Wednesday previewed unexpectedly brisk profit growth next year, saying its acquisition of PeopleSoft is already making an earnings contribution.
The software company expects to earn 62 cents a share, pro forma, in the current fiscal year and 76 cents to 80 cents a share in fiscal 2006. Analysts surveyed by Thomson First Call were forecasting pro forma earnings of 62 cents a share this year and 70 cents a share next year.
"Oracle also reported that the PeopleSoft acquisition is on track to contribute to the company's pro forma earnings growth in both fiscal year 2005 and fiscal year 2006," the company said in a statement. Oracle completed the $10.3 billion takeover early this month and said it was cutting 5,000 jobs in its wake last week.
Oracle shares rose 30 cents, or 2.2%, to $13.89 Wednesday morning.