Oracle 2008 Annual Report Download - page 32

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Table of Contents
Item 6. Selected Financial Data
The following table sets forth selected financial data as of and for the last five fiscal years. This selected
financial data should be read in conjunction with the consolidated financial statements and related notes
included in Item 15 of this Form 10-K. Over the last five fiscal years, we have acquired a number of
companies including PeopleSoft, Inc., BEA Systems, Inc., Siebel Systems, Inc. and Hyperion Solutions
Corporation. The results of our acquired companies have been included in our consolidated financial
statements since their respective dates of acquisition and have contributed to our growth in revenues, income
and earnings per share.
As of and For The Year Ended May 31,
(in millions, except per share amounts) 2009 2008 2007 2006 2005
Consolidated Statements of Operations
Data:
Total revenues $ 23,252 $ 22,430 $ 17,996 $ 14,380 $ 11,799
Operating income $ 8,321 $ 7,844 $ 5,974 $ 4,736 $ 4,022
Net income $ 5,593 $ 5,521 $ 4,274 $ 3,381 $ 2,886
Earnings per share—basic $ 1.10 $ 1.08 $ 0.83 $ 0.65 $ 0.56
Earnings per share—diluted $ 1.09 $ 1.06 $ 0.81 $ 0.64 $ 0.55
Basic weighted average common shares
outstanding 5,070 5,133 5,170 5,196 5,136
Diluted weighted average common shares
outstanding 5,130 5,229 5,269 5,287 5,231
Cash dividends declared per share $ 0.05 $ — $ — $ — $ —
Consolidated Balance Sheets Data:
Working capital $ 9,432 $ 8,074(1) $ 3,496 $ 5,044(1) $ 385(2)
Total assets $ 47,416 $ 47,268(3) $ 34,572(3) $ 29,029(3) $ 20,687
Notes payable, current and other current
borrowings(4) $ 1,001 $ 1,001 $ 1,358 $ 159 $ 2,693
Notes payable and other non-current
borrowings(5) $ 9,237 $ 10,235 $ 6,235 $ 5,735 $ 159
Stockholders’ equity $ 25,090 $ 23,025 $ 16,919 $ 15,012 $ 10,837
(1) Total working capital increased as of May 31, 2008 and 2006 primarily due to the issuance of $5.0 billion and $5.75 billion,
respectively, in long-term senior notes and increased cash flows from operations.
(2) Total working capital decreased as of May 31, 2005 primarily due to cash paid to acquire PeopleSoft.
(3) Total assets increased as of May 31, 2008, 2007 and 2006 primarily due to goodwill and intangible assets arising from the
acquisitions of BEA in fiscal 2008, Hyperion in fiscal 2007 and Siebel in fiscal 2006, as well as our profitability in all periods
presented. See Note 2 of Notes to Consolidated Financial Statements for additional information on our acquisitions.
(4) Notes payable, current and other current borrowings remained constant in fiscal 2009 due to repayment of $1.0 billion of senior notes
that matured in May 2009 offset by the prospective maturity of $1.0 billion of senior notes due in fiscal 2010. Notes payable, current
and other current borrowings decreased in fiscal 2008 due to repayments of amounts borrowed under our commercial paper program
during fiscal 2007 partially offset by $1.0 billion of senior notes that matured in fiscal 2009. Notes payable, current and other current
borrowings increased in fiscal 2005 due to amounts borrowed under our commercial paper program and amounts borrowed by Oracle
Technology Company, a wholly-owned subsidiary, which were repaid in fiscal 2006.
(5) Notes payable and other non-current borrowings increased between fiscal 2006 and fiscal 2008 due to the issuances of $5.0 billion of
long-term senior notes in fiscal 2008, $2.0 billion of long-term senior notes in fiscal 2007 and $5.75 billion of long-term senior notes
in fiscal 2006, partially offset by redemptions of $1.5 billion in fiscal 2007. In fiscal 2009 and 2008, $1.0 billion of these long-term
senior notes were repaid at maturity. See Note 7 of Notes to Consolidated Financial Statements for additional information on our
notes payable and other borrowings.
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations
We begin Management’s Discussion and Analysis of Financial Condition and Results of Operations with an
overview of our key operating business segments and significant trends. This overview is followed by a
discussion of our critical accounting policies and estimates that we believe are important to understanding the
assumptions and judgments incorporated in our reported financial results. We then provide a more detailed
analysis of our results of operations and financial condition.
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Source: ORACLE CORP, 10-K, June 29, 2009 Powered by Morningstar® Document Research℠