Oracle stock rose in Tuesday trading after revealing higher-than-expected results in its fiscal Q2 2023 report.
On Monday’s closing bell, the tech firm’s stock price soared by 1.78% to $81.28 apiece, and it is anticipated to further jump by 2.08% to $82.97 per share on December 13.
Its earnings per share came at $1.21, higher than the analyst consensus of $1.16 and better than its previous record of $1.03.
Likewise, Oracle posted revenue of $12.30 billion, surpassing the market forecast of $11.95 billion and beating its Q1 gains of $11.45 billion.
Additionally, the tech company widened its adjusted operating margin to 41.00% from 39.00% in the first-quarter.
Accordingly, the California-based firm stated that its newly acquired Cerner contributed $1.50 billion in revenue in the quarter that ended in November.
Moreover, its cloud services and license support profits rose by 14.00% to $8.60 billion, beating experts’ prediction of $8.56 billion.
Furthermore, the infrastructure earnings of Oracle increased by 53.00% to $1.00 billion.
This growth came as the tech firm focused on pushing into the cloud computing market to fare better against its competitors.
Looking forward, it expects an income growth of 21.00% to 23.00% in the third quarter.
Likewise, the software firm aims for and adjusted earnings per share of $1.17 to 1.21 in fiscal 2023.
US Defense Department Favors Oracle
Last Friday, the US Department of Defense (DoD) included Oracle among the cloud platforms for the Joint Warfighter Cloud Capability (JWCC) contract. The other three companies were Amazon, Microsoft, and Google.
Under the deal, the agency will gain direct access to the four providers without the need for a reseller or intermediary.
Previously, DoD snubbed Oracle while the other tech firms became eligible for the initial contract.
However, the tech firm was finally included when the agency reviewed the deal.
According to an analyst, the California-based company has earned this spot mainly due to its contract in the Central Intelligence Agency’s Commercial Cloud Enterprise.
Through this agreement, the software firm could become the fourth biggest service provider in the US.
