Oracle Corporation 8-K
PositiveEarningsNew guidance
Strong cloud demand and added data center capacity fueled cloud infrastructure growth; heavy capital spending deepened negative free cash flow.
Filed 2026-09-10 16:16 ET
- 2.02 Results of Operations
- 8.01 Other Events
- 9.01 Financial Statements and Exhibits
Summary
Q1 FY2027 results with Q2 and FY2027 guidance, plus declared dividends. Revenue rose 30% and cloud revenue rose 62%, led by 121% growth in cloud infrastructure; Oracle attributed growth to strong cloud demand and delivery of 850 MW of additional data center capacity. The board declared quarterly dividends of $0.50 per common share and $1,625 per mandatory convertible preferred share.
Key Figures
| Metric | Q1 FY2027 | Q1 FY2026 | Y/Y |
|---|---|---|---|
| Revenue | $19.3B | $14.9B | 30% |
| Cloud revenue | $11.6B | $7.19B | 62% |
| Operating income, GAAP | $6.73B | $4.28B | 57% |
| Operating income, non-GAAP | $8.15B | $6.24B | 31% |
| Net income available to common shareholders, GAAP | $4.68B | $2.93B | 60% |
| Net income available to common shareholders, non-GAAP | $5.76B | $4.28B | 34% |
| Diluted EPS, GAAP | $1.56 | $1.01 | 55% |
| Diluted EPS, non-GAAP | $1.92 | $1.47 | 30% |
| Operating cash flow | $23.1B | $8.14B | 184% |
| Free cash flow, non-GAAP | $(5.40)B | $(362)M | n/m |
- Cloud infrastructure revenue was $7.39B, up 121%; cloud applications revenue was $4.22B, up 10%. Software revenue declined 3% to $5.55B as customers continued moving from on-premises software to cloud.
- RPO reached $664B, up $209B Y/Y; Oracle booked more than $30B of additional AI cloud contracts and delivered more than 300,000 GPUs since Q4, almost triple Q4 FY2026 deliveries.
- Capital expenditures were $28.5B vs $8.50B a year earlier. Oracle completed a $20B common-stock ATM sale before commissions ($19.9B net proceeds); cash and cash equivalents were $36.4B at quarter-end vs $31.3B at May 31, 2026. Common dividends are payable 10/23/2026 to holders of record 10/9/2026; preferred dividends are payable 10/15/2026 to holders of record 10/1/2026.
Guidance
| Metric | Period | Guidance | Prior | Direction |
|---|---|---|---|---|
| Total revenue growth | Q2 FY2027 | 30%-34% in constant currency and USD | — | — |
| Total cloud revenue growth | Q2 FY2027 | 64%-70% in constant currency; 65%-71% in USD | — | — |
| EPS, non-GAAP | Q2 FY2027 | $1.83-$1.91 in constant currency; $1.85-$1.93 in USD; growth of 19%-23% and 21%-25%, respectively, excluding the prior-year one-time gain | — | — |
| Total revenue | FY2027 | At least $90B | — | — |
| EPS, non-GAAP | FY2027 | $8.10 | — | — |
Including the Q2 FY2026 one-time investment gain, Oracle expects Q2 FY2027 non-GAAP EPS to decline 19%-15% in constant currency and 18%-14% in USD.
Investor Takeaways
- Q2 revenue and cloud growth versus the guided ranges will indicate whether cloud demand continues to translate into reported growth.
- Watch data center capacity delivery and capital spending alongside free cash flow as Oracle scales its cloud infrastructure.
The summary is written by an AI model reading the filing.
Model 005 · prompt 01d34d48e3