OpenText (Nasdaq: OTEX) reported earnings on Jan. 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q2), OpenText met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded and GAAP earnings per share grew significantly.

Gross margins dropped, operating margins increased, net margins grew.

Revenue details
OpenText notched revenue of $352.2 million. The 15 analysts polled by S&P Capital IQ hoped for revenue of $352.9 million on the same basis. GAAP reported sales were 9.6% higher than the prior-year quarter's $321.5 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $1.58. The 16 earnings estimates compiled by S&P Capital IQ predicted $1.37 per share. GAAP EPS of $1.04 for Q2 were 28% higher than the prior-year quarter's $0.81 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 71.7%, 200 basis points worse than the prior-year quarter. Operating margin was 19.7%, 90 basis points better than the prior-year quarter. Net margin was 17.4%, 260 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $345.5 million. On the bottom line, the average EPS estimate is $1.26.

Next year's average estimate for revenue is $1.39 billion. The average EPS estimate is $5.33.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 189 members out of 210 rating the stock outperform, and 21 members rating it underperform. Among 76 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 68 give OpenText a green thumbs-up, and eight give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on OpenText is outperform, with an average price target of $63.25.

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