It’s all about timing - just days after Oracle chief financial officer Jeff Henley spoke of an upturn on the way, Oracle Japan reported that first half profits have plummeted by more than a third.
Oracle Japan posted a parent-only net profit of 6.08 billion yen for the half on revenues of 39.35 billion yen, down 10.2 per cent from a year earlier. The company warned that it expects its net profit to fall by 38 percent to 10.9 billion for the full year to May on revenues of 81.5 billion yen, down 5.6 per cent.
A decline in full-year profit would mark the second consecutive annual fall in earnings. Last year, the company recorded its first ever year-on-year drop in profit. The Japanese unit admitted that a hoped-for improvement in the business environment was unlikely to materialise in the second half.
Oracle Japan’s stock is trading low at the moment. It hit 2,680 yen just before Christmas, the lowest level since they were listed on the Tokyo Stock Exchange in April 2000.