Oracle Earnings: Here’s Why Investors are Not Happy Now
Oracle Corp. (NASDAQ:ORCL) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 7.84%.
Oracle Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 4.84% to $0.65 in the quarter versus EPS of $0.62 in the year-earlier quarter.
Revenue: Decreased 0.9% to $8.96 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Oracle Corp. reported adjusted EPS income of $0.65 per share. By that measure, the company missed the mean analyst estimate of $0.66. It missed the average revenue estimate of $9.38 billion.
Quoting Management: “This month we will begin deliveries of servers based on our new SPARC T5 microprocessor: the fastest microprocessor in the world,” said Oracle CEO, Larry Ellison. “The new T5 servers can have up to eight microprocessors while our new M5 system can be configured with up to thirty-two microprocessors. The M5 runs the Oracle database 10 times faster than the M9000 it replaces.”
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