June 11 (Reuters) - Telecommunications infrastructure

company Crown Castle ( CCI ) on Tuesday cut its annual profit

forecast and said it will reduce its workforce by 10% as a

result of an operational review of its fiber business.

Crown had initiated a strategic and operating review of its

fiber business, which made up about 32% of the company's revenue

in the quarter ended Mar. 31, in December last year after

reaching a deal with activist investor Elliott Investment

Management.

Elliott, which disclosed a $2 billion stake in the company

in November, had been pushing Crown to consider selling the

fiber business. As part of the deal, Crown also replaced two

board directors.

The Houston, Texas-based company said it expects to reduce

gross capital expenditures at its fiber segment by $275 million

to $325 million in 2024 and expects annual organic revenue

growth of about 3% in the fiber solutions segment beginning in

2025.

The move is expected to save Crown, which runs 90,000 route

miles of fiber in the U.S., $100 million in annualized run-rate

cost savings.

Last year, the company had initiated a restructuring plan

which included reducing total headcount by 15%.

It also plans to concentrate on areas close to its existing

networks and increase its focus on specific wireless projects.

The company said while it has concluded its operational

review, the strategic review of the business is remains

underway.

Crown revised the midpoint of its 2024 net income forecast

to about $1.16 billion, compared to the previous midpoint of

$1.25 billion.

Analysts on average expected a net income of $1.25 billion

for fiscal year 2024, according to LSEG data.

Crown Castle ( CCI ) co-founder and former CEO Ted Miller, who now

runs investment fund Boots Capital, said in February the company

could fetch as much as $15 billion by selling its fiber assets.