Oracle (ORCL) Q1 2024 earnings report

Larry Ellison, chairman and chief technology officer of Oracle, speaks at the Oracle OpenWorld conference in San Francisco on September 16, 2019.

Justin Sullivan | Getty Images

Shares of Oracle fell nearly 8% in extended trading Monday after the database software maker disclosed quarterly revenue guidance that was lighter than expected.

Here’s how the company did:

• Earnings: $1.19 per share, adjusted, versus $1.15 per share as analysts expected, according to LSEG.
• he won: $12.45 billion, versus $12.47 billion as analysts expected, according to LSEG.

In terms of guidance, Oracle called for adjusted net income of $1.30 to $1.34 per share and revenue growth of 5% to 7% in the fiscal second quarter. Analysts surveyed by LSEG expected $1.33 in adjusted earnings per share and $13.28 billion in revenue, implying revenue growth of 8%.

Oracle’s revenue rose 9% year over year in its fiscal first quarter, which ended Aug. 31, according to a report from Oracle. statement. Net income rose to $2.42 billion, or 86 cents per share, compared to $1.55 billion, or 56 cents per share, in the same quarter last year.

Oracle’s Cloud Services and Licensing Support segment generated revenue of $9.55 billion, up 13% and above the StreetAccount consensus of $9.44 billion. But the cloud and on-premises licensing segment generated revenue of $809 million, which was down 10% and below the StreetAccount consensus of $892.7 million.

Hardware revenue of $714 million decreased 6%. Analysts surveyed by StreetAccount were looking for $739.6 million.

Revenue from cloud infrastructure, totaling $1.5 billion, rose 66%, slowing from 76% in the previous quarter. Oracle remains smaller than Amazon, Google, and Microsoft in this category.

Larry Ellison, Chairman and CTO of Oracle, was quoted as saying: “As of today, AI developers have signed contracts to purchase more than $4 billion of capacity in Oracle’s Gen2 Cloud. That is double what we reserved at the end of the fourth quarter.” “. As stated in the statement.

During this quarter, Oracle announced new solutions Database devicesmicros Point of sale workstations And Artificial intelligence features In human capital management software Fusion Cloud. xAI, the artificial intelligence startup Elon Musk recently announced, will use Oracle cloud services, Ellison said during a conference call with analysts.

Excluding Monday’s after-hours move, Oracle shares are up 55% so far this year, while the S&P 500 is up about 17% over the same period.

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