Oracle revenues drop by -1% Y-o-Y to $9.0 billion for fiscal Q3 2013 as software, cloud and hardware divisions miss internal forecasts and current quarterly outlooks disappoint Wall Street.
Software licenses and cloud software subscriptions are down by -2% Y-o-Y to $2.3bn, while hardware revenues crash by -23% Y-o-Y to $671m. Reductions are also significant on a Q-o-Q basis, with Q2 2013 software subscriptions being $2.389bn and hardware revenues $734m.
According to Marketwatch Oracle expected software and cloud revenues to grow by 3-13% and hardware to fall by up to -10%.
The only positive for the company comes in the shape of 7% Y-o-Y growth in software licenses and product support (reaching $4.34bn), thanks to customers switching to software-as-a-service technologies.
"In Q1 [2014] we will see a turnaround. Next year will be a big growth year for our hardware business," CEO Larry Ellison says. Oracle should ship SPARC T5-based servers from March 2013.
Ellison also suggests Q3 2013 hardware ASPs were impacted by the the lower end Exadata Database Machine.
For fiscal Q4 2013, Oracle forecasts revenues to drop by -1-4% Y-o-Y
