Oracle Fiscal Year 2027 Q1 Results
Revenue reached $19.3 billion, a 30% year-on-year increase, compared with the market consensus of $19.13 billion.
Adjusted EPS was $1.92, representing a 30% year-on-year increase.
Total cloud revenue hit a record high, rising 62% in USD terms and 61% on a constant currency basis to reach $11.6 billion.
Cloud infrastructure (IaaS) revenue grew 121% in USD terms and 120% on a constant currency basis to reach $7.4 billion, against a market estimate of $7.19 billion.Cloud applications (SaaS) revenue increased 10% in both USD and constant currency terms, reaching $4.2 billion.
Cash Flow:
Operating cash flow in the first quarter reached $23 billion, a year-on-year increase of 184%. First quarterfree cash flowwas negative $5 billion.
Remaining Performance Obligations:
Customer demand for AI cloud training and inference services continues to grow, outpacing supply. Oracle added over $30 billion in new AI cloud contracts in the first quarter, bringing its RPO to $664 billion. Based on the structure of these new contracts, the company confirmed there would be no additional impact on its financing plans. Since the end of the fourth quarter, Oracle has delivered more than 300,000 GPUs to its AI cloud customers, with delivery capacity nearly triple that of the fourth quarter of fiscal year 2026.
Q2 Outlook
Total revenue is expected to grow by 30% to 34% on both a constant currency and USD basis.
Total cloud revenue is projected to grow by 64% to 70% on a constant currency basis, and by 65% to 71% on a USD basis.
Non-GAAP earnings per share are expected to range from $1.83 to $1.91 on a constant currency basis, and from $1.85 to $1.93 on a USD basis. This represents growth of 19% to 23% on a constant currency basis and 21% to 25% on a USD basis (excluding one-time gains from the second quarter of fiscal year 2026).
Full-Year Outlook
For fiscal year 2027, total revenue is projected to be at least $90 billion, with non-GAAP earnings per share of $8.10.
Editor/Liam