Increased sales of new software licences boosted business software and hardware systems company Oracle Corp’s net income up 17pc to US$2.19bn for the second quarter ended 30 November 2011.
The company reported net income of US$1.7bn in the same period last year.
Total revenues increased 2pc to US$8.8bn. Revenues from new software licences increased 2pc to US$2bn and revenues from hardware sank 14pc to US$953m.
For the first time in 10 years, Oracle’s earnings fell short of market expectations as a result of decreased demand for databases, applications and computer servers, according to media reports. The firm’s stock dipped 10pc on below-expected results.
"Non-GAAP operating margins increased to 45pc in Q2," said Oracle president and CFO Safra Catz, "and we expect those margins to keep growing.
"Operating cash flow over the last 12 months grew to US$13.1bn; that’s up a remarkable 45pc compared to the preceding 12-month period."