Content-management software maker
warned after the bell Monday that fourth-quarter revenue and earnings would fall short of guidance.
Waterloo, Ontario-based Open Text also said it is reorganizing itself, resulting in a restructuring charge of $20 million to $30 million in the upcoming quarter. Shares of Open Text fell 8.4% to $13.80 on Instinet in after-hours trading after closing up 39 cents, or 2.7%, at $15.06.
Open Text said it expects fourth-quarter revenue to range from $108 million to $112 million, short of the previous range of $115 million to $125 million but still up from $105 million in the same period a year ago. As a result of the lower sales, Open Text said it expects adjusted earnings to also fall below previous guidance, forecast in May to range from 30 cents to 40 cents a share.
The results also sit below analyst estimates. Analysts polled by Thomson First Call were calling for Open Text to earn 33 cents a share on $119.7 million in revenue.