Oracle (ORCL) Q4 earnings report 2026

Seer It reported better-than-expected earnings and revenue for its fiscal fourth quarter on Wednesday, while also raising its profit forecast for the year. The stock fell 7% in extended trading as the company plans to raise more money to fund its AI development.

Here is the company’s performance compared to the LSEG consensus:

• Earnings per share: Adjusted $2.11, expected $1.96
• Revenues: 19.10 billion dollars is expected against the expectation of 19.18 billion dollars

Revenue rose 21% year-over-year in the quarter ended May 31, according to a study. expression. Net income rose to $4.22 billion, or $1.45 per share, from $3.43 billion, or $1.19 per share, a year ago. Adjusted earnings do not include the impact of stock-based compensation.

The company maintained its previous revenue forecast of $90 billion for fiscal 2027, while increasing its adjusted earnings per share forecast to $8.05. Analysts were forecasting $8.01 per share and revenue of $88.90 billion.

Oracle said it anticipates raising $40 billion through debt and equity financing, including the $20 billion share sale it previously announced. This follows raising $43 billion in debt and $5 billion in equity capital in fiscal 2026; It was a move that worried investors due to uncertainty about whether AI demand could justify such new capital.

For the fiscal year, Oracle reported negative free cash flow of $23.7 billion, with impairment nearly doubling to $7.62 billion. Capital expenditures increased 162% to $55.66 billion.

The company forecast a 27% to 29% increase in adjusted earnings per share for the fiscal first quarter to $1.72 to $1.76. Analysts surveyed by LSEG expected adjusted earnings per share of $1.68 and revenue of $19.06 billion; This means approximately 28% growth.

Revenue from cloud offerings rose 47% to $9.91 billion in the quarter. Analysts polled by StreetAccount were expecting $9.97 billion. Software revenue, including licenses and support, fell 2 percent to $6.82 billion but beat StreetAccount’s $6.93 billion forecast.

Cloud infrastructure revenue increased 93% to $5.8 billion. market leader Amazon Web Services cloud generated $37.59 billion in revenue in the March quarter.

Oracle’s remaining performance liability, including unrecognized revenue, rose 363% to $638 billion on May 31. Analysts surveyed by StreetAccount were looking for $595.67 billion.

“Most of the RPO growth in both the third and fourth quarters was driven by large-scale AI contracts where the customer pre-paid Oracle for the purchase of GPUs or where the customer purchased GPUs and provided them to Oracle,” the company said in a statement, using abbreviations for remaining performance liability and graphics processing units. he said.

The two mechanisms reduce the total Oracle will need to build the data center, the company said.

Bank of America analysts who recommended buying Oracle shares said more than 50% of the remaining performance liability comes from OpenAI.

In the quarter, Oracle hired Schneider Electric executive Hilary Maxson as its new team chief financial officer. Related Digital and Blackstone said: secure financing for a $16 billion Oracle data center site in Michigan.

As of Wednesday’s close, Oracle is up 3% so far in 2026, while the S&P 500 has gained 6% in the same period.

Executives will discuss the results in a conference call starting at 5pm ET.

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