Oracle Corp reported lower-than-expected quarterly revenue as growth in its cloud-based offerings failed to make up for weakness in its traditional software licensing business. Sales of Oracle's cloud software and platform as services rose 77 percent to $798 million, while sales of its new software licenses fell 10.5 percent to $1.03 billion.
The company in July agreed to buy NetSuite Inc for $9.3 billion to better compete with nimbler rivals such as Workday Inc and Salesforce.com Inc that specialise in cloud-based offerings.
Oracle's net income rose to $1.83 billion, or 43 cents per share, in the first quarter ended August 31 from $1.75 billion, or 40 cents per share, a year earlier.
Excluding items, Oracle earned 55 cents per share. Total revenue edged up 1.7 percent to $8.6 billion. Analysts on average had expected quarterly revenue of $8.7 billion and a profit of 58 cents per share, according to Thomson Reuters I/B/E/S.
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