%; ARR as a total percent of revenue, 85%; adjusted EBITDA margin, 38% to 40%; and free cash flows of $1.1 billion to $1.2 billion. M&A is additive to these outlooks and our aspirations. And again, we don't believe we need to operate the business above 40% adjusted EBITDA. As we get more efficient, we're simply going to put any dollars over 40% adjusted EBITDA margin reinvested into organic growth. So this is a big part of today, where we wanted to provide you an outlet view of our outlook as well as our aspirations. Two more things I'd like to talk about. The next is we strive to do the right thing, and this is very important. It's both what you do and how you do it. Last year, we were deeply affected by the killing of George Floyd and the exposed fishers in our society. And we decided to double down on our culture and double down on equity, diversity and inclusion. Equity to us means objectivity and fairness. Diversity, we're able now to -- because we're no longer tethered to a physical space, we're able to recruit in locations where we've never been able to recruit before and thus bring more diversity. And inclusion, the more ideas, the better, and we're here to ignite the passions in our employees and prospects in the context of our business. The pandemic has actually brought the company together more strongly. Our engagement scores have never been higher than they are today, and we introduced our first Corporate Citizen Report in 2020. This will be an annual report, and we've made progress. We've reduced our carbon emissions. Our female population is 29% versus the industry benchmarks of 25%. We put new supplier ethic standards in place. We've engaged with the UN and the UN Global Compact. We put -- we have diversity slates for candidates. We have equal pay for equal work mandated. There's no tolerance for not having equal pay. That's always been as part of our culture. We've introduced the OpenText Voyager Fund. We bought 4 million meals to help fight food insecurity at the end of the year. And we're going to be very visible about what's important to us as a citizen of the world in our annual report, and we're going to have great visibility, and we're going to hold ourselves accountable as we strive to do the right thing. Let me end with our growth agenda, and you're going to hear every speaker end with -- in their portion of the presentation today talking about their growth agenda. And let me wrap up my prepared remarks to talk about GROW with OpenText as a program, bringing our Cloud Editions and our 5 ways to consume to the Ultimate Cloud, our F '24 aspirations of 2% to 4% total revenue organic growth and recurring revenues of 85%. And as we go from our F '21 outlook to our F '24 aspirations, this is based on an $84 billion TAM growing at 8%, expanded investments in products and go to market. We have marquee customers from 75,000 enterprise customers, 740,000 small- and medium-sized businesses. We have a new and compelling product cycle with OpenText Cloud Editions. And we have deep expertise, leadership and talent at OpenText. So with that, thank you. Let me introduce Muhi Majzoub, our Chief Product Officer. And before Muhi presents, we have a short video. [Presentation]

Good afternoon, and welcome to OpenText's 2021 Investor Day live. It's an honor and a privilege to spend some time with you and provide you a product innovation update. Let me share with you the key messages that I will cover in the next 20 minutes. An unparalleled information management platform that is built for scale and performance with many, many innovations that are coming to our customers for value-add every 90 days. The OpenText cloud platform, enabling many of our businesses, our business network and global supply chain. Carbonite, our endpoint backup and endpoint protection. Faster delivery, a platform to deliver applications in public cloud much faster every 90 days. And a new path to market, as you heard from the video, the developer cloud, which I look forward to telling you a lot more about. Our Cloud Editions are already for modern work, I'll give you a lot more detail. And embedding advanced AI algorithm and machine learning capabilities in every one of our information management platform. Most important, as you will hear in the presentation, our platform and products are built to meet the needs of our marquee customer base. Let me share a little bit about the acknowledgment that we are seeing to our leadership. We are recognized by Gartner, IDC and Forrester as leaders for every one of our platform. We are also recognized by many of the boutique analysts. And our small and medium business product and our consumer products with Carbonite have received many acquisition -- many awards around the globe. Let me dive deeper and share with you why we are leaders in information management. I will start with the open -- with the content cloud. Ready for modern work with leadership in document management, record management, archive capabilities, intelligent capture and with many more innovation coming around the e-signature and collaboration in the public cloud. Our business network, as we respond to the pandemic, our global, sustainable and ethical supply chain is providing connectivity, anything to anything through our secure network, with global invoicing compliance for 50-plus countries and growing with every quarter and every new release, with opportunities to create more integrations, more visibility into the supply chain to our customers and their trading partners. Our Experience Cloud gives you the capability to communicate with your customer through every channel, whether the channel is a site or an e-commerce site, the channel is SMS or notification, the channel is communication through media management and our customer communication extreme solution, with the ability for future growth to create more public cloud SaaS workloads and more data and user experiences and integrations. Our Security and Protection Cloud protects millions of endpoints from ransomware but also from antivirus and hacker attacks through our Webroot and Carbonite platform with more capabilities to bring services that could be leveraged by our partners and to bring more forensic digital investigation capabilities that has the ability to mine and analyze social data on the public web but also has the ability to do OCR to imagery and artifacts. And lastly, our Developer Cloud API services that are wrapped around every one of our platform and every one of our capabilities, allowing customers to grow with us and grow their innovation by developing their own solutions that are industry-specific or company-specific. Let me tell you a little bit about the Ultimate Cloud. What do you see on screen, only OpenText can deliver. We're global. We're secure. We're always on with 99.99% availability. We're compliant. Mark touched in his keynote on ECB, where they run in our European data zone. Our data are only touched by European employees. Their data reside in our European data center, compliant and protected to every one of the European data zone rule, North America rules, GDPR and many others. Our modern API services is allowing customers to call these services and partners like Cisco, F5 and others and leverage capabilities from our platform and integrating it directly into their applications. And we won everywhere. And then we partner with AWS, Azure and the Google Cloud. But of course, we have a global footprint for the OpenText Cloud to support the needs of our customers. Let me tell you a little bit more detail about those capabilities. If we dive deeper into each of the cloud, the Content Cloud, the ability to deliver collaboration for the modern work is critical, allowing customers like ECB to take some of their workload to 160-plus affiliates in the European zone and share securely content in the cloud through our core collaboration and core share. Country expansion allow our customers leveraging our EDI and supply chain in the business network to deliver invoice compliance dependent on regulations in the company and the country they operate in, whether it's China or Brazil, Mexico or South Africa, Chile or Peru or many others. Our Experience Cloud allow image analysis and media management through the embedding of AI algorithm and machine learning, where we could look at an image and give you content and context about the image you're looking at. Our Security and Protection Cloud give you OCR capabilities for forensic investigation, give you DNS support for dynamic IP, give you a faster RPO, which is the recovery point for content, to bring content back from backup if you're hit with a ransomware. And the Developer Cloud, many, many innovations have happened in the past 4 releases to bring more services with every release to support our customer demand with a single administration area, where customers can ingest, administer the usage of every one of the API services they're embedding in their solutions. developer.opentext.com is a great starting point for our developers, our partners and customers. Let me give you a few examples of those developer services. Capture and digitize, the ability to leverage our intelligent capture service, to ingest content and then capture the information, an invoice number, a customer name, a customer address and store it into the metadata while storing the image and attaching the image to the metadata record. Storage capabilities for customers who have the need to create application that stores videos, store images, store documents, the ability to very quickly and easily integrate into our CMS and CSS service, analyzes -- analysis and reporting capabilities, integration and access to touch every one of our connectors, search and discovery, view and communication and many, many other services that we introduce quarterly with every release for our products. But let me build on some of the data that Mark shared with you and give you a customer example of the importance of taking a customer from off-cloud to the cloud, following the journey that Mark shared with all of you. Chevron, I have the privilege of working with Chevron for the past 4 years. They used to be an off-cloud customer leveraging our document management solution. We worked with them. They signed up for a beta program. They are now able to take a process that used to take 2 years before. And they could take 21.1 or 20.4 from us and upgrade in under 4 weeks in production. This is value-add to Chevron because the time spent previously on upgrading software is now spent on innovation and expanding the partnership they have with OpenText, looking at new innovation, new capabilities and new public cloud workloads that they want to implement for their company globally. Let me give you a little bit more about information management, and Mark touched on, we are investing to win. I'll give you an example. 8.5 years ago, when I joined OpenText in June of 2012, we were 794 developers. Today, the products division and engineering is over 4,500 and growing. That's a quadruple in the past 8 years with an average of 120 patents that come into our innovation every year. Now I look forward and I am excited with the graph you see on the right-hand side, with investing in R&D to be 12% to 14% from the current 11.7% we were in, in FY '20 is great news for me and my engineers and product managers because it means value-add to our customers through the many new innovation. I am really excited with the $2.2 billion investment in the next 5 years and the $400 million-plus investment that will come this year. Now let me share with you a little bit about our key investment and what you expect the next time we talk. And I hope the next time we meet, we meet in person. Content services going to the public cloud in 21.4 in October of this calendar year, taking all of the capabilities that we have in the off-cloud and making it available in the public cloud but also making many services available to allow deeper integration into SAP S/4HANA, SAP SuccessFactors, Salesforce, continue to do deeper integration in Office 365 and Teams, where customers and their users leveraging Office 365 can protect all of the shared documentation. Presentation, content, design documents can be protected in the OpenText information management platform and future-extended ECM solutions that we look to do. On the right-hand side, top of the screen, our business network, looking to expand on our ethical supply chain and add risk and reputation visibility to customers and the partners that they're interacting with. That's based on deeper integration with companies like D&B, companies like EcoVadis and other ethical supply chain companies that today we're working with. Expanding our any-to-any connection to include new companies, new emerging companies in the public cloud, allowing our customers a wider range of integration that they could do with our network out of the box. More detailed capabilities and reporting an insight, giving you visibility into the supply chain, into your transactions and into your partner interactions. On the Experience Cloud, bottom left, similar to what we're doing in the Content Cloud, taking our digital Experience Cloud public to the public cloud in 22.2, April of calendar year 2022, allowing you unified customer access to all of the experience platforms, allowing you workload as public cloud for media management and our customer extreme design tools and capabilities, allowing you deeper integration into e-mail, notification, fax and many other medium of communication, including communication in social on the public web. And lastly, on the bottom right, our Security and Protection Cloud gives you the ability to create a unified platform where our customers, leveraging endpoint backup and endpoint protection, can interact and manage their account from one single console, giving you more connectors and application integration to provide protection to your end users through our Webroot platform, giving you more advanced mobile capabilities for protection, giving you advanced OCR forensic capabilities and social media artifact monitoring and ingestion capabilities will add much more value to our customers with future releases. If I share with you our growth agenda, this has never been more exciting to see the execution and the innovations that are coming out of OpenText. Cloud consumption I shared with you in the Chevron customer example is a great example of a customer in the off-cloud, consuming more of our cloud solutions, consuming our Cloud Edition innovation. Mark touched on us taking our Release 16 customers to our Cloud Edition CE 21.2 (sic) [ 22.2 ] and beyond. It's exciting because it will allow to add value to our customers, allow them to take an upgrade process that used to take minimum a year, they can now do in 3 to 4 weeks. Our R&D key investments will pay dividends for us in delivering more value-add to our customers and more innovation. And our API services are creating new routes to market for customers to consume more technology from OpenText by consuming our services, embedding them in many of their solutions. Thank you very much for the time. Enjoy the rest of the day. And I hope you remain well and healthy. I look forward to the privilege and the opportunity to present to you in the near future again. And now it gives me privilege to share and hand off to my great business partner and friend, Ted Harrison, our Executive VP of Enterprise Sales, after a short video. [Presentation]

Good morning, good afternoon and good evening, ladies and gentlemen. My name is Ted Harrison. I'm the EVP Enterprise Sales. And I'm going to talk to you today about our go-to-market and our growth engine. First slide, please. So growth is everywhere. We're proud to be the market leaders in information management. And those markets, as you saw from Mark, are growing. Our growth engine has the scale and the coverage to capture this opportunity. We have over 2,000 field-facing sales professionals and growing that team. We're connecting to our customers in new ways with our Digital Zone. We have a strong ecosystem of partnerships acting as a force multiplier for us. So today, I'm going to talk to you about how growth is built into our go to market. And I'll tell you about how we're increasing our G10K coverage. The G10K is the Global 10,000 largest organizations by revenue in the world. I'll tell you how we're winning new cloud customers, how we upsell and cross-sell to that base of cloud customers and the migration to our Cloud Editions that Mark and Muhi already highlighted and leveraging our strategic partnerships. So let's get started. The world's leading customers and companies trust OpenText. As you can see, 89 of the top 100 largest companies in the world trust OpenText and our solutions. And I really do think our biggest strength at OpenText is our installed base, built up over the 29 years that Mark mentioned. And we're prolific across almost all verticals. And each customer that we win and we partner with is on a digital transformation journey, which drives more consumption of OpenText solutions every year after their first purchase. They'll keep coming back for different use cases. They'll expand their use of the solutions they already have. And we will cross-sell them into augmentative solutions from different parts of our technology stack as well. So for example, 1 year, they'll turn on eDiscovery. And the next, they'll go on to store their contracts in our repository that they have been data mining with our AI and the eDiscovery. Then it seems natural next to use our automation to speed their order to cash. It's an ongoing process with every one of these -- when every one of these customers comes onboard with the OpenText Cloud. I've got examples here. For example, Google, that was the example I just mentioned about Google use eDiscovery. And then they expanded out to use our sales force integration for their partner portal, along with our TeamSite web products. BMW is here. They have e-invoicing for all of their complex, international e-invoicing requirements but also our rich media management for staging their assets for the vehicles. So whenever we proudly bring one of these customers into a partnership with OpenText, we know it's the start of a long-term relationship. And now let me tell you a little bit about 3 of our clouds. And I'm going to start with the Content Cloud. So the Content Cloud is a large market and it's a growing market. There are over 10,000 enterprise customers already. And we're growing our cloud adoption amongst our installed base. And we see various growth factors, which I'll illustrate with some of the customer examples on the right-hand side. So enabling modern work, for example, become even more important during the pandemic crisis. And I'd like to take a customer who's affected perhaps more than anybody else. That's NIH. You can imagine what a year that's been for those guys. And they need to move fast during this crisis. They need to make decisions quickly. And they need to know that they've all the knowledge at their fingertips. And this year, they modernized their workplace by investing in an all-encompassing content services solution from OpenText that takes care of every element of their information management for themselves and the 27 institutes and subsidiaries associated with them. A modern platform, for instance, secure access to one version of the truth. And we're proud that our customer, NIH, won numerous project awards for this, including an award presented to their CIO by Dr. Anthony Fauci. So we love it when our customers are successful. And we love to play our part in that. Platform consolidation. We've seen over the last year during the crisis that more and more people are looking to optimize their infrastructure, reduce costs. And this is a major movement for companies seeking to reduce costs. And they do it through a removal of countless prior fragmented legacy solutions onto one modern cloud platform, OpenText. And for example, ABB shut down all of their on-prem content stores and moved to one modern project-based document management system in the cloud. And that system, which is live with OpenText, is mission-critical to ABB in our cloud with potentially billions of their revenue riding on its availability. More examples. You've known us for our SAP integration. But also our Salesforce and Microsoft integration has been a key growth factor for us during the pandemic, particularly our integration with Microsoft Teams, which has really boomed. But the Google example I gave previously also shows how we can deeply integrate into Salesforce as well as SAP. Public sector seems to have been a big growth factor for us during the pandemic years, although it's always been a very strong industry for us. I wanted to call that out. And a good example of an international public sector customer is SNCF. That also shows how we accelerate cloud opportunities. SNCF is a good example of an OpenText customer we've had for 10 years or more. And they decided last year to outsource their system to the OpenText Cloud and our managed services, resulting in a threefold increase in our revenues but more importantly and with a massive return on investment for SNCF as they put all of this infrastructure into the trust of OpenText online service. So that's our Content Cloud. Let me talk to you about our Business Network Cloud briefly as well. Our Business Network Cloud, as you can see the headlines there. So another growing market, large market. The 21 of the 25 largest supply chains in the world trust their supply chains to our Business Network Cloud. With over 2 million trading partners on this platform, we're seeing growth factors, such as, as you can imagine, extreme supplies change disruption. And so Nestlé is an example here. You'll hear more about them later from James, one of the largest and most complex supply chains in the world. During the pandemic, it's critical for supply chains like this to have greater visibility and adaptabilities. In some cases, whole countries are being shut down and they have to reroute. But it's not just the pandemic crisis that drives our growth on Business Network. There's also great new factors out there. For example, automotive is an important vertical for us. And we're seeing with the electrification of vehicles, we're seeing completely new supply chains coming up and being built by customers like GM and Daimler as they go switch the manufacturing over to electrification. Internationally, invoicing is a big one for us. That was BMW, the example I gave you earlier, where they're invoicing between -- more than 50 countries and applying invoicing standards on a country-by-country basis using our Business Network Cloud and our managed services. We launched a new Trading Grid this year and it is fast onboarding. And when we welcome somebody onto our Business Network platform, we have a raft of active applications and value-adds that we can apply to that business network as we go forward. Just to bring it to life, if we go to the next slide, when we say 21 of the 25 largest supply chain leaders trust OpenText, we mean it. And we've done our homework. We've just a few there. We want to catch them all, of course. And there's just a few that are left to get. Actually, all of these -- all of the great customers are OpenText partners for different parts of our portfolio but specifically for our Business Network Cloud. And this is our list so far. And you'll see over on the right-hand side, we also serve 4 of 5 of Gartner Supply Chain Masters: Apple, Unilever, P&G and Amazon. Next slide, please. So the third and final cloud I would just want to highlight to you is around the Experience Cloud. This is our cloud platform for managing customer experience. So our customers' customers, or in the case of public sector, their citizens. It's a combination of one stand-alone technology, such as web content management, digital asset management. And it's all brought into one comprehensive platform now in the cloud, our digital experience platform, our Experience Cloud. And it follows the customer with the content and interactions through their decision on the path to buy. And a good example of this would be Allstate, for example. They stage and manage all of their omnichannel communications in one place with OpenText. So by omnichannel communications, I'm talking anyway that you outreach to a customer, web, media, rich media, call centers, print, notification, SMS, even fax, ladies and gentlemen, which continues to go strong. Okay. Let's check out our go-to-market now. This is what I wanted to talk to you about in our growth market, our growth engine. So what I'm going to talk over the second half of this presentation is around our go-to market, whether it be direct with over 2,000 field-facing professionals, whether it's through our ecosystem of strategic partnerships, or whether it's through a new medium, a high-scale medium, friction-free interacting with our customers, which we call our Digital Zone. More about each of these 3 sections presently. So next slide, please. Looking at our direct go-to-market capability and our field-facing professionals, we have over 2,000 of those that are broken into categories. If we look on the left, we have -- on the left-hand side, we have a range of sales roles pertaining to customer segment. Global account managers, a very dedicated point of senior contact for our largest customers. Then you have the majority of our sales force and high-touch enterprise AEs for those top 10,000 organizations in the world by revenue. We call them the G10K. And we have inside sales for a larger volume of smaller organizations. We have a large ecosystem of partners. And more about those in a couple of slides' time. On the right-hand side, you've got a whole bunch of technical and business value experts to help our customers build business plans. And then following that, post-sales to realize benefits and start to strike up new business plans for realizing even more. Now we do all of this through a scalable digital engagement model with our customers, called the Digital Zone. Next slide, please. So the OpenText Digital Zone, in March 2020, like many, where all of a sudden, all face-to-face meetings became remote. All events became virtual. Now OpenText's response to this was the Digital Zone, an online location for interaction and also a knowledge center for our customers in their early discovery process. So this is one place where our customers can find personalized assets and webinars, customer testimonials. And they can see self-service demos and try before you buy. We have our digital events platform baked into this. And we can do our account-based marketing based on the intelligence we see from this using our own AI tools. And they can even use the Digital Zone to contact their AE. So today, fast forward to today, and remote face-to-face sales meetings are the norm. And our interactions, our valuable interactions with our customers and our meetings are on an all-time high through the Digital Zone. And customer attendance to virtual events is actually 300% higher than those that we used to run in person. Next slide, please. The last time I spoke to this community and to this audience, we talked about how we intend to extend our deep coverage, personalized coverage to the G10K, the top 10,000 organizations by revenue in the world. And we've made great progress since then. So year-on-year, 12 months to 12 months, we've extended our coverage. We were covering -- we now cover 58% of the G10K with these high-enterprise AEs. That's an 18% growth year-on-year from the previous year. Our coverage, as you can see from the diagram, is strongest in the U.S., where we have almost 80% coverage there. This is deep personal coverage of these accounts by expert AEs. And they drive the engine of growth for OpenText, not only in the acquisition of customers but then working with them and partnering with them to bring on many new use cases to the cloud, which drives new business and consumption for OpenText over, in many cases, decade-long relationships. Next slide, please. So to break down our key growth opportunities there, and that's a little bit about how we go to market but where our growth is. We've got new customers we bring to the cloud. So increasing our coverage of the G10K, as we just saw there, allows us to give a personalized service and bring onboard new G10K customers. As we grow our sales force, we've got to train them effectively as well. We've got to lead with insight that we've gathered over the 29 years of wisdom and digital transformations in OpenText. And we have an OpenText sales university that gets them onboard fast and has them lead with insight very quickly. We've also become very good at migrating the competition. There's often legacy and incumbent solutions. And we have a professional services team which is highly adept in moving them quickly. Cloud expansion, I'll give you a customer example of each one of these in a moment. Cloud expansion, once we've got that new logo onboard, customers tend to buy our platform for a specific use case. Then they'll add more and more. So maybe they'll start in HR and then add contracts and then integrate with Workday and then move it into their legal department. Once we win a customer, they'll stay with us for years. And we'll guide them through getting more and more value from our clouds' platforms. Cloud cross-sell, many of our cloud services are complementary to each other. And we built a system inside OpenText and engagement around -- across all of our specialty sales forces to make cross-selling friction-free. Customers will continuously move new cloud workloads into our cloud and open up new functionality. Cloud migration is an opportunity for our Release 16 customers to move to our Cloud Editions, just like Mark says and Muhi says. Many of our customers are moving all of the workloads or, in some cases, partial workloads to the OT private cloud and the OT public cloud. But our clear -- let me just be clear. Our strategy is not to leave those off-cloud customers behind in no way. And we continue to invest in our off-cloud customers and our products, too. Finally, partnerships, and I've got a slide on partnerships coming up. This is how we open up new customers and, importantly, new markets for us. Now I'll show you examples of our partnerships and these other vectors grow next. So let's just take these customer examples quickly. McCain, a $7 billion food company, I think, Canadian. I used to eat their products as a child. An example of new logo here. They're trusting our very latest Trading Grid technology in the Business Network Cloud to manage their entire supply chain. Government of Canada, I chose, because they're expanding their use of our cloud to new users and they're incorporating new cloud-native technologies, such as our signature solution. Very exciting. Allstate, I've mentioned once before. They started with customer communication management. But we actually found that customer communication wasn't just web and print. It also included fax and SMS notifications. And we cross-sold into that to provide one comprehensive platform for their unified messaging. And then large-scale cloud migrations, I already mentioned SNCF. But you see an insight. If we take our top 30 customers, which is a segment we track, over 50% of them are already moving workloads into the OpenText cloud. Okay. Partnerships, I'll come to those in just a moment. So let's go to the next slide, please. I took just a sample of our partnerships to give you an idea of how we scale out. I took some platform partners and some market partners. So on the platform, our SAP partnership is well known. But let me highlight that we're now one of their fastest-growing partner cloud solutions. Our Microsoft partnership has just gone from strength to strength as we augment Office 365 and Teams during this time of remote working. And Salesforce also sell our content solutions. And joining the world of Salesforce, Microsoft and SAP with a common repository is a key differentiator for OpenText and something that our customers find wonderful value in. And to talk about how we expand into new markets, let's take a few of these. So AT&T, we built a connectivity ecosystem using our communication solutions, including some of the ones I already mentioned, like fax and SMS. So for example, HIPAA-compliant systems in labs, in pharmacies pertinent during the pandemic or just on a personal basis. The next time you get a prescription in CVS, our technology will be working there through our partners, AT&T. Dell, they provide an OpenText solution for mass migration of data in their go-to-market for hardware. As you can imagine, it's critical for them to move that data into their new hardware. And we can provide an excellent solution for that And we do so through our partnership. And Cerner certainly use OpenText document solutions for their content backbone to their flagship, patient management and health care solutions. So it just goes to show how we can open up with technology partners or through our market partners. And so to conclude with the messages I've shown you today. Our go-to market -- our growth agenda is, one, our go-to-market expansion. The objective to grow fuels every plan and conversation that we have here at OpenText. And as you can see, we're expanding full G10K coverage as we expand our sales force and our high-touch enterprise AE coverage of these important customers. We are on track to reach full coverage by calendar year '23. Our Grow with OpenText program that Mark unveiled today is fully threaded in to all of our expansion plans. And Cloud Edition consumption, a driver for our installed base as new customers -- as customers find new value in our latest Cloud Editions for all of our products. I want to thank you, ladies and gentlemen, for listening on our messages and for my growth agenda. And I'm now going to hand over to a short video, followed by James McGourlay, EVP of Customer Operations. Thank you very much. [Presentation]

Hey, there. I'm James McGourlay, EVP of Customer Operations here at OpenText, as the slide says. And customer operations includes our customer support team, our technical support team, our annual recurring revenue teams on the cloud and off-cloud renewals organizations as well as our customer experience team. And I want to talk to you today about how we're growing our renewals on our cloud and off-cloud teams. So as we go through here, I wanted to touch on some key messages that we'll walk through in more detail as we go. Consistent growth. And I think if you've been following OpenText for any time, you know that our renewals business has been consistently growing year-over-year. That's built on a base of satisfied customers and a proven renewals process, our pricing, packaging and contracting, making sure that we have the right policies in place to help our customers renew and a global team of customer operations professionals. As Mark mentioned earlier, it's about building that customer experience and making sure that customers are able to use the software and our services and providing that expertise. And we have 2,200 global team members providing that expertise to our customers. We've got a clear path to growth through the proven value of our product and security updates. Mark talked earlier about the speed of which we're releasing products, and so did Muhi, and getting that -- those product and security updates out to our customers quickly. Expansion at time of renewals, a key effort for us, making sure that both on and off-cloud, we're working with our customers to expand at that time of renewal. And then annual price uplifts. We have a strong and historic policy of making sure that we get our annual uplifts with our customers to make sure -- or sorry, based on the value that we're delivering year-over-year. If we flip over to the next slide, I want to talk to you about the customer satisfaction driving growth and profitability. Two numbers off the top. Our 96% customer satisfaction or CSAT. That CSAT score is actually a score that we calculate based on every interaction with our customers, every ticket with our customers in technical support. So every time a ticket goes out, we run a survey, a few questions. We get that result. And if we do, by chance, get a negative result from a customer, we have a customer support manager reach out to that customer, figure out what we can do better and improve the process. It's a true full circle, complete Voice of the Customer program. Our Net Promoter Score, which is at 11, is based on that industry standard net promoter practice, as you would see, across many industries. We've actually increased that 3 points over the last year, which for Net Promoter Score is a fairly significant move. Now when we're talking to our customers, and obviously, we're listening to our customers. We've got that full voice -- sorry, full voice of the customer cycle, as I talked about. They're telling us that our high-quality software, high availability are keys in driving these metrics for us. And rapid deployment. We can't talk too much about our ability to rapidly deploy software, rapidly deploy the updates and help our customers move their speed to business value through our services. So that holistic customer voice or Voice of the Customer program really does help us to make sure that our customers are satisfied but get that feedback back through the organization and help -- it does help us to drive expansion opportunities as well, either through Ted's organization or through the -- either of the renewals or organizations. So on the next slide, we want to talk about improving that customer experience. And one of the ways that we're doing that, as Ted talked about earlier, he really brought this up is that -- the OpenText Digital Zone. And what that means to the customer operations teams is really -- it's about reimagining the customer support experience, reimagining our renewals experience. How do we digitize renewals? How do we get more self-service out to our customers on the tech support piece? You may have heard me say before, people don't want to talk to -- even though we're -- I'm a nice guy, people don't own up and want to talk to me. Just -- they want to get their problems solved. They don't want to talk to a human. And if we can provide that service automatically, that's what we're going to do. So we're probably, I'd say, about 25% of our interactions are fully automated at the moment on our tech support side. We're looking to move that to 90%. So all but the most critical will be coming in through the portal. Customers will be able to address their issues automatically using data-driven responses, response automation that we're building in. Data and insight will also be collected and then fed back into our product engineering group all on an automated basis. So we're looking to really rejuvenate, if you will, and reimagine that customer support experience. And digitizing renewals. On the renewals organization, whether it's in cloud or off-cloud, we're focusing very, very keenly, making sure that we're taking advantage of all the technology that we have available to us. We're currently at about 12% of our renewals are fully automated from -- right from the quote generation all the way on through onto the processing of the invoice. But we are moving more and more effort into that. And we expect over the next year, we'll be at 35%. And what that allows us to do is actually go out and focus on the more difficult renewals. As you notice here, I've got risk identification and predictive analytics on here. So by combining these 2 things with a fully automated renewals process, we're able to make more efficient use of our humans and get them out, working with our customers. When we identify our risk, we can get out there earlier and dig in and help make sure that we complete that renewal. So we're doing all of those things. And then harnessing AI, I just wanted to call out -- and I know I just talked about risk scoring. But it's very important. We've got this risk scoring across. We're taking Magellan UI. We're identifying expansion opportunities. And on the technical support side, we'll be building out virtual assistance. So all of this AI is really tantamount to us here at OpenText and allowing us to become even more efficient. So as we go into the next slide, I want to talk about OpenText renewals. And this -- the idea behind this slide is, look, we've got a great renewals team. We've got 275 people that are out working with our customers, making sure that we're renewing every contract for full value. But it's not just the team, right? It's an ecosystem that goes in with that team. So we've got our systems in reporting, making sure that all the contracts are clearly documented and we know exactly when things are coming up, our policies and controls and procedures, our playbooks, for example, for the renewals organization, making sure that we have the -- selling the value to the customer of the renewal, selling the value of the uplift to the customer. And it's about getting in and making sure that customers understand about those product updates and security updates that they're able to get and deploy quickly, right? So all of those things are part of the policy procedures and controls and playbooks and what have you in there. And as I said, it's an ecosystem. So as we look across, we've got our partners in the puzzle here. Our partners are a great way for us to, a, reach out to a greater customer base than we can with our direct team, obviously. Partners help us in remote locations or areas of the world where OpenText does not have a feet on the street presence, and they'll help us with providing technical support, they'll help us processing their renewals. But it's a great way for us to reach out to all corners of the world and to all facets of the industry with -- while keeping our costs low. And when we look at the expansion and the upgrades and migrate opportunities here, I mean, this is all fed off of our systems, our reporting, our partners and really working through with our customers to take advantage of the opportunity. The community model and business intelligence -- I mean, if you think about the community model on the business network, where we have somebody, let's say, an automotive manufacturer who really consider to be a hub and then you have all their suppliers that will roll up there, and building a community model, means that we're bringing more of those suppliers and more of those spokes, if you will, into the OpenText business network and connecting them together and allowing our industry partners with the automotive manufacturer, for example, to take advantage of a high quality, high availability system that really helps simplify their supply chain. And all of this is built on with business intelligence. Providing feedback on volumes, on capacities, all of that feeds back into the renewals teams so that they can really work on that the expansion as they go through the year. We go to the next slide. So sustainable growth. As you look at the numbers here, FY '14 to FY '20, you can clearly see that we've got the growth gene in, if you will, in the renewals organizations, 125% over that period of time. Looking at the renewal rates. Renewal rate for the off-cloud there, you can see it 94%, whereas the cloud renewal rates at 96%. So we're targeting upper quartile renewal rates, as you can see here. And I'm not going to understate this. It's -- this is all based on our compelling product updates and security updates that we provide to our customers as well as the high quality of services and products in general that really drives that renewal rates. We've got an effective model, land, adopt, expand, renew. You can see that across the software and hardware industries where -- the land is really about Ted's team, getting the customer signed up and making sure that they're on board for services. And the adoption really is in the -- in our Professional Services organization. We operate in the expand and renew part. And I'll talk a -- and so we'll operate in expand and renew portion of this model, making sure that we're working with our customers throughout their -- the year or the period of their contract term so that we can so that we can make sure that the renewal is not a last month event. It's a long-term event where we're working with the customer to make sure that at the end of the period, the renewal is really a nonevent, okay? And then provide best-in-class expertise both in systems and in people. It's pretty simple, and that helps drive those high renewal rates for us. Now let's move on to the next slide. Talking about net uplift and expansions. So again, the renewal rates are up there. But where do we see our opportunity for growth and for getting those expansions? It's cross-sell and up-sell time of renewals. It's looking on both sides of the chart here. It's working with our customers, as I said, throughout that year, throughout that process of land, adopt, expand, renew and really looking at the opportunities. On the business network, for example, it may be volume-based. I mean a customer -- for example, during the pandemic, we've seen shippers with massive increases in volume. While we work with those customers to expand and uplift their tier on our business network, they're committing to more volume over more time with OpenText. It may be a managed service -- expansion on the Managed Services on the business network. We have ready-to-serve and ready-to-implement programs that we work with our customers. So essentially, we have a dedicated group of people who stand on our professional services organization, who stand ready to implement new maps, who stand ready to build out customizations on this. So we have a lot of opportunity here to really work with our customers to see how we expand their usage of our solutions. And then, of course, we have an annual uplift program that is standard across both the cloud and off cloud where we have an increase that is applied to the rates on an annual basis. Okay. And on to the next slide. So I want to give you a customer success story. And as Ted alluded to earlier, it is Nestlé. I think Nestlé is a great example for us. I happen to work very closely with the Nestlé team and have had some experience working directly with them, as I said. We talk about them on the business network. But truth to be told, they're also a long-term software customer with us. They've been a Documentum customer for over 20 years going -- and when you look at the usage and what they're using our software for, I think we have over 20 applications that they are now leveraging content server. We have a dozen applications that are tied into their SAP instance that tie back to between SAP and Documentum. So a great software story as well as a business network story. And as the video said, they've been a client for a little over a decade. They utilize our entire portfolio of OpenText business network, products and services, including our -- the ready-to-serve and ready-to-implement products I just talked about a minute ago. And 70% of all of Nestlé's EDI traffic is conducted on the OpenText platform. So what does that mean? So I've got a little note here about actual statistics. So OpenText over that 20-year -- sorry, 10-year period has migrated 67,000 trading partners onto our platform. We've developed 2,500 maps through that RTI, ready-to-serve application. And all of that is running an SLA that's pretty much near 100%. So a good, solid relationship between OpenText and Nestlé and a great success story. Now we're going on to my final slide. Our growth agenda, right? So I've run through a fair amount -- we talked about our customer success. We talked about our customer experience, and all of that laying the great foundation for us, right? And again, it's a compelling product and security updates. Systematic value capture through pricing and packaging, expansion at time of renewal, and sustained high renewal rates. We've done quite well sustaining the rates, as you saw through the pandemic. We expect to continue to increase the retention rate, both off and on the cloud. And we'll continue to deliver great results. And with that, I would like to thank you for the time today. As Muhi said, it'd be great to get back together and do this all in person very soon when all is safe, and I'm going to hand off to a 5-minute break now. [Break]

Hello, everybody. I'm Prentiss Donohue. Thanks for coming back from the break. Hopefully, you have your coffee or kombucha handy. My focus here is going to be on the SMB and C sales group. This is our dedicated go-to-market focus on our small, medium business and a direct-to-consumer model. And it includes Carbonite, Webroot, Hightail, SaaS businesses, which are core components of that selling focus. So these are products focused on endpoint protection, backup and recovery and threat intelligence. So to begin, let me talk about our key messages for this presentation. The focus that we have and what I'm going to be talking about is our platform approach in the form of our security and data protection cloud. So this is the modern cloud model that provide cyber resilience comprised of layers of data security and data protection, which are important growth segments and massively relevant to information management. We have an established and scaled partner model that I'm going to be outlining, and I'm going to speak to growth opportunities related to our partner expansion, our threat intelligence opportunity and efforts, and our unified endpoint platform. Next slide. So running businesses has already been tough enough during the COVID era, but cyber attacks have increased 5x during the pandemic, and SMBs are in the crosshairs. And as many of you probably saw, today's news cycle is highlighting the known breaches of over 150,000 surveillance cameras that are inside hospitals and companies and police departments and prisons and schools. And ransomware attacks are up 19% year-over-year. There's actually a over 2,000% increase in malicious files with the Zoom in their name. So this is the reality of modern work, but the impacts are being felt by our target end users and almost 60% of SMBs have experienced breaches, and over half of SMBs can't detect a data breach for months. And on top of that, over half of U.S. consumers have been victims of a cybercrime. So the talent shortages mean that more SMBs are looking to managed service providers, and remote monitoring and management solution providers can manage their infrastructure and security, and that's where we play. That's what we address as we deliver the end-to-end Cyber Resilience in order to free people and businesses from the consequences of these cyber threats and data losses. Next slide. So our go-to-market is -- this is a significant expansion opportunity for us at OpenText. We have a comprehensive model for our routes to market that provide flexibility and engagement for over 470,000 small- and medium-sized businesses. And remote monitoring and management providers provide visibility over these connected endpoints. And it's an important group for us, along with over 16,000 managed service providers, all of whom provide IT solutions to these SMBs. So those are end-user customers that could be an auto dealership, a law firm, medical providers or education providers. And the breadth and reach of these partners into those local markets is a critical and important play, and we are looking to see those partners expand. So we also have well over 100 OEM customers in our threat intelligence efforts that I'm going to highlight in a few slides, but these channels are providing important feedback loops to us on where the market is going and how we're addressing their needs. So whether it's endpoint protection or DNS protection offerings, server backup, we're looking to continue to refine and expand our offerings to meet partner and those end-user customer needs. Next slide. So our -- this comprehensive route to market that I just outlined is in support of our security and protection cloud. This is a large and growing market. We're a leader in data backup and recovery that fully supports this modern cloud. So I spoke to the great focus we have in adding partners into this realm and increasing our focus on those high-yield partners versus the long tail. We are really concentrating our efforts with some of those key players. So examples on the right side of the slide here, ConnectWise. They are remote monitoring and management provider who are experts in that monitoring and management of those solutions for the MSPs. They do professional services automation. They do -- they run a SOC, a security operations center for those MSPs. And then they have the third-party software and SaaS solutions that get rolled out to MSPs also. So we signed an initial agreement with them back in 2015, and there is a robust and sophisticated RMM platform that integrates with our data security solutions. Another example is Iron Mountain. So that's a reseller model whereby iron cloud is powered by Carbonite. So it's a 7-year relationship with increasing growth opportunities as we have tighter sales alignment and organization. And historically, Carbonite server backup was the focus, but we've recently added endpoint backup, M365 backup and the -- as Iron Mountain looks to expand that out, we have access to 10x more reps on their end, focusing on enabling their field. So it's a sales motion that's working well. And with Iron Mountain, we're looking to expand, and it's a good example of how we are expanding the breadth of offerings into that partner base. Next slide. So as we look at the information management and Cyber Resilience journey, we directionally are bringing our information management expertise into these SMBs, and we already are weaving our collaboration and file sharing tools via Hightail into our SMB base. And we're also continually evaluating where we can leverage technologies like e-signature which can help end users sign quotes, contracts and other documents in a compliant and hassle-free way. Another example is our on-demand messaging, which allows efficient and secure messaging and management of information inside and outside of SMB's organizations. So we're continuing to explore ways for SMBs to punch above their weight and benefit from the R&D and scale and excellence in our enterprise products. Next slide, please. So our SMB customers and cloud scale, these are some highlights of where we played. I've touched on a couple of these already. But as we expand our security and protection cloud, we're doing it from a position of scale. And through our vast partner network as well as those who purchase direct, we provide an astonishing number of business endpoints. And all of these endpoints continually feed information back to us, and they're constantly updating the intelligence that we gather as far as data objects. That's not a typo. We actually are analyzing 500 billion data objects daily. So whether that's domains, we're analyzing almost a billion domains per day, over 43 billion URLs and over 4 billion IP addresses. So we get to see these file behaviors that are coming in as we have a 6 generation machine learning operation that's fed by dedicated, active and passive sensors. So it could be crawlers or honeypots, but the best fidelity information comes from our deployed Webroot antivirus products in the field. So these are endpoints that we get to leverage, along with our OEM partner deployments, which are all contributing to that threat intelligence knowledge base. And because of this, we have more than 95 million data sources powering our intelligence in a way that no other threat intelligence company can match. So threat intelligence is a volume game. The more information you have from different sources, the more can be processed for both coverage and accuracy and the more effective the intelligence becomes within the solution. Next slide. So I want to talk a little bit about competitive advantage, what this single end-to-end platform means. And so our competitors are playing as point solutions. We're end-to-end. And this is a key advantage in our go-to-market as we provide a true integrated solution for our partners. And there's a compelling cross-sell opportunity where we can grow both our Carbonite and our Webroot products and other OpenText products into this model that's all supporting this modern work environment. So the modern cloud model provides that customer flexibility. It's about low friction, it's about high velocity and it's about that cloud-based scale, which is highly automated, and as I continue to mention, partner-enabled and driven. Next slide. So threat intelligence. The BrightCloud threat intelligence effort that we have is, today, we defend our OEM customers' brands and product reputations, and these are some of the largest networking provider vendors. And we've helped them build better products, and they vetted our capabilities and trust the intelligence we provide. But to date, this has been focused in a limited segment. So our growth agenda includes increasing our focus and engagement with technology providers outside of this legacy space. And in addition to that new outreach, of course, we're going to continue to engage and nurture our existing OEM customers, but we see a big opportunity with these additional technology providers, and it's going to be a key selling motion for us moving forward here. So also last month, we announced our Cloud Service Intelligence offering, or CSI, which helps those cloud access service brokers comply with regulations and decrease the risks by enforcing policies around those usage of cloud apps. And the Muhi and the engineering team continue to add value, increase the number of apps certified in the platform. We're going up from 200 by another 800 apps certified for CSIs. And we're very excited and proud of our threat intelligence differentiators and value. Next slide. Speaking of pride. We have a great deal of accolades that we've received, highlighting the -- both the quality and reach of our products, and these come from different audiences. But this isn't even all of the awards that we've won in the last few quarters. But I want to call out a couple, the SE Labs rating. This quarter, our Webroot secure anywhere product protection has achieved a AAA rating in the most recent small business endpoint protection. It's very rarified air, and getting a AAA rating on that is a big deal. So we're -- the engineering team has done an outstanding job in that space. We've also won 4 PC Magazine awards already during 2021. We have the best antivirus protection. The Reader's Choice Award for antivirus software and security suites, the Best Tech Brands and a Business Choice Award around security software and suites. So these are going to keep coming, but it speaks to the good work and our base for expansion as we take this credibility forward. Next slide. So in closing, we have a growth agenda. It's small and medium business and with our remote monitoring and management partners and MSPs, we believe that the breadth of our coverage and opening up new markets with them with our comprehensive product offerings is going to sell good things. And our VARs as well as we continue to work with our VARs on developing their offerings and helping them reach new markets is going to be key. The expansion of our threat intelligence, our BrightCloud threat intelligence offering, as I just touched on, there are many untapped verticals that we're pursuing. And lastly, our unified endpoint platform, which is cyber resilience comprised of those layers of data security and data protection, is highly complementary to our information management stance as OpenText. So it's a -- it's going to be an exciting year. We're fired up, ready, credible and operating in scale. But next, we'll be going to a short video. And then over to Gordon Davies, who is our EVP, Chief Legal Officer and Corporate Development. [Presentation]

Thank you, and good morning, good afternoon, everyone. I'd like to cover 4 topics in my presentation today, and I'll go directly to key messages. First, I'd like to discuss the importance of M&A as part of our total growth capital allocation strategy and to demonstrate its foundational impact on our information management business. Second, to highlight our acquisition philosophy. Well, I'll make some comments on the tech market trends and also discuss our acquisition target characteristics. Third, I will highlight our in-house expertise, not only in the Corporate Development group, but across OpenText, which we see as a competitive advantage. And fourth, I'll give you an overview of important corporate citizenship initiatives over the past year, which is a source of pride for us. Next slide, please. This could be a busier slide as we've done a number of acquisitions over the past 5 years, but I took these 4 acquisitions for 2 reasons. First, it's a demonstration of the significant capital that we have put to work in acquisitions. Each of these are large transactions, and collectively, they approach almost $5 billion in acquisition value. And secondly, and just as importantly, it's a demonstration of our focus on both cloud and off-cloud acquisitions and how each has become a foundational component of our cloud edition product solutions. The examples, GXS, part of our business network cloud offerings; our various HP assets, customer experience management, customer communications management, our cloud experience; Documentum and its contribution to cloud content; and Carbonite, our security and protection cloud offering. Next slide, please. When it comes to M&A, I think we're best described as 3 things: patient and disciplined; value-based; and returns-driven. Let me address each of these. First on patience and discipline, a few comments on trends we are seeing in the tech market. Market activity has certainly returned to pre-COVID levels, and we are seeing a fairly robust pipeline with opportunity in each of our segments. In our view, the M&A market valuation trends remains somewhat high with a lot of liquidity being fueled by IPOs, stacks and rebounds on tech equity values. There are examples of buyers paying higher prices than before the COVID crisis, even for mature, lower growth assets, and we are seeing double-digit growing SaaS businesses of scale commanding the largest premiums, while businesses that are transitioning to the cloud, attracting lower premium valuations. While we recognize and understand these trends, and we will continue to be a patient and disciplined buyer, I do want to make it very clear that we have the capital and we have the ability to execute in this market, and we will fully expect to deploy capital this calendar year. Secondly, moving on to target characteristics. Our target characteristics really do remain consistent, and that's information management and market leadership, significant ARR growth, both in terms of the target opportunity and synergistic growth through to cross-sells and through up-sell opportunities. More specifically, we focus on leadership in key markets, the value for customers, on mission-critical business or product portfolio, a strong IP portfolio, a large installed base with cross-sell opportunities. And of course, it must be financially compelling. And that brings me back to being value-based and returns-driven. As you know, our total growth strategy is based on 3 drivers: retain, ARR and support renewals; growth, growing sales, breadth and depth; and acquire, as defined by accretive acquisitions, strong ARR and free cash flows, a high-teens ROIC and the ability to get our business model -- to our business model within 12 months. I think Carbonite is an excellent example of all of the objectives I've just talked about. It met our strategic objective of creating a critical mass in cyber and scaling our small-medium business channel. We acquired it for 2.8x trailing 12-month revenue. Through our integration expertise, we were able to get on our target model within 12 months. It had revenue synergies, growth as an acquired business, synergistic growth through cross-sell opportunities and increased cash flows and corporate ARR. And we are able to achieve expense synergies through increased cloud margins. On to the next slide, please. Let me now discuss one of our great competitive advantages, and that's our proven successful M&A process. Over the top of this slide, we have a typical M&A model, from sourcing of potential opportunities to engaging with potential targets, through due diligence and acquisition, and ultimately, through a robust integration process. We have over 25 experts within Corporate Development and numerous others in other internal core competencies, be it IT, engineering, sales, legal, finance, HR and others, all of whom bring significant experience and muscle memory to this process. Let me go into a little bit more detail with respect to some of these. Pipeline generation and deal execution, we have 5 dedicated deal teams that are aligned to our businesses who generate pipeline and ultimately drive due diligence and close transactions. Sales and products, we have an experienced team with a significant deal experience, supporting our product, engineering and go-to-market analytics and due diligence. Market segmentation analysis, it's a foundational component of our target identification and our due diligence review. Financial analysis and strategy, we have a very sophisticated deep expertise in acquisition business modeling and key performance indicator management and tracking. And pre-integration and integration itself, this might be the last on the continuum that I've been talking about, but it's the most important component of a successful transaction. This group of multifunctional experts derives our integration and ensures we get on to our target model within 12 months. Let's move to the next slide. I'd like to take a few moments to discuss our corporate citizenship activities that Mark also touched on. Corporate citizenship has always been part of the OpenText's DNA. It's part of our culture. The ESG landscape and the expectations of our internal and our external stakeholders is fundamental to our corporate citizenship program, and we focus on 3 -- 4 things in particular: people programs; communities; customers, how we and our customers can use OpenText software and technology for the good; and the environment, how we're mitigating the environmental impacts of our business activities. ESG ratings has been a particular area of improvement for us that we're proud of. And that's in large part by making sure our story is well-known and understood. I'll give it a bit more specificity. We have increased disclosures and transparency on equity, diversity and inclusion, our supplier code of conduct and commitment around sustainable procurement. Our approach to information security best practices, including data protection and privacy. Health and safety, how we provide a safe and healthy work environment for our employees worldwide, and business continuity planning. And with respect to the environment, we have set goals, and we track energy reduction, reducing greenhouse gas emissions and increasing waste diversion. Two other areas that we're particularly proud of, for our first acts of kindness and the OpenText Voyager Fund. First, on the acts of kindness. Last spring, we launched a global campaign called 100 Acts of Kindness to respond to the unprecedented situation caused by COVID-19. We focused on specific causes, the COVID-19 emergency response, food banks, children and family services, encouraging employees to support the causes in their community that were most impactful and meaningful to them. The results, over 2,500 employees participated over 82 sites supporting over 200 charities around the world and raising more than $0.5 million. Secondly, our Voyager Fund. We launched the OpenText Voyager Fund with its first donation of $1 million, and we made donations in 21 countries to 65 different food banks, which supplied over 4 million meals over the holiday season. We chose food banks because they've been hit hard this year. Food insecurity has increased dramatically over the last year globally. Giving back to and supporting the communities where our employees live and work is part of OpenText's strong commitment to corporate citizenship, and again, part of our culture. The next slide, please. I will conclude, as others have, with our growth agenda. We will continue to focus on value-based, returns-driven opportunities, and we fully expect to deploy capital in calendar 2021. And if I may, if you'll allow me to be a little bit liberal with the term growth, I will refer to existential growth and tell you that we will lead by example in corporate citizenship. Thank you again for the opportunity to speak with you today. And now I'll turn it over to my colleague, Madhu Ranganathan, our Executive Vice President and Chief Financial Officer, after a short video. [Presentation]

Good day, everyone. Thank you for investing your time and day with OpenText. And I do have the privilege of wrapping our Investor Day Summit and to especially follow my colleague, Gordon Davies, on his existential growth comment. So thank you, Gordon, for that. So the key messages that I will share, as I wrap up, is to reiterate how we create value and then talk about strategic and continuous investments to drive organic growth. We are a profitable and predictable business -- we'll delve a bit more into that -- and the financial strength for a very returns-driven capital allocation. The next item would be the operating and the DnA 2.0, Mark talked about it. This is really the backbone to bring the programs and initiatives that my colleagues talked about. We will speak about fiscal '21 outlook and our long-term growth aspirations, and I will also conclude with our growth agenda. So how we create value? Growth, profitability and capital efficiency, the intersection of those 3. And again, I want to emphasize profitable growth, and we have led by profitable growth. We will continue to lead by profitable growth, and that is our approach to maintain the profits, the cash flows and continue to succeed in taking market share. 12.5% total revenue CAGR when you look at fiscal '13 to fiscal '20. We've really done well in terms of driving predictable growth at about 80% of ARR. And we'll talk more about our outlook for fiscal '22. It's 1% to 2% in total revenue and 3% to 4% from cloud organic growth, really adding to the message that cloud will lead our growth while our marquee customer base will continue to grow as well for all the reasons you heard. M&A has and will remain very strong and additive for us. And the last point I'll make on this slide is profitability and free cash flow, very important to us. We'll talk more about how we flow down from the operating cash flow, the trailing 12-month FCF conversion has been at 32%. On capital efficiency, you heard from both Mark and Gordon, we remain a strategic-oriented acquirer. The foundation we sit on today on technology and platforms has been contributed very amazingly by the acquisitions we've done and the product innovations we've done. We've been a consistent dividend issuer, 20% trailing 12-month free cash flow. And while there are many metrics for M&A, high teens rowing -- high teens ROIC is what we have measured ourselves and will continue to measure and deliver for the acquisitions we do. So this is a very important slide, strategic and continuous investments. I want to kind of highlight the left side of the slide and right side. What you heard today, the left side, talks about fiscal 2019, '20 and our target model for fiscal '21. And the green rectangles are to highlight all great achievements -- but the green rectangles to highlight the areas where we really surpassed in terms of performance. So cloud services and subscription, that's our cloud revenue. It was about 32% in fiscal 2019. And for our target model, it's expanding to 41% to 43% of our total revenues. And cloud has been a lead contributor of the expansion of annual recurring revenue, ARR. So 75% in fiscal 2019 and expanding to 81% to 83% in our target model for fiscal '21. And going down the table there, cloud gross margin on a non-GAAP basis, high 50s, 57.8% in 2019. And here, we are putting a 6 in front of it, 63% to 65% is our target model for fiscal '21. Now you've heard a lot about investments, and I want to share here how we have been investing. That evolution is also very impressive, 11% in R&D and targeting 12% to 14% in this year. About 18% in sales and marketing, expanding into 18% to 20%. As you look at the right side, it's what we expect to do as we look ahead to $2.2 billion investment over the next 5 years in R&D, direct sales model, strategic partnership. We have a solid 2000 field-facing direct sales professionals, a high-touch model for global 10-K. And again, to sort of expand the coverage, we need to invest in all aspects [Audio Gap] attaining to tools and everything that team needs. Now acquisitions to the operating model, you heard from Gordon on this, GXS, ECD, Carbonite are the recent examples of very large and transformative acquisition. And as we continue to be transparent and communicate and operate, all were integrated in 12 months or less. And that remains a very key driver for innovation and organic growth. So all of this definitely puts us in an upper quartile position for adjusted EBITDA margin and free cash flow conversion as a percentage of revenue. And once again, I would emphasize what you have seen us perform and do is on the left side of the past is what you should expect to see as perform and do as we look ahead into the future. Now a predictable business, but a profitable business, right? We are showing you the trajectories here from fiscal 2011 to today. You have ARR as a percentage of revenues, growing from mid-50s to 78.2% in the last completed fiscal year at 81% to 83%. Adjusted EBITDA margin expansion, close to 30%, 29.7%, to 37% to 38% in our target model for fiscal '21. We talked about free cash flow and very impressive expansion with 32% FCF yield in the trailing 12 months of Q2 fiscal '21. The key important aspect here, where we haven't shown license, I do want to highlight that license during the same period, while we remain committed to what the customers' choice is, has also changes composition of revenue, down from 26% to 13%, and in our target model, about 9% to 12%. The important point here is OpenText is not a business model, of transition or substitution into the cloud. We have clear growth path at scale in the cloud. And with our marquee customers, while we have, unlike many other companies, completely derisked business model from the license, and in parallel, alongside grown predictability and grown profitability and cash flows, and that's a key message I did want to emphasize on this slide. As we look to our capital allocation. So on the left, we're just walking you down the operating cash flows, right? The conversion from adjusted EBITDA to LCF, as we stated at the very bottom, in our trailing 12 months of December 2020 quarter at 88%. So about 1.1 billion OCF, we have been CapEx efficient. You saw the chart in Mark's deck. And as we grow in the cloud, you should expect us to continue to be CapEx efficient while we might invest in digital initiatives that I'll talk about further. From free cash flow, paying off the principal of the debt, dividends, consistent issuer, we do have $863 million a of cash related for corporate purposes, and the conversion rate again is at 88% with the high-yield in the FCF. Very important is on the right side. Deleverage will remain front and center for OpenText, and sharing you a couple of data points, very important. ECD, guidance and covisint, our very large and transformative acquisitions, our consolidated net leverage was 2.5, 2.61. Again, when you look at the fiscal 2019, in less than 2 years, we brought it down to 1.72. Same thing with Carbonite. From 2.28, we were able to bring it down to 1.6 for a $1.4 billion acquisition again in less than 12 months. And I would emphasize, with the strength of the cash flows, our capital deployment, our capital allocation approach, the deleverage will remain front and center, and we will continue to be very transparent in communicating the time frames of this. All right. So what do I do every day? This is what I do. the 2 sides of the coin. It's the operating framework to drive growth, and following that, I'll talk about the digital initiatives as well. And this is, again, personal engagement from myself and the CFO org. So let's walk from the left. In our renewals and support, you heard from James, radical automation, very critical, right? Sell more products, sell more value. And that's how we grow the top line from an uplift perspective on the renewal. If you come down to the gross margin, Enterprise cloud, low to mid-60s of gross margin is our goal in about 12 months. And you've heard a lot about frictionless cloud process, and all of that is going to help get to this trajectory. And automation across DevOps. And you move to the OpEx side, R&D, G&A and sales and marketing, we talk about returns-based R&D. We look at our products, we look at our product families and how are we doing in terms of those products and product families. Higher automation across R&D, you heard about self-service and low touch, all of that will help us to take the $400 million, take the $2.2 billion a very long way. Coming down to sales and marketing, our Digital Zone, very, very critical. And the -- a very strong stat from Ted Harrison, as you heard, in how we power through 2020 in terms of unprecedented gains on our productivity with respect to go-to-market. They're going to keep those, and we're going to expand those, but some of those will need investment. G&A, my key message would be nonlinear resource growth versus linear revenue growth, and resource include people, process, systems. We're thinking of automation beyond ERP. And as I mentioned, we did have, like other companies, COVID-driven productivity gains to modern work. And we're going to be very thoughtful and smart about which one of those gains will carry forward for all of the long-term aspirations you had. Now moving to DnA, digital and automation initiatives 2.0. These are very critical to support our long-term aspirations, and I'll share with you some examples. Again, the theme here is driving nonlinear growth of resources, people, process, systems to linear growth in revenues. Leadership at all levels within OpenText are committed. We have to be each digital sponsors and program managers. So going from the left, we are large, we have a lot of transactions. So we're focused on automating transaction levels to value and innovation. Modern work, I talked about COVID-driven productivity drivers. We are going to focus those that are directly contributing to growth: pre-sales, professional services. And higher leverage of our internal systems, I mentioned that as well. We have a centralized procurement and supplier organization that actually directly reports into me into the CFO org, and it's about $2 billion-plus of spend annually. And enabling higher efficiencies and online transaction processing is what we're focused on. Quote to cash, quote, billing and collections is a very key focus for us. And lastly, as Mark mentioned, reimagining customer experience. And again, the CFO org's focus is how do we smartly invest in digital zone to accelerate that. So again, think of the operating framework and the DNA as 2 sides of a coin, to really support and drive all the initiatives you heard thus far from my colleagues. So this is just a lead-in slide. We can move to the next one to speak about our outlook. So fiscal '21, we have already shared this as part of our earnings in early February. And here today, we're confirming our fiscal '21 outlook. From a cloud revenue perspective, year-over-year, high teens growth; customer support, low single digits; and annual recurring revenue, high single to low double digits. You see the license, pretty much industry trends there. We've talked about it. And in aggregate, total revenues for fiscal '21, expected to be mid- single-digit growth. So if we move ahead to the outlook, again, you heard this from Mark as well. And let me comment on a couple of things. Organic growth made possible, right? It's a foundation products customers and financials. And the momentum, our initiatives for the momentum is what you heard, to invest in innovation, to invest in go to market. And with all of that put together, I spoke about fiscal '21 already. Now let's talk about '22. Total revenue organic growth, 1% to 2%; cloud revenue organic growth, 3% to 4%, again, profitable growth. Introducing our long-term fiscal '24 long-term aspirations, total revenue organic growth 2% to 4%; annual recurring revenue around 85% from the 81% to 83% we have today, and definitely, that's going to mean we're going to grab the lead-in growth from cloud. We are up a quartile. So 38% to 40% is where we see ourselves in the long term. That should produce free cash flows of $1.1 billion to $1.2 billion. M&A will be additive, and most important is to reinvest over 40% into organic growth that we can continue to tap into the markets you heard and gain market share. So that's the color behind our financial outlook, and you heard a lot of detail and confidence and clarity today, and we are quite excited as we look ahead. So let me wrap up, as my colleagues did, on the growth agenda. So creating value through growth, profitability and capital efficiency is front and center for us. So as I walk through what you see in the chart, operating excellence and DNA 2.0 in all its elements will help to drive growth. Higher annual recurring revenue will drive the predictability in our growth, which is very important. Cloud revenues, the ultimate cloud will lead our growth. From our marquee customers, the net uplifts in expansion will continue to drive the growth. Then we have to invest, and we're ready to invest. We have the financial envelope to invest in products, and go to market, both direct and channel at scale, will drive our growth and market share gains. I talked about being in the upper quartile of adjusted EBITDA margin dollars and that will fuel above 40% growth aspiration through reinvestment. And last but not least, balance sheet strength and flexibility for growth and additive M&A is something we have done. We're ready to do. And again, it's going to be additive to the growth. So with that, once again, thank you for investing your time with OpenText, and I hope you all stay well. And it's my pleasure to hand over to Harry Blount to take us through Q&A.

Thank you, Madhu. We have quite a few questions in the queue. A number on organic growth to start. Mark, the first one is from Dan Jester at Citi. He's asking about reflecting on the TAM slide, we showed 8% growth in the coming year. And can you talk about how we choose which segments are profitable and which segments we don't?

Sure. Thanks for the question. And we're doing this all live. So today was 100% live, and we want to bring everyone onto the screen. And I'll lead with many of the questions but hand off to the ELT as the questions come in. So great first question. I want to go back to the $84 billion is unweighted, and it's an 8% CAGR, and that means it's all-in. It's PS, it's cloud, it's off cloud. It's small, medium and large companies delivering in the segments. So it's all companies, all channels. It's all contributors, profitable, unprofitable. So it's sort of the total number. Now we don't want the entire number, right? We want the portion that is of high value to us, and we want the lion's share of the profit in the market. And look, I think pricing and policy and practice is very related to all this. Now we're going to capture full value in our renewals process. COLAs, compliance, extended support for Release 16. We run a disciplined renewals and expansion organization. We'd rather go direct then through partners. So the -- and as we look out -- if we look to the F '22 guidance, growth of 3% to 4%. And in fiscal '24, as we talked today, up to 4% total revenue organic growth. So we think this is a very good position to be in, of a market at this size, large, growing, and we intend to -- we want the lion's share of the profit in that 8%, which means it's less than that total 8%. So Harry, I think that's the best way for me to kind of go after the first question.

The next question comes from Stephanie Price at CIBC. And she's asking if we can talk a little bit about the current valuation environment for M&A. And does that suggest that we need to focus on smaller M&A deals where there might be less competition?

Well, as we highlighted -- thanks for the question. We create value through a balance of 3 things. We create value via growth. We create value via profitability, and we create value through capital efficiency, and it's a balance of all those things. And we're full throttle on creating value across all of those. I'll get to M&A in a moment. But you heard today all about organic growth and all the programs behind that. We spoke to -- you hear the great efficiency and productivity of the company, upper quartile adjusted EBITDA, efficient CapEx, efficient tax rate, efficient conversion from revenue to free cash flow. And that capital efficiency of capital deployed and getting full value for it, a strong balance sheet and a very low leverage ratio today. So the other piece of adding value is, of course, capital deployment via new M&A. And Stephanie, we intend to compete in all categories. So we're going to compete in small, medium and large. The current valuations don't deter us from competing in all categories. And we expect to deploy capital this year. So we're continuing to do our due diligence in all categories, small, medium and large.

Great. Thank you, Mark. The next question comes from Raimo at Barclays, and he wanted to dig a little bit more into the organic growth targets and get a better sense of what was inherent in those numbers between pricing, retention, et cetera. He wanted to get a little more detail on the drivers underneath that cloud organic at 3 to 4.

Sure thing. Well, it's a great -- it's a very insightful question because pricing is very important. Pricing, procedures and practices, that all flows into our aspirations on our outlook for this year, outlook for '22 and our aspirations to '24. In terms of pricing, let's just touch on a few places. One is we intend to be the value provider. We're not going to be the low-cost provider. We're not going to be the discount shop, right? We're going to be the high-value provider of information management. So pricing policy and procedures are real important, and we control a lot of that. We control cost of living adjustments. We control compliance. We expect Release 16 -- Release 16 has 7 enhancement packs to it. So each of these enhancement packs are going to go extended support starting April 1. And over the next 2 to 3 years, all the enhancement packs will go into extended support. And as they do that, we can -- we have a clear policy, which we intend to implement that in year 6 our extended support fees go up 10%. Our extended support fees in year 7 got up 20%. And then in the outer years they go back to a standard COLA. We control that. We also control how we do renewals. We believe it should be direct. We did diligence a lot of companies, and they run pretty -- we see sloppy practice, right? We're not going to -- we run our renewals -- we run our renewals as a direct practice. We also control partner discounting and how we bring partners into our ecosystem. So that's [ how ] we control pricing there, as well as the value in the private cloud and how we set prices in the public cloud. So it's a very insightful question that we -- it's pricing, it's practices and it's policies. But our guidance -- our internal guidance is we're the high-value provider. We're not the low-cost provider. We're not the discount shop, and we're going to continue to go after the high-value clients, the marquee accounts and the lion's shares of profit in this market.

Great. Mark, the next question comes from Thanos at BMO. He's asking that -- his understanding is that 21.4 release, the Content Cloud, is going to move to a multi-tenant architecture, and he's asking us to expand on what the implications are for that. Is that going to help us drive incremental efficiency with respect to customer [ relations ] and support? And what are the implications for margins?

Yes. So by 21.4, Cloud Edition is 21.4, Content Cloud will be completely available as a public cloud option. Many components are available today already as a public cloud option. Capture is available as a public cloud option. Archive and Records Management is available as a public cloud option. By 21.4, the suite will be available as a public cloud option. It'll be -- and this is one -- and Muhi, maybe I'd like you to jump in, but this is one code line. And many ways to deploy over 21.4 for cloud -- for the Content Cloud, it will now be a full public option. And then I'll come back to maybe the economics on that. So Muhi, maybe over to you for a moment?

Yes. You will see, as Mark highlighted, all the capabilities become available in the public cloud, but you will see new integration and automation into AI and machine learning to better ingest content and automate the processing of content, identification of PII data, identification of content based on business rules that can be defined for different industries. You will see a lot more capabilities come also into the public cloud. Back to you, Mark.

Yes. Thank you, Muhi, and it's a great point. So point one is, to be clear, Cloud Editions 21.4 will be a -- we will be complete with the public cloud option for Content Cloud. Muhi highlighted, ever appropriately so, that it's actually more features because we're able to take care of -- able to take leverage from a lot of native cloud capabilities that we weren't able to do off-cloud. So it's a great point. Economically, we see this as an additive revenue stream. Many customers are going to remain on Release 16, and they can run it off-cloud. They can run it as a private cloud. They can expand capability either in our private cloud or in the public cloud, or they can add new workloads and new users in any of these deployment choices. So it's a big day for us in CE 21.4, that Content Cloud will be available both off-cloud, private cloud, fully public cloud and as a set of API services. And it will be full customer choice on how they want to deploy, and we see it as additive revenues. We're not substituting revenues.

Great. The next question comes in from Dan Chan at TD. And his question is around the SMB market, is if more SMBs start using MSPs, is there a risk that MSPs deploy more enterprise-level solutions like CrowdStrike's, since they have to manage it?

No. And I'll hand this over to Prentiss in a moment. We've built our whole business. Carbonite, Webroot, BrightCloud is completely built around RMMs and MSPS. So that's really our -- we don't -- we really don't go direct to SMBs, right? We go through the channel to SMBs. So our -- the -- our unified consult, our endpoint platform, our incentives, our route to market is all built around supporting and enhancing that channel of RMMs and MSPS. Prentiss, anything you'd like to add there?

Yes. I totally agree with what you just said, Mark. We have not seen that as an issue or a threat. And furthermore, we see the end-to-end opportunity that we bring to bear as being much stronger than anything those other providers can bring to the table. So we're confident about the value we're bringing both to the MSP and to the RMM.

And if I can just add to that because I think it's a very important question. Muhi, anything you'd like to -- if we were all on stage live, and we look forward to doing that real soon in person, I would be handing the microphone around. But I think we can do this digitally. So Muhi, anything you want to talk about on the unified endpoint platform, and the importance [ of it ]?

Yes. Thank you, Mark. One of the things that we are developing that will add even more value and allow us to play even bigger in the market with the RMMs is the ability to create unified account management and unified entry point in all the products. Carbonite, Webroot, BrightCloud, will all have common integration in account management, subscription management, interaction with our support operation team and many other capabilities, making it easier for the RMM who are servicing bigger companies to add value to their customers while we add value to [ them ]. Mark, back to you.

Harry, back to you.

Thank you. We have a question from Loomis Sayles. They were asking that some investors saw the organic revenue decline over the last few quarters a little bit surprising and particularly related to business network volumes. And they were wondering, can you elaborate a bit on our business network assumptions going forward on our organic growth target?

We talked about on the last earnings call, we believe we're at -- we see ourselves at pre-COVID levels now on our business network, except for a few affected industries -- entertainment, hotels, hospitality -- but even that volume is picking up. So I think we're at a -- for the most part, we're at pre-pandemic levels, which is great. Now we've added new features, new capabilities that we're going to grow from. We have very specific features around sustainability. And I know we're all very focused on the pandemic, as we should be. But there is an equally large, if not greater challenge, that's happening conjunctively, which is the environment. So the ability to have sustainability, ethical supply chain support the circular economy, finding -- leveraging your supply chain for reuse, replanting, regrowing in other capabilities, and ranking your suppliers, et cetera. So we have specific features to help you build greener and more sustainable supply chains. The other big piece of features I want to highlight, which will add to growth, is global commerce. After the Great Recession, supply chains move to just-in-time. And with the pandemic, supply chains are regionalizing and sort of building their own ecosystem clusters. So it's really important that we can support supply chains that are global. And I may be off by a few here, but I think we're up to 70 countries that we can support in our business network for tax, transportation, logistics, landing, electronic invoicing, interface to government for regulatory and taxation authorities. So we can support the movement of supply chains globally. This has been a lot of work that we put into the supply chain. So how are we going to support that growth? We're back to pre-pandemic levels for the vast majority of the industries. Few more still a way to go. We think sustainability and global commerce will contribute into our organic growth. We believe that business network will grow organically, and it is part of our targets. And if I can, I'm going to hand it to Ted, because Ted owns the business and Ted, anything you'd like to add?

I think you got it, Mark. I was just seeing if we missed anything. So we talked about getting back to pre pandemic levels, for sure, e-invoicing, which is a critical part of the growth in my presentation. We saw a lot of supply chain disruption, and our new analytics tools helps us to build adaptive supply chains for customers. And we're also seeing new supply chains. I gave the example of electrification for the autos that are building new supply chains, and our active applications, which we -- which bring new value to customers who are already on our training grid. So I think we got it. I think we got it there.

Ted, if I could just ask one. I mean, I really like this slide from you right here, supply chain.

Yes. Yes, supply chain.

[ Maybe you could touch ] on that one for a moment.

Yes. Well, we're very proud. I mean, the -- I guess, we call it -- I might call it my Pokemon's [Technical Difficulty] catch 'em all. So 21 out of 25 isn't bad, like it to be 25 out of 25. But they are some of the largest and most complex supply chains on earth. And they put a huge amount of trust in OpenText to provide them with frictionless, adaptive supply chain solutions. And as I sometimes say when I'm introducing business networks, is it's very unlikely that our audience won't consume at least one item that has come across our supply chain and the business network cloud. And I can't see what brand of water you're drinking, you just took a drink out of, Mark. But no doubt that will have come through our supply chain. So just winning the 21 out of the 25 is amazing to have them put their trust in us, in some cases, for many, many years. Others are new. But also when we do win those customers, they become our customers for decades. And they continue to come back to us for more value, more consumption and for new solutions with our active applications that we sell [ them, so ].

Fair enough. Thank you. Harry?

Thanks, Mark. The next question is on our -- congratulating us on our first sustainability report, and they noted -- this is from [ Aquio ]. They noted that regarding risk management that we set a short-term greenhouse gas emission reduction target in 2023. But the question is around, are we considering adopting a net zero carbon footprint by 2050 in line with the Paris Agreement?

Yes. Let me maybe kick that off and then hand it to Gordon. In our corporate citizenship report, we have a handful of very important initiatives for the company. The first is, of course, talent. And the pandemic has changed us all, and we think it's changed us for the better. And one of the aspects is we can widen the aperture of where we can recruit from. We're no longer tethered to a physical space. So we can -- as I like to say in Canada, go from coast to coast to coast and open up our recruiting, and that's what we're doing. And that allows us to kind of widen the aperture for equity, diversity and inclusion. Gender equity, race equity, really important to us. Social justice, sustainability, ethical supply chains and procurement, not just supporting them but living the practice. And we're going to evaluate longer term both our carbon footprint, and we had Al Gore join us at our OpenText World, and it was just a riveting talk about various strategies of managing CO2 and methane, actually, but it's more relevant of carbon for us. So the short answer is we have -- there are 4 or 5 things that are really, really important to us, the environment being one of them. And we're going to evaluate kind of the long-term approach. But we wanted to be impactful, right? I think it's more than planting trees. So what we're -- we're thinking very sustained and very impactful with the long-term approaches to carbon. Gordon, anything you'd like to add here?

Mark, I would maybe just underscore opening the aperture, I think, is something to focus on because that will impact our impact on the environment as well and the targets that we set in the various areas that I set out and that are set out in more detail in our corporate citizenship report. But I'd also note that, as Mark said, that it's a foundational document for us. We did want to get our story out, and there's a lot of good things to talk about that OpenText has been doing over the years. But we've set a foundation as well in this area with the corporate citizenship report, and we intend to build on that year-over-year.

Thank you. Thank you, Gordon.

Mark, the next question comes from Leith Wheeler. And they're asking how we go about setting the investment in R&D dollars across our broad portfolio.

I'm going to hand the question maybe directly to Madhu, right? And maybe she can talk a bit about the operating excellence and how we're looking at supporting kind of those financial targets.

Yes. Thank you, Mark, and thank you, Harry. How [Technical Difficulty] [ we're looking ] to invest R&D across a broad portfolio. Muhi is my partner on this, hugely. So are Ted, and [Technical Difficulty] [ Dain ] from a customer perspective. As I said, we spend a lot of time on the products and the product families, who's getting fed what and how much and what returns are they producing. So it is a continuous exercise. And you should expect that, from a broad category perspective, cloud is going to get the majority of investment, but so are going to be the other lines of products or product families. And the innovation you heard about, the integrated platform from printers. So again, if we sort of cull out and itemize what you heard today as the priorities are where the dollars will go, while we do have sort of a broader financial envelope to take care of and invest across the board as well. And Muhi, do you agree?

100% agree. One thing I would like to highlight, as Madhu articulated, is as we innovate in the cloud, our off-cloud customers benefit because they adopt our Cloud Edition solution. For example, the Chevron customer story I shared with all of you highlight where -- how we're taking care of our customers who are in the off-cloud because they continue to take innovation from us that we are leveraging in both the off-cloud and the cloud.

And Harry, if I can add one piece to this, which I think is really important is, if you go back a few years, we were roughly 10%, 10.5% R&D investment. If we look to next year, we could be up to 14%. So that's a big improvement -- I mean that's a big increase in investment as a percent of revenue over a % of years. This is a very important message that we had in the presentation as well, which is accelerating growth, and particularly over here, building into product design, scaling the company. So that 14%, up to 14%, is going to go further than the previous 10% did. Because we're building in automation, we're building in scale into the product. So I would just -- I wanted to highlight a few years ago, we were at 10%, 10.5%, up to 14% next year. But that 14% is even going to go further because of Muhi's innovations in designing in, as a cloud company, kind of this self-perpetuating scale.

And Mark, we're at the top of the hour, we have many questions left, but we have one here on -- with us in our road map with 21.4 and future products being fully cloud, do we anticipate customers migrating from off-cloud to cloud? And what impact will that have on our $1.3 billion annual customer support business?

Yes, it's a big question, and it's pretty straightforward. Let me try to answer it comprehensively. We expect license to be constant through time, and maintenance is more than just product updates. And we've got to keep educating and evangelizing that. That is not just an update. It's the right to all future versions, either off-cloud or in the private cloud. It's security enhancements. It's knowledge, regardless of where you deploy, and it's security. And we purchased a security training and awareness building -- business inside of Carbonite that we [ extend ] to have part of that service over time as well. So Release 16 begins to go extended support in April. That is a business opportunity for us, to keep supporting the investment off cloud, the optimized program being managed services to off-cloud. There will be a portion of the installed base that does migrate to our private cloud, our public cloud or to our API services. I took a note. We talked a lot about Nestlé. Nestlé is actually running off cloud, in the private cloud, in our public cloud and through our API services today. They're actually hitting all 4 boxes. Chevron is both off cloud and private cloud. The ECB is off cloud and public cloud. McKesson is off-cloud, private cloud and API services, and Cisco is 100% public cloud for us today. So with Release 16, it is an opportunity to support the investment. I think the majority of Release 16 customers are going to stay in place with their core investment and then wrap around new additional revenues and services. So we expect [ band business ] to grow. And that's built into our growth case.

Mark, we've reached the top of the hour. Would you like to make any closing comments?

Yes. Sounds great. First of all, thank you all for joining us today. The last year has changed us all, we think at OpenText for the stronger. We're more focused and even more passionate about our future, as you can see. Modern work, modern experiences, sustainable global supply chain security is only going to help us in our growth quest. Today was completely live. So there may be a few glitches in the streaming, but we're live from California, Colorado and Canada, and this is just a 100% live event through our digital zone. I hope you've seen our F '24 aspirations, right? Up to 4% total revenue organic growth, near 30% free cash flow yield and upper quartile EBITDA. And what I hope you can see today was in support of those aspirations, hearing directly from myself and the leadership team. And that you can see -- what I see inside out, you can now see outside into the company in support of our F '24 aspirations. The team enjoyed being with you today. We were looking forward to this enormously. We hope to be in person soon, and I know we will be. Stay healthy, stay well, stay happy, and I will speak to you soon. Thank you for joining us today. Thank you, everyone.

Thank you, everyone. Thank you.