Oracle’s remaining performance obligation jumped 363% to $638 billion in Q4, topping Google’s $627 billion cloud backlog and highlighting accelerated cloud demand. To fund a planned $95 billion fiscal 2027 capex, Oracle will raise up to $40 billion in debt and equity, spurring an 11% stock drop.
Oracle reported a 363% year-on-year jump in remaining performance obligations to $638 billion in Q4, exceeding Google’s $627 billion cloud backlog and underscoring strong enterprise demand for its cloud services.
The company outlined up to $95 billion in capital expenditure for fiscal 2027—comprising $70 billion base spending plus $20–$25 billion in component prepayments—backed by a $40 billion debt and equity raise following $43 billion in debt financing this year.
Oracle shares fell 11% after the spending disclosure as investors weighed the impact of heavy capex, potentially intensifying competitive pressure on Google’s cloud operations and profit margins.
