- Revenues up 2% to $9.4b, fuelled by 33% growth in Fusion ERP and 23% growth in Netsuite ERP solutions.
- Adds new customers such as McDonald’s, Albertsons Companies, United Breweries and Humana in the first quarter.
- Profit margins increased by one percentage points in the quarter to 24 per cent.
Dubai: Riding on new customer wins in the cloud applications and infrastructure businesses, Oracle reported a five per cent increase in the first quarter of the fiscal year 2021 to $2.25 billion compared to $2.13 billion a year ago.
The B2B software giant’s revenues rose two per cent to $9.4 billion compared to $9.2 billion a year ago.
The company’s operating expenses decreased by three per cent despite an increase in revenues.
“The quarter was fantastic with total revenue beating guidance by more than $150 million. Our cloud applications businesses continued their rapid revenue growth with Fusion ERP up 33 per cent and NetSuite ERP up 23 per cent. We now have 7,300 Fusion ERP customers and 23,000 NetSuite ERP customers in the Oracle Cloud,” Safra Catz, Oracle CEO, said.
Moreover, she said that Oracle’s infrastructure businesses are also growing rapidly as revenue from Zoom more than doubled from the fourth quarter of last year to the first quarter this year.
“I have a high level of confidence that our revenue will accelerate as we move on past Covid-19,” Catz said.
Oracle won some key customers such as McDonald’s, Albertsons Companies, United Breweries and Humana in the first quarter.
The San Francisco-based company’s profit margins increased by one percentage points in the quarter to 24 per cent but interest expenses have gone up by one percentage points to six per cent and total assets decreased by $1.9 billion.
Cloud services and license support revenues were up two per cent to $6.9 billion while cloud license and on-premise license revenues were up nine per cent to $886 million.
“I believe that the Oracle Cloud offers better Infrastructure-as-a-Service (IaaS) technology than any other cloud vendor,” Larry Ellison, Oracle Chairman and CTO, said.
According to the 2020 Industry CloudPath survey done by research firm IDC, surveying 935 IaaS customers on their satisfaction with top IaaS vendors, Oracle IaaS (OCI) received the highest satisfaction score and the biggest year-over-year score increase of all IaaS vendors.
In addition, 86% of those surveyed said they expect their spending on Oracle IaaS to increase in the future.
Related stories:
- Desert Adventures starts to reap harvest from digital transformation journey.
- Landmark to delve deeper into the cloud to become digitally fit.