Oracle Keeps Its Eyes On DigitalORCL) shares traded between $39.70 and $40.12 per share on Friday. The stock price fluctuated between $35.82 to $46.71 over the last 52 weeks. Investors may want to question its recently added Oracle Cloud services to its value-added distributor distribution offerings by its Oracle Partner Network. The company is eyeing even more cloud services with its latest, a $250 million opportunity for its partners in the Southern African Development Community (SADC) region.
Software and Cloud Revenues were up 1% at $29.5 billion. , up 1%, and up 5% in constant currency. Cloud SaaS and PaaS revenues were up 32% at $1.5 billion. Oracle has managed to outperform against the industry average of 11.5%. Since the same quarter one year prior, revenues slightly dropped by 5.4%.
"We sold an astonishing $426 million of new SaaS and PaaS annually recurring cloud subscription revenue in Q4," said Oracle CEO, Safra Catz. "We expect our rapidly increasing cloud sales to quickly translate into significantly more revenue and profits for Oracle Corporation,” stated Catz.
"Coming into Q4, we forecast selling $300 million of new SaaS and PaaS annual recurring revenue," said Oracle CEO, Mark Hurd. "We dramatically beat that forecast by selling a cloud industry all-time-record amount of $426 million of new SaaS and PaaS business. That is a year-over-year bookings growth rate of over 200%,” Hurd said.
Oracle's aggressive moves into the cloud will poise the company to compete among giants such as Amazon.com. The potential cloud opportunity was announced Thursday by Stefan Diedericks, alliances and channels director at Oracle SA, speaking during the Oracle Partner Day in Johannesburg. Diedericks is stated that its partnerships will allow Oracle's SaaS products to drive growth and expansion through effective enterprise performance management.
The company’s Cloud IaaS revenues were up 33% at $608 million.
Will Oracle continue dominating revenues in the Cloud? The software company’s in-country sales in Malaysia are still growing despite its transition into a cloud services provider. Although Oracle was not the first to embrace the cloud, its competitors VMware and Amazon Web Services had adopted cloud services. Oracle later transitioned and embraced the cloud leveraging a subscription-based model. The shift to cloud thus far has been strong.
By Jennifer Lynn