Oracle published its earnings for the first quarter of the year, showing better results than what the analysts had expected. With Covid-19’s wind in its sails, Oracle managed to report higher revenue and net income and as a result, its shares jumped five percent yesterday.
According to Reuters, remote working initiatives, as well as its data center business, were two units where Oracle reported highest gains. Revenue from cloud services rose 2.1 percent for the quarter, hitting $6.95 billion, it was said. Total revenue was up 1.6 percent, hitting $9.37 billion and beating analysts’ estimates of $9.19bn.
Net income was up from $2.14 billion and 63 cents per share this time last year, to $2.25 billion, or 72 cents per share this year. On an adjusted basis, Reuters added, Oracle earned 93 cents per share, more than what the market had expected with 86 cents per share.
While some companies struggled to survive with the lockdown, others embraced it as an opportunity to digitally transform faster and provide their customers with a better customer experience online. In good measure, that experience depended on the services provided by cloud companies, such as Oracle.
Consequently Oracle, as well as other cloud service providers, greatly benefitted from the pandemic and the lockdown lifestyle we’ve been living for the past six months.