Oracle Reports 93% Cloud Growth, Plans $70B AI Data Center Spending
ORCL•Oracle's fiscal Q4 revenue rose 21% to $19.2 billion with adjusted EPS of $2.11, while cloud infrastructure sales jumped 93% to $5.8 billion, outpacing estimates. Capital expenditures hit $16.5 billion in the quarter and the company forecasts $70 billion in AI data center spending for fiscal 2027, funded by $40 billion in debt and equity.
1. Quarterly and Cloud Performance
In its fiscal fourth quarter, Oracle delivered $19.2 billion in revenue, up 21%, with adjusted earnings per share of $2.11, exceeding consensus forecasts. Cloud infrastructure revenue surged 93% to $5.8 billion, ahead of the 91% growth analysts anticipated.
2. Capital Expenditure and Funding Plans
Oracle incurred $16.5 billion in capital expenditures during the quarter, bringing full-year spending to $55.7 billion, above its prior $50 billion projection. The company now projects $70 billion in net capex for fiscal 2027 and plans to raise $40 billion through debt and equity, including a $20 billion at-the-market share sale program.
3. AI Data Center Deployment and RPO
Remaining performance obligations reached $638 billion at quarter-end, largely tied to prepaid AI contracts, reducing future capital needs. At its Abilene, Texas site, Oracle has deployed 42% of planned capacity, with another 35% expected online over the next three months.
