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May 31, 2023

Oracle Q4 2023 Earnings Report

Oracle's Q4 2023 financial results were announced, showcasing revenue growth and cloud performance.

Key Takeaways

Oracle announced its Q4 Fiscal Year 2023 results, with total revenue reaching $13.8 billion, up 17% in USD. The cloud business, including IaaS and SaaS, grew significantly, contributing $4.4 billion, up 54% in USD. GAAP earnings per share were $1.19, and non-GAAP earnings per share were $1.67.

Total revenue reached $13.8 billion, a 17% increase in USD.

Cloud revenue (IaaS plus SaaS) grew to $4.4 billion, up by 54% in USD.

Cloud Infrastructure (IaaS) revenue increased to $1.4 billion, a 76% rise in USD.

GAAP earnings per share were reported at $1.19, with non-GAAP earnings per share at $1.67.

Total Revenue
$13.8B
Previous year: $11.8B
+16.9%
EPS
$1.67
Previous year: $1.54
+8.4%
Gross Profit
$10.1B
Previous year: $9.44B
+7.0%
Cash and Equivalents
$9.77B
Previous year: $21.4B
-54.3%
Free Cash Flow
$3.73B
Previous year: $2.56B
+45.7%
Total Assets
$134B
Previous year: $109B
+23.0%

Oracle

Oracle

Oracle Revenue by Segment

Oracle Revenue by Geographic Location

Forward Guidance

Oracle's Gen2 Cloud has become the number 1 choice for running Generative AI workloads, due to having the highest performance, lowest cost GPU cluster technology in the world. NVIDIA themselves are using Oracle's clusters, including one with more than 4,000 GPUs, for their AI infrastructure.

Positive Outlook

  • Oracle's revenue reached an all-time high of $50 billion in FY23.
  • Cloud applications and infrastructure businesses grew at a combined rate of 50% in constant currency.
  • Infrastructure growth rate has been accelerating, with 63% growth for the full year, and 77% growth in the fourth quarter.
  • Cloud applications growth rate also accelerated in FY23.
  • Oracle's Gen2 Cloud has quickly become the number 1 choice for running Generative AI workloads.

Challenges Ahead

  • Supply chain constraints and third-party manufacturing and logistics delays.
  • Significant coding, manufacturing or configuration errors in our offerings.
  • Economic, political and market conditions.
  • Information technology system failures, privacy concerns and cybersecurity breaches.
  • Unfavorable legal proceedings, government investigations, and complex and changing laws and regulations.

Revenue & Expenses

Visualization of income flow from segment revenue to net income