Safra Catz, then co-CEO of Oracle Corp., speaks during the Oracle OpenWorld conference in San Francisco on September 20, 2016.
David Paul Morris | Bloomberg | beautiful pictures
Oracle Shares rose nearly 9% in extended trading Monday after the database software company released fourth-quarter financial results that beat analysts’ expectations.
Here’s how the company did it:
- Income: According to Refinitiv, $1.54 per share, adjusted, compared with $1.37 as expected by analysts.
- Turnover: $11.84 billion, compared with $11.66 billion as forecasted by analysts, according to Refinitiv.
Revenue grew 5% from a year earlier, driven by growth in the company’s cloud infrastructure business, which competes with Amazon Web Services and Microsoft Azure.
Oracle speak That unit increased sales by 36%, bringing total cloud revenue by 19% to $2.9 billion. Based on Synergy research team, Oracle did not make the list of the top five cloud infrastructure providers globally as of the end of last year. But the company touted its ability to not only attract old customers to its cloud products, but also attract new customers.
CEO Safra Catz said in a statement that the company has seen a “massive increase in demand” for its cloud infrastructure.
“We believe this spike in revenue growth shows that our infrastructure business has now entered a phase of super growth,” said Catz.
Before the after-hours opening, Oracle stock was down 27% for the year, slightly ahead of Nasdaq, which was down 31%.
Oracle’s earnings review is especially important as investors focus on companies that can generate profits and cash during a downturn.
CLOCK: Oracle beat estimates
