Exhibit 99.1
ORACLE CORPORATION
Q1 FISCAL 2006 FINANCIAL RESULTS
ESTIMATED NON-GAAP TOTAL PRODUCT REVENUE ANALYSIS (1) (2)
($ in millions)
Fiscal 2005 | Fiscal 2006 | |||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Total | Q1 | Q2 | Q3 | Q4 | Total | |||||||||||||||||||||||||
NON-GAAP APPLICATIONS REVENUES | ||||||||||||||||||||||||||||||||||
New software licenses | $ | 69 | $ | 215 | $ | 152 | $ | 350 | $ | 785 | $ | 127 | $ | 127 | ||||||||||||||||||||
Software license updates and product support (3) | 238 | 254 | 494 | 622 | 1,608 | 605 | 605 | |||||||||||||||||||||||||||
Software Revenues | 307 | 469 | 646 | 972 | 2,393 | 732 | 732 | |||||||||||||||||||||||||||
Services | 190 | 216 | 348 | 435 | 1,189 | 379 | 379 | |||||||||||||||||||||||||||
Total Application Related Revenues | $ | 497 | $ | 685 | $ | 994 | $ | 1,407 | $ | 3,582 | $ | 1,111 | $ | 1,111 | ||||||||||||||||||||
AS REPORTED REVENUE GROWTH RATES | ||||||||||||||||||||||||||||||||||
New software licenses | (36% | ) | 57% | 9% | 52% | 28% | 84% | 84% | ||||||||||||||||||||||||||
Software license updates and product support (3) | 8% | 7% | 108% | 160% | 72% | 154% | 154% | |||||||||||||||||||||||||||
Software Revenues | (6% | ) | 25% | 71% | 107% | 54% | 138% | 138% | ||||||||||||||||||||||||||
Services | (12% | ) | 2% | 71% | 87% | 38% | 99% | 99% | ||||||||||||||||||||||||||
Total Application Related Revenues | (9% | ) | 17% | 71% | 100% | 48% | 124% | 125% | ||||||||||||||||||||||||||
CONSTANT CURRENCY GROWTH RATES | ||||||||||||||||||||||||||||||||||
New software licenses | (38% | ) | 51% | 7% | 49% | 25% | 82% | 82% | ||||||||||||||||||||||||||
Software license updates and product support (3) | 4% | 3% | 104% | 155% | 67% | 150% | 151% | |||||||||||||||||||||||||||
Software Revenues | (9% | ) | 21% | 68% | 103% | 50% | 135% | 135% | ||||||||||||||||||||||||||
Services | (15% | ) | (1% | ) | 67% | 83% | 33% | 96% | 96% | |||||||||||||||||||||||||
Total Application Related Revenues | (11% | ) | 13% | 68% | 96% | 44% | 120% | 120% | ||||||||||||||||||||||||||
NON-GAAP DATABASE & MIDDLEWARE REVENUES (3) | ||||||||||||||||||||||||||||||||||
New software licenses | $ | 494 | $ | 756 | $ | 795 | $ | 1,259 | $ | 3,306 | $ | 502 | $ | 502 | ||||||||||||||||||||
Software license updates and product support | 938 | 998 | 1,038 | 1,070 | 4,042 | 1,036 | 1,036 | |||||||||||||||||||||||||||
Software Revenues | 1,432 | 1,754 | 1,833 | 2,329 | 7,349 | 1,538 | 1,538 | |||||||||||||||||||||||||||
Services | 286 | 317 | 266 | 320 | 1,189 | 258 | 258 | |||||||||||||||||||||||||||
Total Database and Middleware Related Revenues | $ | 1,718 | $ | 2,071 | $ | 2,099 | $ | 2,649 | $ | 8,539 | $ | 1,796 | $ | 1,796 | ||||||||||||||||||||
AS REPORTED REVENUE GROWTH RATES | ||||||||||||||||||||||||||||||||||
New software licenses | 18% | 5% | 12% | 16% | 13% | 2% | 2% | |||||||||||||||||||||||||||
Software license updates and product support | 15% | 14% | 11% | 11% | 12% | 10% | 10% | |||||||||||||||||||||||||||
Software Revenues | 16% | 10% | 11% | 14% | 13% | 7% | 7% | |||||||||||||||||||||||||||
Services | (4% | ) | 0% | (6% | ) | (2% | ) | (3% | ) | (10% | ) | (10% | ) | |||||||||||||||||||||
Total Database and Middleware Related Revenues | 12% | 8% | 9% | 12% | 10% | 5% | 5% | |||||||||||||||||||||||||||
CONSTANT CURRENCY GROWTH RATES | ||||||||||||||||||||||||||||||||||
New software licenses | 14% | 1% | 9% | 13% | 9% | 0% | 0% | |||||||||||||||||||||||||||
Software license updates and product support | 11% | 10% | 7% | 7% | 9% | 9% | 9% | |||||||||||||||||||||||||||
Software Revenues | 12% | 6% | 8% | 10% | 9% | 6% | 6% | |||||||||||||||||||||||||||
Services | (7% | ) | (5% | ) | (8% | ) | (5% | ) | (6% | ) | (11% | ) | (11% | ) | ||||||||||||||||||||
Total Database and Middleware Related Revenues | 8% | 4% | 5% | 8% | 7% | 4% | 3% | |||||||||||||||||||||||||||
(1) | The sum of the quarterly financial information may vary from year-to-date financial information due to rounding. |
(2) | Oracle tracks new software license revenues by product. Software license updates and product support revenues, along with the services revenues shown here, represent Oracle's estimate of revenues that relate to database and middleware products, as well as application products. |
(3) | In connection with our purchase price allocation, we estimated the fair value of support obligations assumed in connection with business acquisitions made during fiscal 2005 and the first quarter of fiscal 2006, resulting in a reduction in software license updates and product support revenues in fiscal 2005 in the amount of $320 million and in Q1 fiscal 2006 in the amount of $139 million in our GAAP financial statements. The software license updates and product support revenues shown here, include support revenues in the amount of $142 million and $178 million, in the third and fourth quarters of fiscal 2005, respectively, and $139 million in the first quarter of fiscal 2006 that would have been recognized as revenue by the acquired entities. |