Oracle last night posted fiscal fourth-quarter results that disappointed investors looking for more progress against rivals selling web-based services, sending its shares lower. 

Reflecting expectations of a pickup in its software business and progress in cloud computing, shares of Oracle had gained 10% over the past three months, double the S&P 500's increase. 

But these latest results cast doubt onto Oracle's execution in an industry facing increasingly tight competition. 

Oracle has been rolling out its own cloud-based products but they remain under 5% of its overall revenue. 

A string of acquisitions fueling Oracle's growth has slowed of late although the company is in talks to buy software maker Micros Systems, according to a Bloomberg report this week. 

For the fiscal first quarter, Oracle expects software and cloud revenue to grow between 6-8%, its chief financial officer Safra Catz told analysts on a conference call. That forecast includes expectations for software and platform-related cloud services to grow between 25-35%. 

Oracle said it expects its hardware system revenue to be in a range of down 1-3%. 

For its latest fourth quarter, Oracle said overall revenue rose 3% to $11.3 billion. That was less than the $11.48 billion analysts had expected on average, according to Thomson Reuters. 

Net income fell 4% to $3.6 billion. Earnings per share were unchanged at 80 cents. 

Revenue from Oracle's hardware systems products grew 2% to $870m.