California-based Computer Software Giant, Oracle Corp. (NASDAQ: ORCL) reported results for the first quarter of 2013 ended Aug 31, 2012.
Net sales decreased by 2% to $8181 million from that of $8374 million in Aug 2011. Operating profit increased by 7% to $2879 million from that of $2683 million. Net income increased by 11% to $2034 million from $1840 million. Net cash from operations for the first quarter 2013 were $5671 million.
Though the company had 4% increase in the sales from Software licenses and subscriptions, Net revenues decreased by 2% mainly due to a 19% reduction in sales from the Hardware Segment and a 6% reduction in sales from the Services Segment.
Oracle President, Mark Hurd claimed that Exadata, Exalogic, Exalytics and their other engineered systems grew more than 100% in the quarter. He believes that the sales from Double Engineered Systems and its new could business will be tremendous this year and be over $1 billion each by end of this fiscal year 2013.
In spite of dip in the revenues, Operating profit increased by 7% which is mainly due to the significant decrease in the operating expenses including Cost of sales, General administrative expenses and Sales & marketing expenses. Net profit rose by 11% because of the increase in the non operating income for the quarter by 155%.
As on Aug 31, 2012, ORCL had total assets worth $76,558 million including $15,667 million as cash and its equivalents. Total liabilities were $32,822 million, among which 43% were current and the remaining was long term. Total stockholders’ equity was $43,736 million.
ORCL has an average of 4,867 million common shares for basic EPS calculation and 4,939 million common shares for diluted EPS calculation by adding stock options and restricted stock which makes Earning per share (basic) as $0.42 compared to $0.36 in August 2011 and Diluted EPS as $0.41 compared to $0.36 in 2011.
The Board of Directors also declared a quarterly cash dividend of $0.06 per share of outstanding common stock. This dividend will be paid to stockholders of record as of the close of business on October 12, 2012 with a payment date of November 2, 2012.
Oracle’s shares opened today at $33.03, higher than its previous close of $32.26 and have traded in the range of $32.275 and $33.29. The stock reached its 52 week high of $34.78 in last Nov 2011 and is currently trading very close to it.
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