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Backlog: Increased by $48 billion, reaching $130 billion, up 63% year-over-year.
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Cloud Revenue: Total cloud revenue at SaaS and IaaS was $6.2 billion, up 25%.
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SaaS Revenue: $3.6 billion, up 10%.
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IaaS Revenue: $2.7 billion, up 51%.
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Total Cloud Services and License Support Revenue: $11 billion, up 12%.
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Infrastructure Subscription Revenues: $6.2 billion, up 18%.
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Oracle Cloud Infrastructure Revenue: Up 51% in Q3.
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Cloud Database Services Revenue: Up 28%, with annualized revenue of $2.3 billion.
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Autonomous Database Consumption Revenue: Up 42%.
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Total Revenues: $14.1 billion, up 8% from last year.
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Operating Income: Grew 9%, with an operating margin of 44%.
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Non-GAAP EPS: $1.47, up 4% in USD, up 7% in constant currency.
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GAAP EPS: $1.02, up 20% in USD, up 25% in constant currency.
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Cash and Marketable Securities: $17.8 billion at quarter end.
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Operating Cash Flow: $5.9 billion for Q3.
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CapEx: Expected to be around $16 billion for fiscal year 2025.
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Dividend: Increased by 25% to $0.50 per share.
Release Date: March 10, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Oracle Corp (NYSE:ORCL) reported its strongest booking quarter ever, adding $48 billion to its backlog, with a 63% year-over-year growth in RPO.
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The company achieved a milestone with its 101st cloud region coming online, indicating a strategic advantage in cloud infrastructure.
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Oracle Cloud Infrastructure (OCI) revenue grew by 51% in Q3, driven by record-level AI demand, outperforming hyperscaler competitors.
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Oracle’s strategic back-office SaaS applications now have an annualized revenue of $8.6 billion, reflecting an 8% growth.
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The company increased its quarterly dividend by 25%, demonstrating a commitment to returning value to shareholders.
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Oracle Corp (NYSE:ORCL) faced component delays that slowed cloud capacity expansion, although these are expected to ease in Q1 FY26.
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Software license revenues declined by 8% to $1.1 billion, indicating a potential challenge in this segment.
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The non-GAAP tax rate for the quarter was higher than expected, impacting EPS by $0.02.
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Currency headwinds negatively affected EPS by $0.04, highlighting exposure to foreign exchange fluctuations.
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The company’s Q4 EPS guidance is negatively impacted by $0.03 due to losses recognized from an investment in another company.
Q: Larry, can you expand more on Stargate and Oracle’s unique value add in this massive AI venture with OpenAI and NVIDIA? A: Lawrence Ellison, Chairman and CTO, explained that Oracle’s unique capability lies in building large AI clusters that run faster and more economically than competitors. This technological advantage translates into an economic advantage, allowing Oracle to secure significant deals like Stargate. The Stargate project, expected to be the largest AI training project, will further boost Oracle’s RPO in the future.
