Oracle’s net rises 36 pct, but servers slip

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SAN FRANCISCO (AP) — Stronger spending on business software helped Oracle’s quarterly profit jump 36 percent, but the company’s server business continued to deteriorate, which Oracle says is happening because it is shedding lower-margin deals.

The company said after the market closed Tuesday that its net income rose to $1.84 billion, or 36 cents per share, compared with $1.35 billion, or 27 cents per share, a year earlier.

Its adjusted net income was 48 cents per share, a penny higher than the average forecast of analysts polled by FactSet.

Revenue rose 12 percent to $8.37 billion, slightly exceeding the $8.36 billion that analysts expected.

Revenue from new software licenses rose 17 percent to $1.5 billion, which was the top end of the range Oracle had predicted.