Oracle Q3 EPS Beats; Forecasts 21% Q4 Growth, $553B Backlog
Oracle beat Q3 estimates with EPS $1.79 on $17.2B revenue and forecast Q4 revenue growth up to 21%, sending shares up over 8% in extended trading. The company’s cloud infrastructure backlog now totals $553B driven by 84% YoY AI demand, though it plans $50B of data-center capex for fiscal 2026.
1. Strong Q3 Results Beat Estimates
Oracle reported third-quarter earnings per share of $1.79 on revenue of $17.2 billion, surpassing consensus estimates and lifting shares more than 8% in extended trading.
2. Bullish Q4 Forecast
Management projects up to 21% revenue growth for the fourth quarter, reflecting confidence in sustained enterprise spending on cloud and AI infrastructure.
3. Cloud Infrastructure Backlog and Growth
The cloud infrastructure segment grew 84% year over year, driving the total order backlog to $553 billion as customers lock in capacity for AI and generative computing projects.
4. Infrastructure Investment and Risks
Oracle plans $50 billion in capital expenditures on data-center builds during fiscal 2026 to meet demand, which could pressure margins amid uncertainty in the AI hardware market.