Oracle shares sink nearly 5% after third quarter revenue miss
Safra Catz, CEO of Oracle and then one of Oracle’s two co-CEOs, smiles at Oracle’s OpenWorld conference in San Francisco on September 20, 2016.
David Paul Morris | Bloomberg | Getty Images
Oracle shares fell nearly 5% after the enterprise tech giant reported its financial results for its fiscal 2023 third quarter.
Here’s how the company did it:
- Employment: $1.22 per share, adjusted, versus $1.20 per share as analysts had expected, according to Refinitiv.
- Income: $12.40 billion vs. $12.42 billion as analysts expected, according to Refinitiv.
Oracle’s total sales jumped 18% year over year in its latest quarter.
For the third quarter ended Feb. 28, net income fell to $1.90 billion, or 68 cents a share, from $2.32 billion, or 84 cents a share, a year earlier. On an adjusted basis, Oracle earned $1.22 per share, exceeding the analyst estimate of $1.20 per share.
Its operating income was $3.3 billion in the quarter, marking an 18% decline from the $2.3 billion it recorded a year earlier in the third quarter. The company said that had it not been for the impact of the strong dollar, its adjusted earnings would have been 5 cents per share higher.
Oracle’s total operating expenses jumped 37% year over year to $9.2 billion.
“Oracle’s non-GAAP earnings per share growth hit the high end of our guidance – up 13% in constant currency to $1.22,” Oracle CEO Safra Catz said in a statement. “Our strong quarterly earnings growth was guidance with 48% constant revenue growth for the total revenue of our two cloud businesses, infrastructure and applications.”
Watch: Oracle misses on top line