Oracle revenue flat, hurt by strong dollar

Reuters News
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Posted: Mar 17, 2015 4:10 PM

(Reuters) - Oracle Corp reported flat revenue for its fiscal third-quarter on Tuesday, held back by the recent rise in the U.S. dollar, but increased its quarterly dividend 25 percent to 15 cents a share.

Shares of Oracle, often a barometer for the technology sector, initially fell but quickly rose 0.8 percent in after-hours trading to $43.20.

The business software and database company reported sales of $9.3 billion, the same as the quarter a year ago. Oracle said revenue would have risen 6 percent without the impact of unfavorable currency rates.

Wall Street had expected $9.46 billion, on average, according to Thomson Reuters I/B/E/S.

"Although currency headwinds are massive for Oracle and its tech brethren, the company showed progress on the cloud front, which is key for tech investors moving forward," said Daniel Ives, an analyst at FBR Capital Markets.

Oracle's net profit fell slightly to $2.49 billion from $2.56 billion in the year-ago quarter. Profit per share was unchanged at 56 cents, compared with analysts' average estimate of 55 cents.

(Reporting by Bill Rigby; Editing by Diane Craft and Richard Chang)