Oracle Announces Fiscal Year 2026 Third Quarter Financial Results

Core Insights - Oracle Corporation reported exceptional financial results for Q3 fiscal 2026, with total revenue reaching $17.2 billion, up 22% in USD and 18% in constant currency, marking the first quarter in over 15 years where both organic total revenue and non-GAAP earnings per share grew by 20% or more in USD [1][2][3] Financial Performance - Q3 NetSuite Cloud ERP (SaaS) revenue was $1.1 billion, up 14% in USD and 11% in constant currency - Q3 Fusion Cloud ERP (SaaS) revenue was $1.1 billion, up 17% in USD and 14% in constant currency - Q3 Cloud Application (SaaS) revenue was $4.0 billion, up 13% in USD and 11% in constant currency - Q3 Oracle Cloud Database (IaaS) revenue increased by 35%, with Multicloud Database revenue soaring by 531% in USD - Q3 Cloud Infrastructure revenue (IaaS) reached $4.9 billion, up 84% in USD and 81% in constant currency - Total Cloud revenue (IaaS plus SaaS) was $8.9 billion, up 44% in USD and 41% in constant currency [1][2] Earnings and Income - Q3 GAAP earnings per share increased by 24% to $1.27, while non-GAAP earnings per share rose by 21% to $1.79 - Q3 GAAP net income was $3.7 billion, and non-GAAP net income was $5.2 billion, up 23% in USD and 18% in constant currency [1][2] Remaining Performance Obligations - Remaining Performance Obligations (RPO) at the end of the quarter stood at $553 billion, up 325% year-over-year, primarily driven by large-scale AI contracts [1][2] Capital Funding - In February, Oracle announced plans to raise up to $50 billion in debt and equity financing, successfully raising $30 billion shortly after through investment-grade bonds and mandatory convertible preferred stock [1][2] AI Market and Technology Evolution - The demand for cloud computing for AI training and inferencing is growing faster than supply, with Oracle positioned to exceed revenue growth forecasts for FY27 and beyond - New AI Code Generation technology is enabling Oracle to build more SaaS applications efficiently, enhancing competitiveness and profitability [1][2] Guidance - For Q4 FY26, Oracle expects non-GAAP earnings per share to grow between 15% to 17%, total Cloud revenue to grow between 44% to 48%, and total revenues to grow between 18% to 20% in constant currency [1][2] Dividend Announcement - The board declared a quarterly cash dividend of $0.50 per share, payable on April 24, 2026, to stockholders of record as of April 9, 2026 [1][2]