OpenText sees revenues soar more than 40 per cent in third quarter, income dips

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WATERLOO — Open Text Corp. says its net income was US$57.6 million in the third quarter, down 22.9 per cent from US$74.7 million a year earlier.

The Waterloo-based company, which reports in U.S. dollars, says revenues were US$1.24 billion, up 41.1 per cent from US$882.3 million a year earlier.

Earnings per diluted share were 21 cents U.S., down 25 per cent from 28 cents the same quarter last year.

CEO Mark Barrenechea said in a statement that the company's growth strategy and acquisition of Micro Focus helped deliver a record third quarter revenue.

Among the range of items eating into those soaring revenues were higher spending on research and development, sales and marketing and customer support.

Open Text's revenues for its fiscal year to date were up 15.5 per cent to US$2.99 billion, while net income was down 32.5 per cent to US$199.1 million.

This report by The Canadian Press was first published May 4, 2023.

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The Canadian Press