May 20, 2015 / 9:04 PM / 2 years ago

Open Text fourth-quarter adjusted profit forecast misses estimates

(Reuters) - Canadian business software maker Open Text Corp forecast current-quarter adjusted earnings per share way below average Wall Street estimate, anticipating negative impact from a strong dollar.

The company’s U.S.-listed shares fell 6.6 percent in extended trading.

The Waterloo, Ontario-based company also said it would cut its workforce by about 5 percent as it focuses on its cloud business.

The company employs over 5,000 people worldwide, according to its website.

The company also said Chief Executive Mark Barrenechea would resume his involvement in day-to-day operations after a three-month break to seek treatment for leukemia.

Open Text forecast fourth-quarter adjusted earnings of 64 cents to 72 cents per share on revenue of $440 million to $455 million.

Analysts on average expected the company to earn 89 cents per share on revenue of $487.8 million, according to Thomson Reuters I/B/E/S.

Up to Wednesday’s close of $49.00, Open Text’s U.S.-listed shares have fallen about 23 percent this year.

Reporting by Tanvi Mehta in Bengaluru; Editing by Don Sebastian

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