Oracle: Despite Decent Results, We're Not Wowed

For the quarter, total revenue rose 1% year over year to $9.2 billion (up 2% in constant currency). Cloud services and license support revenue (72% of total revenue) grew 4% year over year in constant currency to $6.6 billion, buoyed by 7% application ecosystem growth. Meanwhile, cloud license and on-premises license revenue was flat at $867 million. With the reclassified revenue segmentation last quarter, Oracle’s individual cloud segment performance remains murky and it will be difficult to predict future performance, which gives us caution around its ability to compete with well-positioned peers.

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