Baystreet Staff -

Post Earnings Coverage: Oracle Rides on Cloud


LONDON, UK / ACCESSWIRE / June 17, 2016 / announces its post-earnings coverage on Oracle Corp. (NYSE: ORCL). The company reported fourth quarter 2016 financial results on Thursday, June 16, 2016. The business software maker's earnings met analysts' expectations. The company's revenue was higher than expected as sales in its cloud business surged. Oracle also expanded its margins during the reported quarter. Register with us now for your free membership and see our complete earnings coverage on this equity at:

Today, is promoting its earnings coverage on ORCL. Get all of our free coverage by signing up to

Earnings Breakdown

For the quarter ended on May 31, 2016, Oracle reported net income of $2.81 billion, or $0.66 per share, up from $2.76 billion, or $0.62 per share, in the year ago period. Adjusted for certain items, earnings were $0.81 per share, marginally lower than analyst's estimates of $0.82 per share. The enterprise technology company reported revenue for Q4 FY16 at $10.59 billion, as compared to revenue of $10.71 billion in the year ago period, beating analysts' consensus estimate of $10.47 billion.

Oracle, once considered a bellwether of the business technology sector, is transitioning towards the cloud-computing model, where instead of selling installed software, the company provides services remotely via data centres. With this move it now competes in the Cloud space against Microsoft Corp. (NASDAQ: MSFT), SAP SE, International Business Machines Corp. (NYSE: IBM),, Inc. (NYSE: CRM) and Workday Inc. (NYSE: WDAY).

For Q4 FY16, Oracle reported that revenue for its Cloud software as a service (SaaS) and platform as a service (PaaS) was $690 million up 68% in constant currency basis. For Q4 FY16, Oracle reported total Cloud revenues, also comprising infrastructure as a service (IaaS), at $859 million, up 51% on constant currency basis.

Oracle's Chairman, Larry Ellison, outlined on Thursday the company's goal to become the first cloud company to reach $10 billion in SaaS and PaaS revenue. Oracle has acquired cloud companies Textura and Opower in April and May 2016, respectively, adding to its burgeoning cloud portfolio.

Oracle added more than 1,600 new SaaS customers and more than 2,000 new PaaS customers during Q4 FY16. The tech company forecasted that revenue from the two divisions will surge between 75% and 80% during Q1 FY17. Revenue from Oracle's on-premise software business remained flat on y-o-y basis at $8.4 billion, during Q4 FY16; this, however, still makes up three quarters of Oracle's total revenues.


Oracle announced a dividend pay-out of $0.15 per share in the earning release. The dividend would be payable on July 27, 2016 to shareholders on record as of the close of business on July 06, 2016.

Stock Performance

Pre-earnings and at the close of yesterday's session, Oracle was up 0.52%, finishing at $38.64 after reaching an intraday high of $38.80. Following the release of its financial results, Oracle shares jumped as much as 3.8% to $40.10 in aftermarket trading session. Shares of the California-based company have declined 2.42% in the past one month, however the stock had risen 6.61% since the beginning of the year.


Active Wall Street:

Active Wall Street (AWS) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and micro-cap stocks. AWS has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

AWS has not been compensated; directly or indirectly; for producing or publishing this document.


The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email [email protected]. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by AWS. AWS is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.


AWS, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. AWS, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, AWS, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.


This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither AWS nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit


For any questions, inquiries, or comments reach out to us directly at:

Office Address: 3rd floor, 207 Regent Street, London, W1B 3HH, United Kingdom
Email: [email protected]
Phone number: 1-858-257-3144

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active Wall Street