26 Mar 2011

Oracle shares up after jump in earnings

6:55 am on 26 March 2011

Shares in US software-maker Oracle jumped more than 2% after it reported better-than-expected earnings in the last three months of the year.

The company reported a 37% jump in revenues to $US8.8 billion, with net income rising 78%.

Oracle also raised its dividend payment to shareholders by 20%.

New software license sales, which are a good gauge of future profits, jumped 29% to $US2.2 billion in the third quarter.

Net income for the quarter was $2.1 billion, up from $1.2 billion a year earlier.

Oracle is closely watched by analysts for trends in the technology industry.

Last year, it diversified into server hardware with the purchase of Sun Microsystems.