Oracle is doing better than expected, though concerns persist

Oracle is doing better than expected, though concerns persist

Oracle today reported good results for the past quarter. Investors were somewhat concerned about the company’s results, but these turned out to be higher than expected for the second fiscal quarter of the year. Ensuring that the long term is maintained.

The database giant reports it had a turnover of $9.56 billion. That’s a little less than a year ago, when it ended at $9.59 billion, but higher than expected. It was based on a turnover of USD 9.52 billion over the past quarter. This means that Oracle is doing a little better than expected.

Cloud is doing well

The increase in revenue came from Oracle’s largest part: the cloud services and the license support division. With this unit, one earned $6.64 billion in turnover, just over the forecasted $6.63 billion. In a statement, Oracles co-CEO Mark Hurd says that there is still a lot of growth here, because there are still plenty of companies that want to switch to the cloud.

But even though there is a lot of potential, it is questionable whether Oracle is able to get all those customers on board. According to Moor Insight & Strategy analyst Patrick Moorhead, that could be difficult. He told Silicon Angle that the company lags behind AWS and Azure when it comes to IaaS and PaaS services and that it is difficult to see why customers would see Oracle as a reasonable alternative.

The other Oracle industry that did well is cloud and on-premise licensing. This is the company’s second largest industry, with a turnover of $1.22 billion. That too is higher than predicted: Wall Street assumed 1.19 billion dollars. The result of this combined good performance is in any case investor confidence, because immediately after the figures were reported, shares rose five percent in value.

This news article was automatically translated from Dutch to give a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.