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Oracle
🇺🇸 NYSE:ORCL
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Feb 28, 2022

Oracle Q3 2022 Earnings Report

Oracle's Q3 2022 financial results were announced, showcasing revenue growth and cloud momentum.

Key Takeaways

Oracle announced Q3 2022 results with total revenue of $10.5 billion, up 4% year-over-year (7% in constant currency). Cloud revenue grew 24% (26% in constant currency), driven by Fusion ERP and NetSuite ERP. GAAP EPS was $0.84, while non-GAAP EPS was $1.13.

Total revenue reached $10.5 billion, a 4% increase (7% in constant currency).

Cloud revenue (IaaS plus SaaS) grew by 24% (26% in constant currency), reaching $2.8 billion.

Fusion ERP Cloud revenue increased by 33% (35% in constant currency).

NetSuite ERP Cloud revenue grew by 27% (29% in constant currency).

Total Revenue
$10.5B
Previous year: $10.1B
+4.2%
EPS
$1.13
Previous year: $1.16
-2.6%
Gross Profit
$8.3B
Previous year: $8.17B
+1.5%
Cash and Equivalents
$22.7B
Previous year: $22.3B
+1.6%
Free Cash Flow
$2.74B
Previous year: $3.29B
-16.6%
Total Assets
$109B
Previous year: $118B
-8.0%

Oracle

Oracle

Oracle Revenue by Segment

Oracle Revenue by Geographic Location

Forward Guidance

Oracle is focusing on expanding its cloud infrastructure and applications businesses.

Positive Outlook

  • MySQL HeatWave database will be available in Amazon Cloud and Microsoft Azure Cloud.
  • MySQL HeatWave is designed to compete with Amazon’s version of MySQL called Aurora, Snowflake and other popular cloud databases.
  • Customers can expect MySQL HeatWave to perform about 7 times faster than Amazon Redshift or Snowflake at 2-5 times lower cost.
  • MySQL HeatWave technology is the best in the market now.
  • Customers will demand that AWS provide similar converged functionality as HeatWave.

Challenges Ahead

  • Q3 earnings per share was lowered by $0.05 primarily because of a decline in the share price of revolutionary gene sequencing company Oxford Nanopore.
  • Q3 earnings per share was lowered by an operating loss at Ampere, the maker of the world’s fastest ARM Server Chips.
  • The COVID-19 pandemic has affected how Oracle and its customers are operating their respective businesses.
  • Oracle's cloud strategy may adversely affect revenues and profitability.
  • Oracle might experience significant coding, manufacturing or configuration errors in its cloud, license and hardware offerings.

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

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