Friday, December 23, 2011

Oracle sales miss forecasts, shares plunge (Reuters)

(Reuters) ? Technology giant Oracle Corp's profit and sales missed Wall Street forecasts, sending its shares plunging 8 percent and raising concerns that a global economic slowdown will hurt tech spending.

The world's No. 3 software maker reported profit, excluding items, of 54 cents per share in its second quarter ended November 30, missing the average analyst forecast of 57 cents, according to Thomson Reuters I/B/E/S.

"Every technology company is going to get hit. This is just the start," said Global Equities Research analyst Trip Chowdhry.

New software sales rose 2 percent from a year earlier to $2 billion during the quarter. Analysts, on average, were expecting new software sales of $2.2 billion, according to StreetAccount.

The company also reported that hardware product sales fell 14 percent to $953 million, below the average Street account forecast of $1.06 billion.

(Reporting by Jim Finkle; Editing by Richard Chang)

Source: http://us.rd.yahoo.com/dailynews/rss/economy/*http%3A//news.yahoo.com/s/nm/20111220/bs_nm/us_oracle

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