RealTime IT News

Oracle's Sales Disappoint

Oracle beat earnings estimates after the close on Monday, but the company's sales came in a little lighter than expected.

Oracle's earnings of 19 cents a share were up 3 cents from the year-ago quarter and a penny better than expected, but the company's sales of $3.47 billion were below $3.53 billion forecasts. Database sales were less than Wall Street analysts had hoped for, but applications sales were better than expected, as the PeopleSoft and Siebel acquisitions began showing up in the company's top line.

Oracle shares eased 3% in late trading.

On the conference call, CEO Larry Ellison used his comments to tout the company's Secure Enterprise Search 10g technology. He said the technology could be a "real catalyst" for growth at the company, boosting 10g market penetration.

Stocks were mixed during the day, as traders awaited a speech from new Federal Reserve Chairman Ben Bernanke Monday night and wholesale inflation data Tuesday morning.

The Nasdaq rose 7 to 2314, the S&P 500 slipped 2 to 1305, and the Dow lost 5 to 11,274. Volume declined to 1.97 billion shares on the NYSE, and 2 billion on the Nasdaq. Decliners led 18-14 on the NYSE, while advancers led by a few shares on the Nasdaq. Upside volume was 39% on the NYSE, and 65% on the Nasdaq. New highs-new lows were 210-39 on the NYSE, and 193-39 on the Nasdaq.

SBS soared 50% on a buyout offer from GE .

Broadwing and Global Crossing gained 16% each on new offerings, while Covad jumped 15% on an upgrade.