About Micro Focus Software Inc.
Time to update that application? Call Micro Focus. The company helps clients migrate old software (ones written in COBOL and other legacy computer languages) to more modern software platforms, without the need to replace or rewrite code for core applications. The company provides software used to analyze, develop, integrate, test, and deploy modernized mainframe applications on flexible operating systems such as cloud computing. Principal brands include Attachmate, Borland, Micro Focus, Net IQ, Novel and SUSE. Micro Focus has helped more than 18,000 companies, including
Micro Focus operates two product portfolios: Micro Focus and SUSE.
The Micro Focus Product Portfolio, representing around 80% of revenue, includes five sub-portfolios: COBOL Development and Mainframe Solutions (CDMS), Host Connectivity, Identity Access & Security, Development & IT Operations Management Tools, and Collaboration & Networking. CDMS is the largest of the five by revenue, and brings in around 20% of overall revenue. It allows customers to deploy programs written in COBOL across Windows, UNIX, Linux and the Cloud. Identity & Access, which brings in 17% of total revenue, allows customers to apply security policies across local, mobile and cloud platforms. Micro Focus charges a fee for license, maintenance and consultancy for all its products.
SUSE, which brings in around 20% of revenue, offers Linux and Open Source-based technologies including server, cloud, storage and workstation applications. Use cases include UNIX to Linux migration, data center consolidation, cloud computing infrastructure, high performance computing, and software-defined innovations in fields such as the Internet of Things where Linux is the de facto operating system.
Based in Berkshire, UK, Micro Focus' largest market is North America, which accounts for more around 50% of revenue. Micro Focus has operations in more than 20 countries.
Note: Growth rates may differ after conversion to US Dollars .
Revenue grew substantially in fiscal 2016 (year ended 30 April) due to a few major acquisitions. Revenue of $1.2 billion was nearly 50% up on prior year due to the Attachment Group acquisition. However, when factoring that out, underlying revenue was down 2%.
Net income was up significantly also for the same reason, coming in at $184.6 million for the year versus $90.2 million in fiscal 2015. Cash flow from operating activities was up 19% in fiscal 2016.
Micro Focus revised its organizational structure in 2015, reducing its formerly four operating segments into two: Micro Focus and SUSE. The Micro Focus segment is now further divided into five sub-portfolios based on industrial logic.
The stimulus behind the reorganization was the takeover of The Attachmate Group (TAG), a Houston-based IT integration company, in Q4 2014. TAG brought with it Attachmate, NetIQ, Novell and SUSE brands, the latter becoming a segment of its own. The acquisition significantly increased Micro Focus' scale, with the combined company ringing up $1.4 billion in revenue a year.
In 2016, Micro Focus announced an agreement to acquire Hewlett Packard's non-core software business in a deal worth $8.8 billion. The deal makes Micro Focus one of the UK's largest tech firms, and repatriates
Mergers and Acquisitions
In 2019 Micro Focus acquired Canadian security analytics software company Interset. Interset's advanced machine learning and behavioral analytics will support Micro Focus' security, risk, and governance portfolio.
The company acquired HP's software business in 2016 in a deal worth $8.8 billion. The merger created one of the world's largest infrastructure software companies.
1800 Novell Pl
Provo, UT 84606-6101
Phone: 1 (801) 861-7000
Employer Type: Privately Owned
President General Manager: Bob Flynn
VP and General Manager, Asia Pacific: Boris Ivancic
President and General Manager: Kathleen Owens
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