Oracle reported better-than-expected earnings and revenue for the fiscal Q4 on Wednesday, along with an increased full-year profit forecast. Despite the earnings success, the company’s stock declined following news of a planned AI fundraising initiative.
Oracle reported Q4 GAAP operating income of $6.1 billion, up 20%, while non-GAAP operating income reached a record $8.6 billion, up 22%, driven by strong revenue growth and efficiency initiatives during the quarter.
GAAP net income available to common shareholders was $4.2 billion, an increase of 23%, and non-GAAP net income rose to $6.2 billion, up 26%.
For fiscal year 2026, Oracle’s total revenues increased 17% to a record $67.4 billion.
Cloud revenues increased 39% to $34.0 billion. Software revenues were down 1% to $24.5 billion. Services revenues were $5.7 billion, up 10%, and Hardware revenues were $3.1 billion, up 5%.
The company told investors it plans to raise more money to finance its AI buildout. “Oracle’s capital investment program supports the pursuit of unprecedented opportunities in AI Cloud Infrastructure as described at our most recent Financial Analyst Meeting. In fiscal year 2026, Oracle raised $43 billion in debt financing and $5 billion in equity financing. In fiscal year 2027, Oracle expects to raise approximately $40 billion through a combination of debt and equity financing including its previously announced $20 billion at-the-market equity issuance. Oracle does not expect to issue additional debt in calendar year 2026.”
Moving forward, Oracle said, “For fiscal year 2027, we confirm our prior revenue guidance of $90 billion total revenue and raise our non-GAAP EPS guidance to $8.05, which is growth of 18%.”
Following the announcement, Oracle’s stock dropped 10%.
The company’s stock has increased by 3% so far in 2026.
By CEO NA Editorial Staff
