EX-12.01 2 d725622dex1201.htm EX-12.01 EX-12.01

Exhibit 12.01

ORACLE CORPORATION

CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES

(Unaudited)

 

     Year Ended May 31,  

(Dollars in millions)

    2014      2013      2012      2011      2010  

Earnings(1)

            

Income before provision for income taxes

    $ 13,704       $ 13,898       $ 12,962       $ 11,411       $ 8,243   

Add: Noncontrolling interests

      98         112         119         97         95   

Add: Fixed charges

      968         850         827         875         808   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total earnings

    $ 14,770       $ 14,860       $ 13,908       $ 12,383       $ 9,146   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Fixed Charges(2)

            

Interest expense

    $ 914       $ 797       $ 766       $ 808       $ 754   

Estimate of interest in rent expense

      54         53         61         67         54   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total fixed charges

    $ 968       $ 850       $ 827       $ 875       $ 808   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratio of earnings to fixed charges

      15x         17x         17x         14x         11x   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

(1)  The term “earnings” means the amounts resulting from the following: (a) our income before provision for income taxes, plus (b) the noncontrolling interests in the net income of our majority owned subsidiaries, plus (c) our fixed charges.
(2)  The term “fixed charges” means the amounts resulting from the following: (a) our interest expensed, plus (b) our estimate of the interest component of rent expense.

We do not report any shares of preferred stock outstanding in our consolidated financial statements because our outstanding preferred stock is owned by one or more of our wholly-owned subsidiaries. Our ratio of earnings to combined fixed charges and preferred dividends for any given period is equivalent to our ratio of earnings to fixed charges.