Financial Report Financial reports from the largest companies of the world

Oracle reported profit decrease

The technology concern Oracle reported in the second quarter of fiscal 2012 (to 30th November) modest revenue growth. They have risen only 2% to 8.8 billion dollars (6.7 billion), the company says the reason is the weak development of the hardware division. Its reported revenue decline of 14% to 953 million dollars. However, net profit rose by 17% to 2.2 billion dollars (1.7 billion) and earnings per share jumped by 6% to 0.54 dollars per share. The profit and revenue, however, remained below expectations of analysts who predicted a profit of 0.57 dollars per share on revenue of 9.23 billion dollars. Because this rate the shares of Oracle in additional trading hours after the session is dropped 9% to 26.56 dollars. Revenues from new software licenses between September and November were up only 2% to $ 2 billion. Updates of licenses and maintenance have contributed to the $ 4 billion to the total score, an increase of 8%. Currency fluctuations had a negative impact on results. According to Chief Financial Officer Safra Catz blamed for slow growth in new licenses are problems in the distribution. In late November, many contracts have been confirmed until the last minute. "To not happen over this, improved Distribution Management," she added.
For the second half of fiscal 2012 Oracle President Mark Hurd provides better results. In the first half were assigned more than 1,700 new employees in "Sales and Distribution." Along with new products such as Fusion Cloud ERP and Cloud CRM, will ensure strong growth, Hurd believes. For the current Oracle expects third quarter revenue growth rate between 4 and 7%. Earnings per share is expected to be between 0.56 and 0.59 dollars. Analysts expect it to be 0.58 dollars per share.