Oracle Financial Services’ Profit, Revenue Slip Sequentially in September Quarter

Oracle Financial ServicesSoftware Ltd. reported a drop in both revenue and profit for the September quarter as sales from product licences, its key revenue source, declined. This marks the first sequential fall in revenue in three quarters and the fourth quarterly decline in profit over the past five quarters.

The company posted a consolidated net profit of ₹5.46 billion, down 15% on quarter and over 5% on year. Revenue fell 3% sequentially but rose nearly 7% on year to ₹17.89 billion. Total expenses increased 4% on quarter and 11% on year to ₹10.58 billion, driven by higher professional and operating costs.

Sales from product licences and related activities rose 7% on year to ₹16.23 billion but were lower than ₹16.70 billion in the previous quarter. Revenue from IT solutions and consulting services grew 6% on year to ₹1.66 billion.

For the six months ended September, net profit slipped slightly to ₹11.88 billion from ₹11.94 billion a year earlier, while revenue rose 7% to ₹36.41 billion. The board declared an interim dividend of ₹130 per share and set November 3 as the record date.