- REUTERS/Thomas Mukoya
Oracle reported its fiscal 2016 results today in which it boasted that its cloud business is growing wildly.
And, when talking to Wall Street analysts on the quarterly conference call, CEO Safra Catz immediately addressed what could have been the elephant in the room: a lawsuit by a former employee that accused the company of “improper and suspect” accounting regarding its cloud business.
Within the first few minutes of the call, she said that the company has reviewed its cloud revenue accounting carefully “and are 100% certain that it is completely accurate, if slightly conservative.”
Catz also said that she is sharing more numbers with analysts including cloud revenue growth, deferred revenue and bookings, to give them insight into how the business is doing.
Oracle execs have been talking up the growth of its cloud business with their usual bravado. Larry Ellison has even been claiming that Oracle’s cloud business is growing so fast, Oracle might come from behind and blast past Salesforce to hit $10 billion in revenue before Salesforce does.
Oracle has been vehemently refuting those accusations by this employee in her lawsuit, in which the employee alleges that Oracle fired her for refusing to report millions of dollars in cloud transactions after the employee questioned them.
Oracle responded to the lawsuit by saying it plans to sue the employee.
“We are confident that all our cloud accounting is proper and correct. This former employee worked at Oracle for less than a year and did not work in the accounting group. She was terminated for poor performanceand we intend to sue her for malicious prosecution.“