Oracle Meets Forecasts but Misses ‘Whisper’

Oracle Corp. said its fiscal first-quarter earnings rose 21% to $237 million, or 16 cents a share, meeting the average estimate of analysts polled by First Call Corp.

The results missed the “whisper” estimate of 19 cents, however, and Oracle’s shares fell in after-hours trading.

The database software maker reported its earnings after the close of U.S. trading. Revenue jumped 13% to $2 billion, in the mid-range of estimates.

Still, Oracle was expected by some analysts to post higher earnings thanks to cost-cutting efforts, which, according to Chief Executive Lawrence Ellison, are expected to reduce expenses by $1 billion within 18 months. Its shares closed at $45.44, down 31 cents, on Nasdaq.

In the last month, shares of Redwood Shores, Calif.-based Oracle had risen about 18% on optimism that the company has established itself as the dominant seller of software to companies doing business on the Internet.

“It wasn’t a great quarter. It’s good to get it over with,” Chief Financial Officer Jeff Henley said. “We think we’ll do better for the rest of the year.”