Oracle records 49% quarterly growth in the cloud
Oracle has just published a turnover of 10.6 billion dollars for the fourth quarter of its 2016 financial year – ended May 31 -, a performance down 1% over one year. The net income reached meanwhile $ 2.8 billion (GAAP) and earnings per share is fixed for its part 0.66 dollar (GAAP). At the end of the publication of these figures, the stock price of Oracle was up slightly yesterday in post-closing electronic exchanges.
The American company is also pleased with the progress recorded in its cloud activities, which generated a turnover of 859 million dollars, up 49% over one year (infrastructure services included). And among these cloud activities, its “Cloud software as a service” branch saw its revenues reach $ 690 million, up 66% over one year. These are important indicators for Oracle, which is competing with other players such as the German SAP, which is also strengthening itself in the cloud, or even the American Salesforce.
Strengthen SaaS and PaaS activities
“SaaS and PaaS gross margins (platform as a service, editor’s note) continued to improve throughout the year, ending 2016 (FY16) at 56%, ”said Safra Catz, CEO of Oracle, in a statement. “The 4th quarter bookings were also very strong, which allows us to increase our growth forecast for SaaS and PaaS for the first quarter, which we now expect to be between 75% and 80”, he continues. .
In the end, for its full fiscal year 2016, Oracle generated sales of $ 37 billion, down 3%. In this context, revenues generated by software installed on premise (On-Premise Software) represented 29 billion dollars, against only 2.2 billion for SaaS and PaaS software in the cloud.