Oracle shares fell 6% on Wednesday after a guidance of $1.20 to $1.24 earnings per share and 5% to 7% revenue growth in Q4, according to the company’s press release. Analysts had projected $1.28 earnings per share, and an equivalent of 4% revenue growth.
Q3 earnings per share was $1.16, up from expected $1.11 per share.
Q3 revenue was $10.09 billion, up from expected $10.07 billion.
Oracle raised its quarterly dividend to 32 cents per share from 24 cents per share.
The company’s revenue rose 3% on an annualized basis in Q3, after growing nearly 2% in the prior quarter.
Oracle’s cloud services and license support segment delivered a revenue of $7.25 billion, up 5% year over year and slightly lower than the estimate of $7.28 billion.
Cloud license and on-premises license revenue was $1.28 billion, up 4% and above the estimate of $1.21 billion.
Hardware revenue fell 4% to $820 million, remaining below the $843 million estimate.
Oracle saw over $2 billion in infrastructure cloud services on an annualized basis and plans further investment in the next fiscal year.
Oracle stock is currently declining. ORCL: NYSE is down 5.30% on premarket.
