Oracle Q3 earnings: ‘demand for our Gen2 AI infrastructure exceeds supply’

Oracle Inc (NYSE: ORCL) is trading up in extended hours on Monday after reporting market-beating financial results for its third quarter.

Oracle stock up on impressive cloud revenue

The computer technology company continued to see strength in its cloud revenue that printed at $5.1 billion in Q3 – up 25% on a year-over-year basis.

Analysts, in comparison, were at billion. Safra Catz – the chief executive of Oracle Inc said in a press release today:

We expect to continue receiving large contracts reserving cloud infrastructure capacity because the demand for our Gen2 AI infrastructure substantially exceeds supply.

The New York listed firm also announced 40 cents a share of quarterly cash dividend on Monday. $ORCL has now gained roughly 45% over the past twelve months.

Watch here: https://www.youtube.com/embed/0WRKItGVNFs?feature=oembed

Oracle Q3 earnings snapshot

• Earned $2.4 billion versus the year-ago $1.89 billion
• Per-share earnings also climbed from 68 to 85 cents
• Adjusted EPS printed at $1.41 as per the earnings report
• Revenue jumped 7.0% year-over-year to $13.3 billion
• Consensus was $1.38 a share on $13.29 billion in revenue

Oracle ended its third quarter with a 29% increase in total remaining performance obligations to $80 billion. CEO Catz also said on Monday:

We expect that our Gen2 Cloud Infrastructure business will remain in a hypergrowth phase—up 53% in Q3—for the foreseeable future.

This is a developing story. Check back in a few minutes for more updates!

.@Oracle was recognized by @Gartner_inc as a Leader in Integration Platform as a Service.
✅Recognized as a Leader for the seventh consecutive time in iPaaS.
✅Placed in the Leaders Quadrant in the 2023 Gartner® Magic Quadrant™ for Data Integration Tools. https://t.co/HgRZRV2jh8

— Juan Fernández (@juanfdezortega) March 5, 2024

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