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REVENUES
 6 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
REVENUES REVENUES
Disaggregation of Revenue
We have four revenue streams: cloud services and subscriptions, customer support, license, and professional service and other. The following tables disaggregate our revenue by significant geographic area, based on the location of our direct end customer, by type of performance obligation and timing of revenue recognition for the periods indicated:
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
Total Revenues by Geography:
Americas (1)
$708,440 $765,857 $1,442,016 $1,494,100 
EMEA (2)
496,726 449,068 935,528 868,299 
Asia Pacific (3)
121,570 119,575 237,327 241,106 
Total revenues$1,326,736 $1,334,500 $2,614,871 $2,603,505 
______________________
(1)Americas consists of countries in North, Central and South America.
(2)EMEA consists of countries in Europe, the Middle East and Africa.
(3)Asia Pacific primarily consists of Australia, Japan, Singapore, India and China.
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
Total Revenues by Type of Performance Obligation:
Recurring revenues (1)
Cloud services and subscriptions revenue
$478,084 $462,306 $962,593 $919,330 
Customer support revenue
581,921 590,595 1,168,766 1,186,085 
Total recurring revenues
$1,060,005 $1,052,901 $2,131,359 $2,105,415 
License revenue (perpetual, term and subscriptions) 184,227 188,923 318,775 314,736 
Professional service and other revenue82,504 92,676 164,737 183,354 
Total revenues$1,326,736 $1,334,500 $2,614,871 $2,603,505 
______________________
(1)Recurring revenue is defined as the sum of Cloud services and subscriptions revenue and Customer support revenue.
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
Total Revenues by Timing of Revenue Recognition:
Point in time $184,227 $188,923 $318,775 $314,736 
Over time (including professional service and other revenue)1,142,5091,145,577 2,296,096 2,288,769
Total revenues$1,326,736 $1,334,500 $2,614,871 $2,603,505 

Revenue by Product Categories
We have seven product categories (previously referred to as business clouds) as part of our Information Management solutions: Content, Business Network, IT Operations Management (ITOM, also known as Observability and Service Management (OSM)), Cybersecurity (Enterprise), Cybersecurity (Small and Medium-Sized Businesses (SMB) & Consumer), Application Delivery Management (ADM, also known as DevOps), and Analytics. The following table disaggregates total revenue and total cloud services and subscription revenue by product category for the periods indicated. The Company believes this presentation is useful as it provides additional information:
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
Total Revenues by Product Categories
Content$573,335 $548,656 $1,096,799 $1,055,547 
Business Network159,770 159,479 320,481 316,699 
ITOM
113,262 114,095 226,706 234,304 
Cybersecurity (Enterprise)174,483 192,842 355,230 363,401 
Cybersecurity (SMB & Consumer)127,646 135,183 259,373 273,583 
ADM (1)
120,125 123,333 242,221 242,279 
Analytics58,115 60,912 114,061 117,692 
Total revenues by product categories
$1,326,736 $1,334,500 $2,614,871 $2,603,505 
Total Cloud Services and Subscriptions Revenue by Product Categories
Content$137,907 $116,626 $273,519 $228,916 
Business Network151,379 150,036 303,578 297,604 
ITOM
7,843 4,709 14,606 8,979 
Cybersecurity (Enterprise)17,939 21,047 38,956 42,344 
Cybersecurity (SMB & Consumer)117,337 123,853 238,658 251,082 
ADM (1)
27,933 26,810 59,100 51,813 
Analytics17,746 19,225 34,176 38,592 
Total cloud services and subscriptions revenues by product categories
$478,084 $462,306 $962,593 $919,330 
______________________
(1)ADM was previously named Application Automation.
Contract Balances
A contract asset, net of allowance for credit losses, will be recorded if we have recognized revenue but do not have an unconditional right to the related consideration from the customer. For example, this will be the case if implementation services offered in a cloud arrangement are identified as a separate performance obligation and are provided to a customer prior to us being able to bill the customer. In addition, a contract asset may arise in relation to subscription licenses if the license revenue that is recognized upfront exceeds the amount that we are able to invoice the customer at that time. Contract assets are reclassified to accounts receivable when the rights become unconditional.
The balance for our contract assets and contract liabilities (i.e. deferred revenues) for the periods indicated below were as follows:
As of December 31, 2025As of June 30, 2025
Short-term contract assets
$73,965 $77,920 
Long-term contract assets
55,133 49,293 
Short-term deferred revenues (1)
1,456,883 1,515,382 
Long-term deferred revenues (1)
165,191 168,757 
______________________
(1)Excludes $11.8 million of short-term deferred revenues and $0.2 million of long-term deferred revenues that have been reclassified to Liabilities held for sale as of December 31, 2025, related to the divestiture of the eDOCS business that closed on January 12, 2026. See Note 17 “Acquisitions and Divestitures” and Note 24 “Subsequent Events” for more details.
The difference in the opening and closing balances of our contract assets and deferred revenues primarily results from the timing difference between our performance and customer payments. We fulfill our obligations under a contract with a customer by transferring products and services in exchange for consideration from the customer. During the six months ended December 31, 2025, we reclassified $67.8 million (six months ended December 31, 2024 — $57.3 million) of contract assets to receivables as a result of the right to the transaction consideration becoming unconditional. During the three and six months ended December 31, 2025 and 2024, respectively, there was no significant impairment loss recognized related to contract assets.
We recognize deferred revenue when we have received consideration or an amount of consideration is due from the customer for future obligations to transfer products or services. Our deferred revenues primarily relate to cloud services and customer support agreements which have been paid for by customers prior to the performance of those services. The amount of revenue that was recognized during the six months ended December 31, 2025 that was included in the deferred revenue balances at June 30, 2025 was $1,128 million (six months ended December 31, 2024—$1,131 million).
Incremental Costs of Obtaining a Contract with a Customer
Incremental costs of obtaining a contract include only those costs that we incur to obtain a contract that we would not have incurred if the contract had not been obtained, such as sales commissions. The following table summarizes the changes in total capitalized costs to obtain a contract, since June 30, 2025:
Capitalized costs to obtain a contract as of June 30, 2025
$129,026 
New capitalized costs incurred33,223 
Amortization of capitalized costs(25,188)
Impact of foreign exchange rate changes437 
Capitalized costs to obtain a contract as of December 31, 2025
$137,498 
During the three and six months ended December 31, 2025 and 2024, respectively, there was no significant impairment loss recognized related to capitalized costs to obtain a contract. Refer to Note 7 “Prepaid Expenses and Other Assets” for additional information on incremental costs of obtaining a contract.
Remaining Performance Obligations
Remaining performance obligations (RPO) represent contracted revenue that has not yet been recognized. They include amounts recognized as deferred revenue and amounts that are contracted but will be billed and recognized as revenue in future periods.
The following table provides RPO information as of December 31, 2025. The 12-month periods noted below are as of the dates presented, with the remaining balances recognized substantially over the next three years thereafter.

($ in billions)As of December 31, 2025
Total RPO (1)
$4.5 
% recognized as revenue over the following 12 months
60%
Cloud services and subscriptions RPO
$2.6 
% recognized as revenue over the following 12 months
48%
Customer support and other RPO (2)
$1.9 
% recognized as revenue over the following 12 months
76%
______________________
(1)RPO amounts presented may be impacted by certain estimates including currency fluctuations, estimates of customers’ deployment of contracted solutions, changes in the scope or termination of contracts, among other factors, and are therefore subject to change.
(2)Customer support and other RPO is primarily comprised of obligations related to customer support revenues, and to a lesser extent license, professional services and other revenues.
The table above includes RPO related to the divestiture of the eDOCS business, which are reported within Liabilities held for sale. As of December 31, 2025, the total RPO above includes $16.5 million of revenue from remaining performance obligations on existing contracts related to eDOCS, of which $15.9 million relates to Customer support. Approximately 97% of the total RPO related to eDOCS is expected to be recognized over the next 12 months.