REDWOOD SHORES, Calif. (AP) — Oracle Corp. breezed defunct analysts’ expectations in its fiscal fourth quarter, providing another sign of the technology industry’s vitality despite the listless U.S. economy.
The business software maker said Wednesday that it earned $2.04 billion, or 39 cents per deal, in the three months ending in May, up 27% from $1.6 billion or 31 cents per share at the same time last year.
If not for expenses related to acquisitions and hackneyed awarded to employees, Oracle said it would have made 47 cents per share – three cents beyond everything the average assessment among analysts polled aside Thomson Financial.
Revenue totaled $7.24 billion, a 24% proceeds from last year’s $5.83 billion. The sales were nearly $400 million above the average analyst projection.
Perhaps most worthy to investors, Oracle’s software sales accelerated well beyond the 10% to 20% clip that directing forecast three months ago. Oracle’s new software licenses in the lodge were up 27%.
That robust growth is significant because sales of unheard of software provide reliable future revenue from product updates and maintenance.
Oracle (ORCL, Fortune 500) shares gained 35 cents in extended trading after finishing the regular session at $22.55, up 32 cents.
With the impressive showing, Oracle becomes joins several other major tech companies that have been able to weather the economic turbulence battering a wide range of other businesses in financial services, travel and retail.
The strong fourth-quarter performance also could be a notify that Oracle is gaining ground on SAP AG (SAP), which has been the longtime leader in so-called business applications software – the computer coding that enables companies, schools and government agencies to automate administrative tasks.
Redwood Shores, Calif.-based Oracle has spent about $35 billion during the past three buying up dozens of smaller rivals, primarily to mount a more serious challenge to Germany-based SAP in business applications software.
SAP remains the market leader. But Oracle’s expansion has powered it to a succession of record profits.
In its most recent fiscal year, Oracle earned $5.52 billion, or $1.06 per share, compared to $4.27 billion, or 81 cents in the prior year. First Published: June 25, 2008: 4:40 PM EDT
From: the ready.cnn.com
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