Oracle Rides to More Multiyear Highs After Q1 Results
Oracle reported fiscal first-quarter earnings per share of $0.93 and $9.37 billion in revenue after markets closed Thursday. Results beat both top- and bottom-line estimates.
Oracle Corp. (NYSE: ORCL | ORCL Price Prediction) released fiscal first fiscal quarter financial results after markets closed Thursday. The firm reported $0.93 in earnings per share (EPS) and $9.37 billion in revenue which compared with consensus estimates of $0.86 in EPS and revenue of $9.19 billion. In the fiscal first quarter of last year, the software giant reported EPS of $0.81 on $9.22 billion in revenue.
Total quarterly revenues were higher by 2%, and up 2% in constant currency, compared to the same period of last year. Cloud Services and License Support revenues totaled $6.95 billion, while Cloud License and On-Premise License revenues were $886 million.
Management noted that Oracle’s cloud applications businesses continued their rapid revenue growth with Fusion ERP up 33% and NetSuite ERP up 23%. The company now has 7,300 Fusion ERP customers and 23,000 NetSuite ERP customers in the Oracle Cloud. The infrastructure businesses are also growing rapidly as revenue from Zoom more than doubled from the fiscal fourth quarter to this fiscal first quarter.
At the same time, short-term deferred revenues were $9.9 billion. Operating cash flow for the trailing 12 months was $13.1 billion.
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The board of directors declared a quarterly cash dividend of $0.24 per share of outstanding common stock. This dividend will be paid to stockholders of record as of the close of business on October 8, with a payment date of October 22.
On the books, cash, cash equivalents, and marketable securities totaled $42.3 billion at the end of the quarter, versus $43.1 billion at the end of the previous fiscal year.
The company did not issue any guidance for the fiscal second quarter. Analysts are calling for $0.94 in EPS and $9.59 billion in revenue for the coming quarter.
Oracle stock closed Thursday at $56.80, in a 52-week range of $39.71 to $59.32. The consensus price target is $55.20. Following the announcement, the stock was initially up about 6% at $60.02 in the after-hours session.
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Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics. Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications. A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.
