Oracle profit beats forecast, margin at record
By Jim Finkle
BOSTON, June 23 (Reuters) - Oracle Corp (ORCL.O
) reported quarterly earnings above expectations as the No. 3 software maker's profit margin hit a record thanks to robust growth in its maintenance business, sending shares up 2.7 percent.
The company run by billionaire Larry Ellison also reported a smaller-than-expected drop in new software sales and said it grabbed market share from SAP in certain segments -- signs that Oracle may be weathering the downturn better than rivals.
"We've been able to push through the economic situation rather well and I have to tell you that I still see the pipeline growing rather significantly," Oracle President Safra Catz said in a conference call.
Oracle's quarterly results and outlook beat expectations it set in March, when executives warned the recession and strong dollar would take a substantial bite out of profits. Since then, the economy has stabilized and the currency has weakened, setting Oracle up to beat those conservative estimates.
Full Story: http://www.reuters.com/article/earningsSeason/idUSN2251761020090623