Cloud sales for the Oracle software company are expected to grow by more than 10%

Oracle Inc.(ORCL) shares are currently trading about 35% lower than their 52-week high. At the same time, the company made up for some of its losses after a strong quarterly report came out last week. Oracle’s sales grew by 5% from the same time last year to $11.84 billion, which was more than Wall Street expected.

The company’s adjusted net income fell by 6 percent to $4.24 billion, but the buyback program kept earnings per share at $1.54, which is also higher than what analysts expected. So, Oracle has shown steady growth in sales and a steady profit for a number of quarters in a row. One thing that helps the company grow is that it puts most of its efforts into promoting cloud subscription solutions. This keeps customers interested and gives the company a steady income. Oracle is also always buying other companies. This helps it grow its range of services and set itself apart from competitors.

A healthcare IT services provider called Cerner was just bought. Remember that from 2019 to 2022, Oracle’s sales growth slowed, but the company was able to get sales back up and grow again by focusing on cloud technologies. In the company’s fiscal year 2022, its total revenue from cloud services and license support grew by 6% to $30,2 billion, which is now more than 70% of its total revenue. In the fiscal year 2023, sales of cloud technology are expected to grow by at least 30%. Oracle thinks that its total revenue, which includes the recently bought Cerner, will grow by 20–22% year over year in the first quarter of 2023. Except for Cerner, the total revenue from cloud computing in this segment will go up by 25–28%.