Oracle’s Q4 Results and a hidden gem

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Oracle posted some storming Q4 results last week, beating both Safra Catz’s own guidance and analyst expectations. Total Quarterly Revenues were $11.1 billion, up 1% in USD and up 4% in constant currency compared to Q4 last year.

Oracle CEO, Safra Catz said “Our high-margin Fusion and NetSuite cloud applications businesses are growing rapidly, while we downsize our low-margin legacy hardware business. The net result of this shift .. to cloud applications was a Q4 non-GAAP operating margin of 47%, the highest we’ve seen in five years.”

That all sounds very healthy.

Oracle CEO, Mark Hurd continued with “Our Fusion ERP and HCM cloud applications suite revenues grew 32% in FY19.”

Again, this sounds positive. Others, such as Diginomica, highlight the mentions of recent wins from competitors, including Diebold Nixdorf (from SAP), Helmerich & Payne (from Epicor), Tiffany and Experian (from SAP/Microsoft).

This is also a very good sign. This is where most of the reported coverage finished however. There was a hidden gem at the bottom of Oracle’s press release that I haven’t seen highlighted in many reports. Mark Hurd also said:

These strong results extend Oracle’s already commanding lead in worldwide Cloud ERP. Our cloud applications businesses are growing faster than our competitors. That said, let me call your attention to the following approved statement from industry analyst IDC:

Per IDC’s latest annual market share results, Oracle gained the most market share globally out of all Enterprise Applications SaaS vendors three years running—in CY16, CY17 and CY18.

Very interesting indeed …

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