Oracle profits up, but miss analysts' expectations
The US software company Oracle, the world's third-largest producer of software, Wednesday reported a 30 per cent boost in third quarter profits, to 1.34 billion dollars, compared to the same period last year. ( dpa )
Sales climbed 21 per cent, to 5.35 billion dollars, the California-based company reported after stock markets closed.
Despite the strong results, share prices fell after the figures on revenues from licensing and maintenance of acquired and new software failed to reach the upper estimates of analysts' expectations.
In addition, analysts expect US spending information technology to only increase 5 per cent this year, compared to 7 per cent growth in 2007, a Goldman, Sachs & Co survey showed, according to Bloomberg financial news service.
Oracle shares fell about 8 per cent to 19.25 dollars on Wednesday.
Oracle won approval last month from the US Justice Department and Federal Trade Commission for its 8.5-billion-dollar purchase of BEA Systems Inc.