Oracle Blasts Forecasts With 35% Profit

Software maker rides spending spree to another big quarter
By Matt Cantor,  Newser User
Posted Dec 19, 2007 6:25 PM CST
Oracle Corp. CEO Larry Ellison, right, and President and CFO Safra Catz, smile during Oracle Open World conference in San Francisco, Wednesday, Nov. 14, 2007. (AP Photo/Paul Sakuma)   (Associated Press)
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(Newser) – Database software-maker Oracle surprised analysts today, reporting its income surged 35 percent in the second quarter to $1.3 billion, thanks to the success of new programs and customer-support contracts. Experts had expected sales of approximately $5.03 billion, Bloomberg reports, but the company boasted sales of $5.36 billion—pulling in a profit of 25 cents per share.

“A solid result in a challenging environment has to give investors a reason to cheer,” one Morgan Stanley analyst said. “Oracle even beat our expectations for top-line revenue growth.”  Spurred by $25 billion spent on acquiring other companies, Oracle is sailing through its seventh consecutive quarter of 20-percent-plus sales growth; the company’s stock has risen 21 percent this year.