Oracle 2014 Annual Report Download - page 79

Table of Contents
The following tables set forth selected unaudited quarterly information for our last eight fiscal quarters. We believe that all necessary
adjustments, which consisted only of normal recurring adjustments, have been included in the amounts stated below to present fairly the results
of such periods when read in conjunction with the consolidated financial statements and related notes included elsewhere in this Annual Report.
The sum of the quarterly financial information may vary from the annual data due to rounding.
Stock Options and Restricted Stock-Based Awards
Our stock-based compensation program is a key component of the compensation package we provide to attract and retain certain of our talented
employees and align their interests with the interests of existing stockholders.
We recognize that stock options and restricted stock-based awards dilute existing stockholders and have sought to control the number of stock
options and restricted stock-based awards granted while providing competitive compensation packages. Consistent with these dual goals, our
cumulative potential dilution since June 1, 2012 has been a weighted average annualized rate of 1.9% per year. The potential dilution percentage
is calculated as the average annualized new stock options or restricted stock-based awards granted and assumed, net of stock options and
restricted stock-based awards forfeited by employees leaving the company, divided by the weighted average outstanding shares during the
calculation period. This maximum potential dilution will only result if all stock options are exercised and restricted stock-based awards vest. Of
the outstanding stock options at May 31, 2015, which generally have a 10-year exercise period, less than 1.0% have exercise prices higher than
the market price of our common stock on such date. In recent years, our stock repurchase program has more than offset the dilutive effect of our
stock-based compensation program; however, we may reduce the level of our stock repurchases in the future as we may use our available cash
for acquisitions, to pay dividends, to repay or repurchase indebtedness or for other purposes. At May 31, 2015, the maximum potential dilution
from all outstanding and unexercised stock options and restricted stock-based awards, regardless of when granted and regardless of whether
vested or unvested and including stock options where the strike price is higher than the market price as of such date, was 10.2%.
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Fiscal 2015 Quarter Ended (Unaudited)
(in millions, except per share amounts)
August 31
November 30
February 28
May 31
Revenues
$
8,596
$
9,598
$
9,327
$
10,706
Gross profit
$
6,878
$
7,657
$
7,394
$
8,611
Operating income
$
2,963
$
3,542
$
3,383
$
3,982
Net income
$
2,184
$
2,502
$
2,495
$
2,758
Earnings per share
—
basic
$
0.49
$
0.57
$
0.57
$
0.63
Earnings per share
—
diluted
$
0.48
$
0.56
$
0.56
$
0.62
Fiscal 2014 Quarter Ended (Unaudited)
(in millions, except per share amounts)
August 31
November 30
February 28
May 31
Revenues
$
8,372
$
9,275
$
9,307
$
11,320
Gross profit
$
6,607
$
7,420
$
7,490
$
9,340
Operating income
$
2,873
$
3,410
$
3,567
$
4,909
Net income
$
2,191
$
2,553
$
2,565
$
3,646
Earnings per share
—
basic
$
0.48
$
0.56
$
0.57
$
0.81
Earnings per share
—
diluted
$
0.47
$
0.56
$
0.56
$
0.80