Open Text Beats Estimates

Quarterly profit edges higher.

Author:: Ivy Lessner
Publish date:: Nov 1, 2007 5:26 PM EDT

SAN FRANCISCO -- Open Text (OTEX) - Get Report posted a strong first-quarter earnings report, beating estimates.

The Waterloo, Ontario, enterprise software company reported revenue of $164 million, or $165.3 million excluding items. Revenue was up 62% from $101.2 million in the year-ago quarter. Analysts polled by Thomson Financial were expecting a top line of $158.6 million.

Net income was $7.8 million, or 15 cents a share, vs. $7.3 million, or 15 cents, a year ago.

EPS, excluding items, was 43 cents. Analysts were looking for 37 cents a share after items.

The stock was recently up $1, or 3.2%, to $32.50 in after-hours trading.

License revenue rose 54%, to $44.3 million.

The company plans to make a lump sum prepayment of $30 million in acquisition-related debt, bringing the total down to $296.3 million, CFO Paul McFeeters said in a statement.