Oracle Reports Robust Fiscal 2024 Q4 and Full-Year Financial Results

Oracle
Corporation
(NYSE:
ORCL)
has
announced
its
fiscal
2024
Q4
and
full-year
financial
results,
showcasing
a
notable
increase
in
revenues
and
operating
income,
driven
by
strong
demand
in
cloud
services
and
AI
training
models,
according
to

Oracle
blog.

Q4
and
Full-Year
Financial
Highlights

For
the
fourth
quarter,
Oracle
reported
a
3%
year-over-year
increase
in
total
revenues,
reaching
$14.3
billion,
and
a
4%
rise
in
constant
currency.
Cloud
services
and
license
support
revenues
saw
a
significant
9%
boost
in
USD,
amounting
to
$10.2
billion,
and
a
10%
increase
in
constant
currency.
However,
cloud
license
and
on-premise
license
revenues
declined
by
15%
in
USD
and
14%
in
constant
currency,
totaling
$1.8
billion.

Q4
GAAP
operating
income
stood
at
$4.7
billion,
while
non-GAAP
operating
income
was
reported
at
$6.7
billion,
marking
an
8%
increase
in
USD
and
9%
in
constant
currency.
The
GAAP
operating
margin
was
33%,
with
a
non-GAAP
operating
margin
of
47%.
GAAP
net
income
for
the
quarter
was
$3.1
billion,
and
non-GAAP
net
income
reached
$4.6
billion.
GAAP
earnings
per
share
(EPS)
were
$1.11,
whereas
non-GAAP
EPS
was
$1.63.

Short-term
deferred
revenues
were
$9.3
billion,
and
operating
cash
flow
for
the
fiscal
year
2024
was
$18.7
billion,
up
9%
in
USD.

Full-Year
Performance

For
the
full
fiscal
year
2024,
Oracle’s
total
revenues
increased
by
6%
in
both
USD
and
constant
currency,
reaching
$53.0
billion.
Cloud
services
and
license
support
revenues
rose
by
12%
in
USD
and
11%
in
constant
currency,
totaling
$39.4
billion.
Conversely,
cloud
license
and
on-premise
license
revenues
decreased
by
12%
in
both
USD
and
constant
currency,
amounting
to
$5.1
billion.

GAAP
operating
income
for
the
fiscal
year
was
$15.4
billion,
with
a
GAAP
operating
margin
of
29%.
Non-GAAP
operating
income
was
$23.1
billion,
and
the
non-GAAP
operating
margin
was
44%.
GAAP
net
income
reached
$10.5
billion,
while
non-GAAP
net
income
was
$15.7
billion.
GAAP
EPS
was
$3.71,
and
non-GAAP
EPS
was
$5.56.

AI
and
Cloud
Collaboration

Oracle’s
CEO,
Safra
Catz,
highlighted
the
impact
of
AI
on
the
company’s
performance,
noting, “In
Q3
and
Q4,
Oracle
signed
the
largest
sales
contracts
in
our
history—driven
by
enormous
demand
for
training
AI
large
language
models
in
the
Oracle
Cloud.”
These
contracts
significantly
boosted
Oracle’s
remaining
performance
obligation
(RPO)
by
44%
to
$98
billion.

Larry
Ellison,
Oracle’s
Chairman
and
CTO,
emphasized
the
company’s
expanded
multicloud
cooperation
with





Microsoft
in
Q4,
supporting
OpenAI
and
ChatGPT.
Ellison
mentioned
that
11
out
of
the
23
OCI
data
centers
being
built
inside
Azure
are
now
operational,
enhancing
cloud
database
growth.
Additionally,
Oracle
has
signed
an
agreement
with
Google
to
interconnect
their
clouds,
with
12
OCI
data
centers
expected
to
go
live
within
the
Google
Cloud
by
September
2024.

Dividend
Declaration

The
board
of
directors
declared
a
quarterly
cash
dividend
of
$0.40
per
share
of
outstanding
common
stock,
payable
to
stockholders
of
record
as
of
July
11,
2024,
with
a
payment
date
of
July
25,
2024.

Earnings
Conference
Call
and
Webcast

Oracle
will
hold
a
conference
call
and
webcast
to
discuss
these
results
at
4:00
p.m.
Central.
A
live
and
replay
webcast
will
be
accessible
on
the
Oracle
Investor
Relations
website.

Image
source:
Shutterstock

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