Oracle (ORCL) reported quarterly results late Tuesday that beat on the top and bottom lines and showed its best revenue growth in six years. Oracle stock fell.
The database software giant reported adjusted earnings of $1.54 a share on revenue of $11.2 billion. Analysts expected Oracle to report earnings of $1.31 a share on revenue of $11 billion, according to FactSet’s consensus of analyst estimates. Revenue rose 8% from the year-ago period, Oracle’s best quarterly growth in six years.
Oracle stock fell 2.3%, near 79.80, during after-hours trading on the stock market today. The results were for its fiscal fourth quarter ended May 29.
Over the past several years, Oracle has transitioned from an antiquated business of on-premises database software licensing and maintenance to a subscription-based software model that taps the benefits of cloud computing.
Oracle Stock: Benefits Of Cloud Computing
Oracle’s top segment by revenue, cloud services and license support, climbed 8% from the year-ago period to $7.4 billion. That beat the FactSet consensus estimate of $7.32 billion. Cloud license and on-premise license revenues were up 9% to $2.1 billion.
Oracle stock hit a record high last week, then pulled back. In addition, the stock is up 30% this year.
“Our Q4 performance was absolutely outstanding with total revenue beating guidance by nearly $200 million, and non-GAAP earnings per share beating guidance by 24-cents,” Oracle Chief Executive Safra Catz said in written remarks with the earnings release.
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