Oracle Corp. posted its latest financial results a day earlier than expected Wednesday. Additionally, the company announced that its co-CEO Mark Hurd is taking a medical leave of absence. The news led to a sudden, sharp -5.29% decline in Oracle shares in after-hours trading Wednesday.
The cloud tech/software company’s adjusted earnings for the latest reported quarter came in at 81 cents a share, in line with estimates compiled by FactSet. The earnings per share are higher than the year-ago quarter’s 71 cents a share.
Revenue of $9.2 billion, however, was a bit lower than analysts’ expectation of $9.3 billion. Its year-ago revenue was $9.2 billion.
But what probably gave a jolt to Oracle’s shares in extended trading Wednesday was news of Mark Hurd, one of the two CEOs of the company, taking a leave of absence for health reasons - nine years after joining the company from Hewlett-Packard.
In Hurd’s absence, Larry Ellison, Oracle’s founder and chief technology officer, will handle Hurd’s responsibilities along with Safra Catz, the other CEO.
Hurd will receive his benefits during his leave, according to Oracle’s regulatory filing on Wednesday. In the fiscal year 2018, Hurd received $108.3 million in total compensation, according to Oracle’s most recent proxy statement.