Oracle finds an extra penny to boost 2005
Oracle today planted a bold, fiscal stake in the ground, saying 2005 earnings will likely come in one penny ahead of analyst estimates. It then went one step further, boasting that 2006 figures will crush Wall Street forecasts.
Oracle is looking to show per share growth of 24 per cent in 2005, posting earnings per share of 62 cents. Analysts had been looking for the company to report 61 cents in earnings, on average. The database maker pointed out that its PeopleSoft acquisition "is on track to contribute" to both Fiscal 2005 and Fiscal 2006. So there you have the extra penny.
Looking far into the future, Oracle expects 2006 earnings per share growth between 22 per cent and 28 per cent or 76 cents and 80 cents per share. The wise men of Wall Street put Oracle's 2006 earnings at 71 cents per share.
After a brief jump on the optimistic outlook, Oracle's shares cooled and are sitting just 1.25 per cent higher, at the time of this report, at $13.76.
Oracle is looking to benefit from serious cost-savings after it gave 5,000 workers the axe earlier this month. The vast majority of the staffers once worked at PeopleSoft. ®