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Oracle Financial Q3 Reports Exceed Expectations

Oracle (NASDAQ: ORCL), the biggest database maker, has ended a third financial quarter that exceeds analysts' prediction, mostly influenced by high numbers of sold software licenses. Joel Levington's (managing director at Brookfield Investment Management in NY) even says that these license selling expectations were surpassed by $100 million.

According to Oracle's officials, an important factor of revenue growth was a 7 per cent gain in the new software license sales, compared with the numbers received in the past quarter: $2.37 billion. Analysts only predicted a 3 per cent rise while the estimated 56 cents a share for profit rose to approximately 62 cents a share.

Comparing the net income of the company from the same quarter of the last year, Oracle sees an 18 percent increase, totaling $2.5 billion or 49 cents a share. The overall revenue is estimated to $9 billion, meaning a 3 percent increase from the past quarter.

Sources assume this rise was an effect of reorganizing sales, closing deals that were delayed in the past and also, an unseen improvement in the global economic situation.The increase of revenue can also be attributed to the sale of large computing database systems, developed by Sun Microsystems, now part of Oracle.

The current fiscal quarter ending in May could also be one of growth, as Oracle projects a share price between 76 and 81 cents, while analysts predict 76.

Once the official report hit the web, Oracle shares rose 1.5 per cent in after-hours trading and then up to $30.10, right before the New York stock market close.

Source: Oracle