Oracle Dips on Q1 Figures

Oracle Corporation (NYSE:ORCL) reported in-line earnings for its first quarter, while sales missed estimates.

The company, out of Redwood Park, Calif., reported total revenues were $9.2 billion. Cloud services and license support revenues were $6.8 billion, while Cloud license and On-Premise license revenues were $812 million.

GAAP operating income was up 4% to $2.9 billion and GAAP operating margin was 31%. Non-GAAP operating income was up 2% to $3.8 billion and non-GAAP operating margin was 42%. GAAP net income was $2.1 billion and non-GAAP net income was $2.8 billion. GAAP Earnings per Share was up 11% to $0.63 while non-GAAP Earnings per Share was up 14% to $0.81.

Short-term deferred revenues were $10.1 billion. Operating cash flow was $13.8 billion during the trailing 12 months.

According to current CEO Safra Catz, "Non-GAAP earnings per share grew 14% in (U.S. dollars) and 16% in constant currency. "As our low margin hardware businesses continue to get smaller, while our higher margin cloud business continues to get bigger, we expect Oracle's operating margins, earnings per share and free cash flow all to grow. We're off to a good start in FY20, and we expect this to be our third consecutive year of double-digit non-GAAP earnings per share growth."

The company also announced CEO Mark Hurd will take a leave of absence for health-related issues

ORCL shares fell $3.10, or 5.5%, to $53.17