Financial Data and Key Metrics Changes - In Q4 2025, total revenue increased by 6% to $270 million, with full-year revenue totaling $1.08 billion, up 4% [20][22] - Cloud revenue for Q4 reached $109 million, up 20%, contributing to a full-year cloud revenue increase of 21% to $408 million [22] - Adjusted earnings per diluted share increased to $1.21 in Q4, a 3% rise, while full-year adjusted earnings per share rose 7% to $5.06 [23] - RPO (Remaining Performance Obligations) increased by 25% year-over-year to $2.2 billion [22] Business Line Data and Key Metrics Changes - Services revenue in Q4 was $120 million, returning to growth earlier than expected, while full-year services revenue declined 4% to $503 million [22][23] - Competitive win rates remained over 70%, with over 75% of new cloud bookings generated from net new logos [10] Market Data and Key Metrics Changes - The company reported strong performance across various sectors, including retail, grocery, and life sciences, with significant new logo acquisitions in Q4 [11][12] - The pipeline remains strong, with opportunities for growth through new customer additions and cross-selling existing products [13] Company Strategy and Development Direction - The company aims to leverage its strengths in cloud solutions and AI capabilities to drive growth, with a focus on faster implementation and customer satisfaction [7][8] - Strategic investments in sales and marketing, along with the introduction of new leadership roles, are expected to enhance operational effectiveness [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, citing record cloud bookings and strong cash flow as indicators of robust business fundamentals [5][31] - The company anticipates continued momentum into 2026, with a target for total revenue growth of 10% and cloud revenue growth of 21% [26][28] Other Important Information - The company introduced a new metric, ramped ARR (Annual Recurring Revenue), which exceeded $600 million, up 23% year-over-year, to provide better visibility into cloud revenue growth [11][21] - The company plans to invest in share repurchases, having already repurchased $275 million worth of shares in 2025 [25] Q&A Session Summary Question: Comments on cloud migrations and renewals - Management noted early success in converting on-prem customers to cloud solutions and building a strong pipeline for 2026 [34][35] Question: Insights on faster implementation times - Management confirmed progress in accelerating deployment timelines, allowing for fixed-fee, fixed-timeline deals [40][41] Question: Clarification on cash taxes and free cash flow - Management indicated that cash taxes would remain stable, with free cash flow expected to align closely with EBIT and EBITDA [43] Question: RPO strength and deal timing - Management highlighted that Q4 RPO strength was driven by a variety of products and deal types, providing confidence in the pipeline for 2026 [47][49] Question: Services business outlook - Management expressed confidence in the services business, driven by strong bookings growth and the introduction of agentic AI, which is expected to enhance service offerings [61][62]

change. Oracle shares are higher today after what's been a very brutal few weeks. The AI darling that made Larry Ellison the world's richest man is now down more than 20% just this month alone.Fears about its debt and exposure to open AI is weighing heavily on that stock. But none of this comes as a surprise to our next guest who launched his coverage of the stock Oracle as a sell-rated one back in September. Those shares are down more than 30% since that call.For more, let's bring in Alex Heisle of Rothsch ...

Investment Recommendation - The firm upgraded Oracle to a buy rating with a target price of $410 per share due to a "bookings bonanza" [1] - The upgrade is based on a bullish forecast for the next 3 to 5 years, surprising analysts [2] - The firm believes the stock is not particularly stretched, trading at a mid-30s earnings multiple on FY28 numbers, similar to Microsoft's valuation [6] Financial Performance & Projections - Oracle added $300 billion of new Remaining Performance Obligation (RPO) to the business [3] - The firm's revenue and EPS numbers for FY28 increased by 25% to 30% [4] - The firm anticipates Oracle's consolidated revenue growth will approach 50% in a few years [5] - Cloud Infrastructure (OCI) revenue is projected to reach $18 billion in 2026, $32 billion in 2027, $73 billion in 2028, and $144 billion in 2029 [7] Key Growth Drivers & Considerations - Oracle is expected to announce additional contracts and potentially close in on $500 billion of RPO [5] - The company's AI world conference in Las Vegas next month is expected to bring additional positive surprises on margins [5] - A key question is Oracle's ability to convert RPO into revenue, requiring power contracts, data center space, chips, and customer payments [9] - Oracle's customers include high-quality, well-funded companies like Meta, XAI, OpenAI, and Microsoft, reducing concerns about payment [9]

Group 1 - ServiceNow reported $3.22 billion in revenue for the quarter ended June 2025, a year-over-year increase of 22.4% [1] - The EPS for the same period was $4.09, compared to $3.13 a year ago, indicating a significant growth [1] - The reported revenue exceeded the Zacks Consensus Estimate of $3.12 billion, resulting in a surprise of +3.02% [1] Group 2 - The company delivered an EPS surprise of +15.54%, with the consensus EPS estimate being $3.54 [1] - Current Remaining Performance Obligations (cRPO) were $10.92 billion, surpassing the $10.48 billion average estimate [4] - Remaining Performance Obligations (RPO) totaled $23.90 billion, compared to the $22.11 billion average estimate [4] Group 3 - Revenues from Professional services and other reached $102 million, exceeding the $88.78 million estimated by analysts [4] - Subscription revenues were $3.11 billion, compared to the $3.03 billion estimated by analysts, reflecting a +22.5% change year-over-year [4] - Gross Profit (Non-GAAP) from Subscription was $2.59 billion, slightly above the $2.53 billion estimated by analysts [4]