Oracle shares slid more than 6% in extended trading on Thursday after the database software maker reported fiscal third-quarter earnings that failed to meet analysts’ expectations.
Here’s how the company did:
- Earnings: $1.13 per share, adjusted, vs. $1.18 per share as expected by analysts, according to Refinitiv.
- Revenue: $10.51 billion, vs. $10.51 billion as expected by analysts, according to Refinitiv.
Oracle’s revenue increased 4% from a year earlier in the quarter, which ended Feb. 28, according to a statement. Net income declined 54% to $2.32 billion.
Net income dropped due to two investments. The company said profit was hurt by the tumbling share price of gene-sequencing company Oxford Nanopore and an operating loss at Arm server chip maker Ampere Computing, a private company.
“We remain confident that our investments in these two cutting-edge technology companies will deliver very strong returns for Oracle,” Oracle said.
In the quarter Oracle announced its intent to acquire Cerner, a developer of software for managing health records, for $28.3 billion in cash.
Executives will discuss the results with analysts on a conference call starting at 5 p.m. ET.
Prior to the after-hours move, Oracle stock was down 12% so far in 2022. The S&P 500 index has dropped about 11% over the same period.
This is breaking news. Please check back for updates.
WATCH: Jim Cramer likes Oracle after recent pullback, says the stock is trading at an ‘amazing price’