In addition to these gains, Oracle’s financial health remains strong, with short-term deferred revenues at $11.5 billion, operating cash flow over the last twelve months at $19.1 billion, and free cash flow at $11.3 billion.Given these results, Oracle’s cloud strategy appears to be a significant driver of its overall success, positioning the company to maintain its momentum in the highly competitive tech industry. The sustained demand for cloud computing, particularly for AI applications, suggests that Orac ...

Key TakeawaysOracle shares surged nearly 9% in extended trading on Monday after the enterprise software company posted better-than-expected fiscal first-quarter results and announced a multicloud partnership with Amazon.Bulls defended a retest of a prior trading range in early August before driving a rally of more than 11% from last month’s low ahead of the company’s quarterly results.Investors should monitor shorter-term and longer-term price targets in Oracle shares at $154 and $180, respectively, while e ...

maybefalse/iStock Editorial via Getty Images I assigned a ‘Sell' rating to Oracle (NYSE:ORCL) in my article published in January 2024, arguing that the company is losing strength in cloud and AI. Oracle released its Q1 FY25 result on September 9th after the bell, reporting 8% growth in revenue and 17% increase in EPS. While I think Oracle’s partnership with Amazon (AMZN) is quite positive for the growth of Oracle’s Autonomous database, I am still concerned about their legacy business including hardware, ...

Financial Data and Key Metrics - Total revenue for Q1 was $13.3 billion, up 8% YoY [10] - Cloud revenue (SaaS and IaaS) grew 22% to $5.6 billion, with SaaS revenue at $3.5 billion (up 10%) and IaaS revenue at $2.2 billion (up 46%) [9] - Non-GAAP EPS was $1.39, up 17% in USD and 18% in constant currency [11] - Operating cash flow for Q1 was $7.4 billion, with free cash flow at $5.1 billion [12] - Remaining Performance Obligations (RPO) grew 52% in constant currency to $99 billion, with cloud RPO representing nearly three-fourths of total RPO [13] Business Line Performance - Strategic back-office SaaS applications grew 18% with annualized revenues of $8.2 billion [9] - Infrastructure cloud services revenue grew 46%, with OCI consumption revenue up 56% [10] - Cloud database services grew 23%, with annualized revenues of $2.1 billion [10] - Software license revenues increased 8% to $870 million, including strong growth in Java [10] Market Performance - The company has 85 cloud regions live, with 77 more planned, including public, dedicated, national security, sovereign, and multi-cloud regions [14] - Multi-cloud agreements with AWS, Microsoft Azure, and Google Cloud are expected to accelerate database growth in public clouds [21][44] Strategic Direction and Industry Competition - The company is expanding OCI capacity to meet demand, with CapEx expected to double in FY2025 compared to FY2024 [14][16] - Oracle's multi-cloud strategy is expected to drive growth, particularly for the Oracle Database, which is now available on AWS, Azure, and Google Cloud [8][21] - The company is focusing on AI-driven applications, with autonomous databases and AI agents integrated into its products to enhance productivity and efficiency [7][27] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in double-digit revenue growth for FY2025, with cloud infrastructure revenue expected to grow faster than last year [16] - The company highlighted the importance of automation and security in its cloud services, with autonomous databases reducing human labor and improving margins [27][30] - Oracle is investing heavily in AI training and inferencing, with plans to build gigawatt-scale data centers to support large AI models [19][35] Other Key Information - The company repurchased 1.1 million shares for $150 million and paid out $4.4 billion in dividends over the last 12 months [15] - Oracle is eliminating passwords in favor of biometric authentication and introducing Zero Trust Packet Routing to enhance security [62][63] Q&A Session Summary Question: Margins and Profitability - Management emphasized that OCI gross margins are improving due to automation and the integration of high-margin database services [25][26] - Autonomous databases are expected to significantly reduce costs, with potential savings of 35-50% as Fusion moves to autonomous systems [32] Question: AI Training vs Inferencing - Oracle sees ongoing demand for both AI training and inferencing, with specialized models driving growth in areas like healthcare [35][36] - The company is building gigawatt-scale data centers to support large AI models, with plans for multi-gigawatt facilities in the future [38] Question: Database Migration to Public Cloud - The company expects database migration to accelerate due to multi-cloud agreements with AWS, Azure, and Google Cloud [41][44] - Private clouds are also expected to grow, with Oracle offering identical functionality in both public and private cloud environments [44] Question: Monetization of GenAI in Applications - Oracle is already monetizing AI in healthcare applications, with AI-driven diagnostics, electronic health records, and prescription systems [47][50] - AI is integrated into all Oracle applications, making it a core component rather than a separate revenue stream [50] Question: Supply Availability and Data Center Infrastructure - Demand continues to outstrip supply, but the company is rapidly expanding capacity through automation and strategic location planning [53][54] - Oracle's fully automated data centers allow for efficient scaling, with plans to manage thousands of data centers globally [56] Question: Security and Large OCI Deals - Oracle is enhancing security through biometric authentication, Zero Trust Packet Routing, and autonomous systems to reduce human error [62][65] - The company's focus on security is a key differentiator in winning large OCI deals, particularly with government and enterprise customers [61][66]

Monday, September 9th, 2024Market indexes spent the full trading session in the green to start a new week on Wall Street. All were off intra-day highs, but only the small-cap Russell 2000 trailed off in the final half-hour of trading or so. The Dow grew +484 points, +1.20%, while the S&P 500 and the Nasdaq were both up +1.16%. The Russell came in +0.31%.Inventories, Credit Move Opposite DirectionsTwo relatively minor economic reports came out during today’s regular trading session: Wholesale Inventories for ...

For the quarter ended August 2024, Oracle (ORCL) reported revenue of $13.31 billion, up 6.9% over the same period last year. EPS came in at $1.39, compared to $1.19 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $13.22 billion, representing a surprise of +0.68%. The company delivered an EPS surprise of +5.30%, with the consensus EPS estimate being $1.32.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they c ...

Oracle (ORCL) came out with quarterly earnings of $1.39 per share, beating the Zacks Consensus Estimate of $1.32 per share. This compares to earnings of $1.19 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 5.30%. A quarter ago, it was expected that this software maker would post earnings of $1.64 per share when it actually produced earnings of $1.63, delivering a surprise of -0.61%.Over the last four quarters, the company has ...

Key TakeawaysOracle's fiscal first-quarter results exceeded analysts' expectations, sending shares higher in extended trading Monday.Revenue from Oracle's cloud services jumped as the company said demand for training AI large language models in the cloud surged.Oracle and Amazon Web Services also announced a multicloud partnership. Oracle (ORCL) shares jumped in extended trading Monday after the software giant reported fiscal first-quarter results that topped analysts’ expectations and announced a new partn ...

About this content About Angela Harmantas Angela Harmantas is an Editor at Proactive. She has over 15 years of experience covering the equity markets in North America, with a particular focus on junior resource stocks. Angela has reported from numerous countries around the world, including Canada, the US, Australia, Brazil, Ghana, and South Africa for leading trade publications. Previously, she worked in investor relations and led the foreign direct investment program in Canada for the Swedish government ...

Exhibit 99.1 For Immediate Release Ken Bond Deborah Hellinger Oracle Investor Relations Oracle Corporate Communications 1.650.607.0349 1.212.508.7935 ken.bond@oracle.com deborah.hellinger@oracle.com Contact : Oracle Announces Fiscal 2025 First Quarter Financial Results • Q1 GAAP Earnings per Share up 20% to $1.03, Non-GAAP Earnings per Share up 17% to $1.39 • Q1 Total Revenue $13.3 billion, up 7% in USD and up 8% in constant currency • Q1 Total Remaining Performance Obligations up 53% to $99 billion • Q1 Cl ...