- Adjusted revenue reached $13.31 billion, a 6.9% increase from last year, meeting the estimate of $13.26 billion.
- Adjusted EPS (Earnings Per Share) came in at $1.39, up from $1.19 last year and surpassing the estimate of $1.33.
- Cloud services and license support revenue grew by 10% year-over-year to $10.52 billion, aligning with the estimate of $10.51 billion.
- Cloud license and on-premise license revenue increased by 7.5% year-over-year to $870 million, beating the estimate of $731 million.
- Hardware revenue declined by 8.3% year-over-year to $655 million, missing the estimate of $690.3 million.
- Service revenue fell by 8.7% year-over-year to $1.26 billion, below the estimate of $1.35 billion.
- Adjusted operating income rose by 13% year-over-year to $5.71 billion, exceeding the estimate of $5.59 billion.
- Adjusted operating margin improved to 43%, up from 41% last year, above the estimate of 42.2%.
- Oracle’s database business is experiencing growth due to MultiCloud agreements with Microsoft and Google.
- Analyst ratings: 22 buys, 15 holds, and 1 sell.
Oracle Corp on Smartkarma
Analyst coverage on Oracle Corp on Smartkarma reveals insights from top independent analysts like Baptista Research. In a report titled “Oracle Corporation: How Long Will The Cloud Revenue Growth Last? – Major Drivers,” it was highlighted that Oracle had a solid performance in the third quarter fiscal year 2024, meeting revenue expectations and exceeding EPS guidance. However, potential future performance and risks were flagged for investors to monitor closely, with a focus on Oracle Cloud Infrastructure (OCI) as the key driver for revenue acceleration.
Another report by Baptista Research, “Oracle Corporation: Will The Expansion in Application Subscription Revenues Last? – Major Drivers,” discussed a mixed but largely positive view of Oracle’s Third Quarter Fiscal Year 2024 Earnings. CEO Safra Catz praised the overall quarterly performance, meeting revenue expectations and surpassing earnings per share guidance. The report specifically lauded the company’s infrastructure cloud business (OCI) for driving revenue growth at a rapid pace, surpassing competitors in the cloud space.
A look at Oracle Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts are predicting a positive long-term outlook for Oracle Corp, with a strong momentum score of 5, indicating excellent market traction. This suggests that Oracle is performing well in retaining and attracting investors. Additionally, the growth score of 3 shows promising potential for expansion and development within the company’s industry. However, areas such as value, dividend, and resilience have room for improvement, with scores of 2 each. This indicates that Oracle may need to focus on enhancing these aspects to improve its overall financial health.
Oracle Corporation, a leading supplier of enterprise information management software, offers a wide range of solutions including databases, application development tools, and business applications. Its software is designed to run on various types of devices, from personal digital assistants to mainframes. With a strong momentum score and potential for growth, Oracle’s strategic position in the market is noteworthy, but attention to areas like value and dividend payouts could further solidify its standing in the long run.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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