Filing Flows › Open Text (OTEX) › How it makes money
How Open Text (OTEX) makes money
Open Text (OTEX) made $1.2B of revenue in the first quarter fiscal 2027 (Q1 FY27), +2% from a year earlier. Cloud services and subscriptions brought in $505M (41%); Content brought in $163M (13%); Business Network brought in $161M (13%). Of every dollar of revenue, 73¢ was left as gross profit, 20¢ was left as operating profit, 13¢ was left as net earnings.
Drawing the Sankey…
Revenue by segment, Q1 FY27
| Segment | Revenue | Share | Q/Q | Y/Y |
|---|---|---|---|---|
| Cloud services and subscriptions | $505M | 40.9% | — | +4% |
| Content | $163M | 13.2% | — | +21% |
| Business Network | $161M | 13.0% | — | +0.2% |
| Business Network | $154M | 12.4% | — | +1% |
| Cybersecurity (SMB & Consumer) | $128M | 10.3% | — | -9% |
| License | $124M | 10.0% | — | -8% |
Where each dollar of revenue goes
| Line | Q1 FY27 | % of revenue |
|---|---|---|
| Revenue | $1.2B | 100.0% |
| Cost of revenue | $331M | 26.8% |
| Gross profit | $906M | 73.4% |
| Operating expenses | $655M | 53.0% |
| Operating profit | $251M | 20.3% |
| Income tax | $43.7M | 3.5% |
| Net earnings | $155M | 12.6% |
| Operating cash flow | $172M | 14.0% |
| Free cash flow | $139M | 11.2% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q1 FY27 | $1.2B | -4% |
| Q4 FY26 | $1.3B | +3% |
| Q3 FY26 | $1.3B | +2% |
| Q2 FY26 | $1.3B | -0.6% |
| Q1 FY26 | $1.3B | +2% |
| Q4 FY25 | $1.3B | -4% |
| Q3 FY25 | $1.3B | -13% |
From Open Text's 10-Q filed Nov 5, 2026 (on EDGAR).
Questions
How does Open Text make money?
Open Text (OTEX) made $1.2B of revenue in the first quarter fiscal 2027 (Q1 FY27), +2% from a year earlier. Cloud services and subscriptions brought in $505M (41%); Content brought in $163M (13%); Business Network brought in $161M (13%). Of every dollar of revenue, 73¢ was left as gross profit, 20¢ was left as operating profit, 13¢ was left as net earnings.
What is Open Text's biggest business?
Cloud services and subscriptions: $505M in the first quarter fiscal 2027, 41% of revenue, +4% from a year earlier.
What is Open Text's profit margin?
Net earnings were $155M, 12.6% of revenue, in the first quarter fiscal 2027; the operating margin was 20.3%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.