Oracle Corp.’s recently reported 15 percent leap over year-ago net income means that the company’s yearlong sales force reorganization effort is finally bearing fruit, according to one financial analyst.
“The main take-away [from Monday’s earnings report] is that Oracle is improving its sales execution on the database side and, most importantly, on the applications side,” said Cheng Lim, a research analyst at Fulcrum Global Partners LLC, in New York.
Of course, it also means that spending on IT is improving, Lim said. But the sales reorg is key to driving profits, Lim said.
At its AppsWorld conference in January, Oracle Chief Financial Officer Jeff Henley announced that salespeople would henceforth sell either database and other infrastructure technology or applications, but that overall account management would come to an end.
Selling all the different options of the company’s meat-and-potatoes database product—particularly RAC (Real Application Clusters) and partitioning—drove the success of the second quarter, he said.