Oracle Corporation (NYSE:ORCL) released its latest earnings report after closing bell tonight, posting earnings of $2.2 billion or 62 cents per share, excluding items, on $8.6 billion in revenue. That missed the estimates of analysts, who were expecting earnings per share of 64 cents on $8.78 billion in revenue.

Oracle Corporation (ORCL) Misses Earnings Estimates

GAAP earnings per share were 48 cents, a 2% year over year increase.

Breaking down Oracle’s earnings

In tonight’s press release, Oracle said its first fiscal quarter revenues rose 3%. Software and Cloud revenue rose 6% to $6.6 billion. Software as a service and platform as a service cloud revenue increased 32% to $337 million. Infrastructure as a service cloud revenue rose 26% to $138 million. Hardware systems revenue fell 8% to $1.2 billion.

GAAP operating income rose 3% to $3 billion, while GAAP operating margin was 34%. The non-GAAP operating income rose 2% to $3.8 billion, while the non-GAAP operating margin was 44%

Oracle gives Open World preview

Management reported a more than 30% growth rate in their overall cloud services business and an almost 200% growth rate in their Fusion cloud applications business.  They saw a record operating cash flow of $6.7 billion in the quarter, a 7% increase.

“Next week at Oracle Open World, we will be rolling out our database cloud service,” said Oracle Executive Chairman and Chief Technology Officer Larry Ellison in a statement. “Database is our largest software business, and database will be our largest cloud service. With our new multitenant Database as a Service offering, our customers and ISV’s can move any of their existing Oracle databases and applications to the Oracle Cloud with the push of a button.”

Oracle also declared a quarterly dividend of 12 cents per share, which will be paid to shareholders of record as of Oct. 8 on Oct. 29. The company’s board of directors also authorized $13 billion more in share buybacks.

The company also announced today that Larry Ellison is stepping down as CEO.