Stock Analysis on Net

Oracle Corp. (NYSE:ORCL)

Analysis of Reportable Segments 

Microsoft Excel LibreOffice Calc

Segment Profit Margin

Oracle Corp., profit margin by reportable segment

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Cloud and license business 66.80% 67.94% 66.29% 66.25% 67.17% 67.85%
Hardware business 59.00% 60.32% 55.27% 50.13% 45.25% 41.16%
Services business 20.78% 20.79% 14.49% 16.57% 19.30% 20.55%

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).

Segment profitability ratio Reportable segment The company
Segment profit margin Cloud and license business Cloud and license business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level.
Hardware business Hardware business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022.
Services business Services business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022.

Segment Profit Margin: Cloud and license business

Oracle Corp.; Cloud and license business; segment profit margin calculation

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Selected Financial Data (US$ in millions)
Margin 24,083  23,169  21,561  21,587  21,825  20,618 
Revenues 36,052  34,101  32,523  32,582  32,491  30,389 
Segment Profitability Ratio
Segment profit margin1 66.80% 67.94% 66.29% 66.25% 67.17% 67.85%

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).

1 2022 Calculation
Segment profit margin = 100 × Margin ÷ Revenues
= 100 × 24,083 ÷ 36,052 = 66.80%

Segment profitability ratio Reportable segment The company
Segment profit margin Cloud and license business Cloud and license business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022 not reaching 2020 level.

Segment Profit Margin: Hardware business

Oracle Corp.; Hardware business; segment profit margin calculation

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Selected Financial Data (US$ in millions)
Margin 1,878  2,026  1,903  1,857  1,807  1,709 
Revenues 3,183  3,359  3,443  3,704  3,993  4,152 
Segment Profitability Ratio
Segment profit margin1 59.00% 60.32% 55.27% 50.13% 45.25% 41.16%

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).

1 2022 Calculation
Segment profit margin = 100 × Margin ÷ Revenues
= 100 × 1,878 ÷ 3,183 = 59.00%

Segment profitability ratio Reportable segment The company
Segment profit margin Hardware business Hardware business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022.

Segment Profit Margin: Services business

Oracle Corp.; Services business; segment profit margin calculation

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Selected Financial Data (US$ in millions)
Margin 666  628  450  537  655  690 
Revenues 3,205  3,021  3,106  3,240  3,394  3,358 
Segment Profitability Ratio
Segment profit margin1 20.78% 20.79% 14.49% 16.57% 19.30% 20.55%

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).

1 2022 Calculation
Segment profit margin = 100 × Margin ÷ Revenues
= 100 × 666 ÷ 3,205 = 20.78%

Segment profitability ratio Reportable segment The company
Segment profit margin Services business Services business segment profit margin ratio improved from 2020 to 2021 but then slightly deteriorated from 2021 to 2022.

Revenues

Oracle Corp., revenues by reportable segment

US$ in millions

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Cloud and license business 36,052  34,101  32,523  32,582  32,491  30,389 
Hardware business 3,183  3,359  3,443  3,704  3,993  4,152 
Services business 3,205  3,021  3,106  3,240  3,394  3,358 
Total 42,440  40,481  39,072  39,526  39,878  37,899 

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).


Margin

Oracle Corp., margin by reportable segment

US$ in millions

Microsoft Excel LibreOffice Calc
May 31, 2022 May 31, 2021 May 31, 2020 May 31, 2019 May 31, 2018 May 31, 2017
Cloud and license business 24,083  23,169  21,561  21,587  21,825  20,618 
Hardware business 1,878  2,026  1,903  1,857  1,807  1,709 
Services business 666  628  450  537  655  690 
Total 26,627  25,823  23,914  23,981  24,287  23,017 

Based on: 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31), 10-K (reporting date: 2018-05-31), 10-K (reporting date: 2017-05-31).