Oracle Surpasses Revenue Expectations
CBJ — Business software maker Oracle has reported a higher-than-expected revenue in the fourth quarter, boosted primarily by a surge in sales from its cloud business.
Shares of the company are up 2.5%.
Oracle has focused on moving its business towards the cloud-computing model, essentially providing services remotely via data centers rather than selling installed software. It’s a strategic move that has also been embraced by competitors such as Microsoft, IBM and SAP.
Total revenue from company’s cloud-computing software and platform service rose 49% to $859 million in the fourth quarter ended May 31.
The company’s total revenue fell 1% to $10.59 billion, beating analysts’ average estimate of $10.47 billion.
Oracle’s net income rose to $2.8 billion, or 66 cents per share, in the quarter ended May 31, from $2.76 billion, or 62 cents per share, a year earlier.