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Oracle (ORCL) Q4 2024 Earnings Report

Posted on by darion

  • Earnings per share: Adjusted $1.63 vs. expected $1.65
  • Income: $14.29 billion against the expected $14.55 billion

The statement showed that Oracle’s revenue increased 3% year-over-year in the quarter ending May 31. Net income of $3.14 billion, or $1.11 per share, fell from $3.32 billion, or $1.19 per share, in the year-ago quarter.

The Cloud Services and Licensing Support segment generated revenue of $10.23 billion, up 9% and slightly below the StreetAccount consensus of $10.29 billion.

The company’s cloud and on-premises licensing business generated revenue of $1.84 billion. That’s down 15% and less than the StreetAccount consensus of $2.09 billion.

Cloud infrastructure revenue was $2.0 billion, up 42%, decelerating from the prior quarter’s 49% growth rate. The cloud industry remains smaller than rivals Amazon Web Services and Microsoft Azure, but is growing faster.

In a statement on Tuesday, Oracle said it would move its database to the Google cloud, and the database would be available in November. Organizations will be able to deploy workloads to Google and Oracle cloud data center regions without incurring data transfer fees, Oracle says.

In an additional statement, Oracle said OpenAI selected Oracle Cloud to provide additional computing power. OpenAI has been relying on Azure for years.

“We are working as quickly as possible to increase cloud capacity given the magnitude of our backlog and projects,” Oracle CEO Safra Catz said on a conference call with analysts.

This quarter, Oracle announced that its database software will be available in five additional Azure regions, bringing the total to 15. Oracle also announced the introduction of generative AI capabilities for Fusion cloud applications for supply chain and human resources.

Regardless of the after-hours move, Oracle shares are up 18% so far this year, while the S&P 500 is up about 13% over the same period.

Management will discuss the results with analysts and provide guidance during a conference call beginning at 5 p.m. EST.

This is breaking news. Please check back for updates.

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