From left, former Fox Corp. Executive Chairman Rupert Murdoch and Larry Ellison, Oracle's co-founder, chief technology officer and executive chairman, listen as U.S. President Donald Trump speaks to reporters in the Oval Office of the White House in Washington on Feb. 3, 2025.
Oracle shares rose about 8% in extended trading on Wednesday after the software maker reported results that exceeded Wall Street estimates and signaled that cloud growth will accelerate.
Here's how the company did in comparison with LSEG consensus:
Earnings per share: $1.70 adjusted vs. $1.64 expected
$1.70 adjusted vs. $1.64 expected Revenue: $15.9 billion vs. $15.59 billion expected
Revenue increased 11% year over year during the fiscal fourth quarter, which ended on May 31, according to a statement. Net income rose to $3.43 billion, or $1.19 per share, from $3.14 billion, or $1.11 per share, in the same quarter last year.
The company called for $1.46 to $1.50 in adjusted earnings per share for the fiscal first quarter, with revenue growth in the range of 12% to 14%. Analysts surveyed by LSEG had expected $1.48 in earnings per share and $14.96 billion in revenue, which implies 12.4% growth.
Cloud infrastructure revenue should increase more than 70% in the 2026 fiscal year, up from growth of 52% in the quarter, CEO Safra Catz said on a conference call with analysts. She called for more than $67 billion in fiscal 2026 revenue, compared with the LSEG consensus of $65.18 billion.
Looking out further, Oracle will likely exceed the $104 billion revenue target for fiscal 2029 that it provided in September, Catz said.
The company said fiscal fourth-quarter revenue from cloud services and license support totaled $11.7 billion, topping the $11.59 billion consensus from analysts polled by StreetAccount. Cloud and on-premises license revenue of $2.01 billion was above StreetAccount's $1.82 billion consensus.
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