- Q3 GAAP Earnings per Share $0.85, Non-GAAP Earnings per Share up 16% to
$1.41
- Q3 Total Revenue $13.3
billion, up 7% in both USD and constant currency
- Q3 Total Remaining Performance Obligations up 29% to
$80 billion
- Q3 Cloud Revenue (IaaS plus SaaS) $5.1 billion, up 25% in USD, up 24% in constant
currency
- Q3 Cloud Infrastructure (IaaS) Revenue $1.8 billion, up 49% in both USD and constant
currency
- Q3 Cloud Application (SaaS) Revenue $3.3 billion, up 14% in both USD and constant
currency
- Q3 Fusion Cloud ERP (SaaS) Revenue $0.8 billion, up 18% in both USD and constant
currency
- Q3 NetSuite Cloud ERP (SaaS) Revenue $0.8 billion, up 21% in USD, up 20% in constant
currency
AUSTIN,
Texas, March 11, 2024 /PRNewswire/ --
Oracle Corporation (NYSE: ORCL) today announced fiscal
2024 Q3 results. Total quarterly revenues were
up 7% year-over-year in both USD and
constant currency to $13.3 billion. Cloud
services and license support revenues were up
12% in USD and up 11%
in constant currency to $10.0
billion. Cloud license and on-premise license revenues were
down 3% in both USD and constant currency
to $1.3
billion.
Q3 GAAP operating income was $3.8
billion. Non-GAAP operating income was
$5.8 billion, up 12%
in both USD and constant currency. GAAP operating margin
was 28%, and non-GAAP operating margin
was 44%. GAAP net income was
$2.4 billion. Non-GAAP net income was
$4.0 billion, up 18%
in both USD and constant currency. Q3 GAAP earnings per share
was $0.85
while non-GAAP earnings per share was
$1.41,
up 16% in both USD and constant
currency.
Short-term deferred revenues were $8.9
billion. Over the last twelve months, operating cash flow
was $18.2 billion and free cash flow
was $12.3 billion.
"Large new cloud infrastructure contracts signed in Q3
drove Oracle's total Remaining Performance Obligations up 29% to
over $80 billion—an all-time record,"
said Oracle CEO, Safra Catz. "We
expect to continue receiving large contracts reserving cloud
infrastructure capacity because the demand for our Gen2 AI
infrastructure substantially exceeds supply—despite the fact we are
opening new and expanding existing cloud datacenters very, very
rapidly. We expect that 43% of our current $80 billion of Remaining Performance Obligations
will be recognized as revenue over the next four quarters, and that
our Gen2 Cloud Infrastructure business will remain in a hypergrowth
phase—up 53% in Q3—for the foreseeable future."
"In Q3, Oracle finished moving the majority of Cerner
customers to Oracle's Gen2 Cloud Infrastructure," said Oracle
Chairman and CTO, Larry Ellison. "In
Q4, Oracle will start delivering its completely new Ambulatory
Clinic Cloud Application Suite to these same customers. This new
AI-driven system features an integrated voice interface called the
Clinical Digital Assistant that automatically generates doctors'
notes and updates Electronic Health Records—saving precious time
and improving health data accuracy. The delivery of this
revolutionary new healthcare technology will enable the rapid
modernization of our customers' health systems over the coming
year, and transform Cerner and Oracle Health into a high-growth
business for years to come."
The board of directors declared a quarterly cash dividend
of $0.40
per share of outstanding common stock. This dividend will be
paid to stockholders of record as of the close of business on
April 10, 2024, with a payment date of
April 24, 2024.
- A sample list of customers which purchased Oracle Cloud
services during the quarter will be available at
www.oracle.com/customers/earnings/.
- A list of recent technical innovations and announcements
is available at
www.oracle.com/news/.
- To learn what industry analysts have been saying about
Oracle's products and services see
www.oracle.com/corporate/analyst-reports/.
Earnings Conference Call and
Webcast
Oracle will hold a conference call and webcast
today to discuss these results at 4:00
p.m. Central. A live and replay webcast will be available on
the Oracle Investor Relations website at
www.oracle.com/investor/.
About Oracle
Oracle offers integrated suites of applications plus
secure, autonomous infrastructure in the Oracle Cloud. For more
information about Oracle (NYSE: ORCL), please visit us
at www.oracle.com.
Trademarks
Oracle, Java, MySQL, and NetSuite are registered
trademarks of Oracle Corporation. NetSuite was the first cloud
company—ushering in the new era of cloud computing.
"Safe Harbor"
Statement: Statements in this press release
relating to future plans, expectations, beliefs, intentions and
prospects, including demand for Oracle Cloud Infrastructure
capacity, expectations for growth in our Cerner, Oracle Health and
Gen2 Cloud Infrastructure businesses, the rate and timing of
conversion of the Remaining Performance Obligations to revenue and
beliefs regarding modernizing digital healthcare systems, are
"forward-looking statements" and are subject to material risks and
uncertainties. Risks and uncertainties that could affect our
current expectations and our actual results, include, among others:
our ability to develop new products and services, integrate
acquired products and services and enhance our existing products
and services; our management of complex cloud and hardware
offerings, including the sourcing of technologies and technology
components; significant coding, manufacturing or configuration
errors in our offerings; risks associated with acquisitions;
economic, political and market conditions; information technology
system failures, privacy and data security concerns; cybersecurity
breaches; unfavorable legal proceedings, government investigations,
and complex and changing laws and regulations. A detailed
discussion of these factors and other risks that affect our
business is contained in our SEC filings, including our most recent
reports on Form 10-K and Form 10-Q, particularly under the heading
"Risk Factors." Copies of these filings are available online from
the SEC or by contacting Oracle's Investor Relations Department at
(650) 506-4073 or by clicking on SEC Filings on the Oracle Investor
Relations website at www.oracle.com/investor/. All information set
forth in this press release is current as of March 11, 2024. Oracle undertakes no duty to
update any statement in light of new information or future
events.
ORACLE CORPORATION
|
|
|
|
|
|
|
|
|
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
|
($ in millions, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
% Increase
|
|
|
|
% Increase
|
(Decrease)
|
|
|
|
February 29,
|
% of
|
February 28,
|
% of
|
(Decrease)
|
in Constant
|
|
|
|
2024
|
Revenues
|
2023
|
Revenues
|
in US $
|
Currency (1)
|
|
REVENUES
|
|
|
|
|
|
|
|
|
Cloud services and
license support
|
$
9,963
|
75 %
|
$
8,923
|
72 %
|
12 %
|
11 %
|
|
|
Cloud license and
on-premise license
|
1,256
|
9 %
|
1,288
|
10 %
|
(3 %)
|
(3 %)
|
|
|
Hardware
|
754
|
6 %
|
811
|
7 %
|
(7 %)
|
(7 %)
|
|
|
Services
|
1,307
|
10 %
|
1,376
|
11 %
|
(5 %)
|
(5 %)
|
|
|
Total
revenues
|
13,280
|
100 %
|
12,398
|
100 %
|
7 %
|
7 %
|
|
OPERATING EXPENSES
|
|
|
|
|
|
|
|
|
Cloud services and
license support
|
2,452
|
18 %
|
1,980
|
16 %
|
24 %
|
24 %
|
|
|
Hardware
|
217
|
2 %
|
244
|
2 %
|
(11 %)
|
(11 %)
|
|
|
Services
|
1,200
|
9 %
|
1,215
|
10 %
|
(1 %)
|
(1 %)
|
|
|
Sales and
marketing
|
2,042
|
15 %
|
2,150
|
18 %
|
(5 %)
|
(6 %)
|
|
|
Research and
development
|
2,248
|
17 %
|
2,146
|
17 %
|
5 %
|
5 %
|
|
|
General and
administrative
|
377
|
3 %
|
402
|
3 %
|
(6 %)
|
(7 %)
|
|
|
Amortization of
intangible assets
|
749
|
6 %
|
886
|
7 %
|
(15 %)
|
(15 %)
|
|
|
Acquisition related and
other
|
155
|
1 %
|
37
|
0 %
|
317 %
|
317 %
|
|
|
Restructuring
|
90
|
1 %
|
78
|
1 %
|
15 %
|
14 %
|
|
|
Total operating
expenses
|
9,530
|
72 %
|
9,138
|
74 %
|
4 %
|
4 %
|
|
OPERATING INCOME
|
3,750
|
28 %
|
3,260
|
26 %
|
15 %
|
15 %
|
|
|
Interest
expense
|
(876)
|
(6 %)
|
(908)
|
(7 %)
|
(3 %)
|
(3 %)
|
|
|
Non-operating expenses,
net
|
(9)
|
0 %
|
(134)
|
(1 %)
|
(94 %)
|
(93 %)
|
|
INCOME BEFORE INCOME TAXES
|
2,865
|
22 %
|
2,218
|
18 %
|
29 %
|
29 %
|
|
|
Provision for income
taxes
|
464
|
4 %
|
322
|
3 %
|
44 %
|
44 %
|
|
NET INCOME
|
$
2,401
|
18 %
|
$
1,896
|
15 %
|
27 %
|
26 %
|
|
|
|
|
|
|
|
|
|
|
EARNINGS PER SHARE:
|
|
|
|
|
|
|
|
|
Basic
|
$
0.87
|
|
$
0.70
|
|
|
|
|
|
Diluted
|
$
0.85
|
|
$
0.68
|
|
|
|
|
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING:
|
|
|
|
|
|
|
|
|
Basic
|
2,748
|
|
2,698
|
|
|
|
|
|
Diluted
|
2,819
|
|
2,776
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
We compare the
percent change in the results from one period to another period
using constant currency disclosure. We present constant currency
information to provide a framework for assessing how our underlying
businesses performed excluding the effect of foreign currency rate
fluctuations. To present this information, current and comparative
prior period results for entities reporting in currencies other
than United States dollars are converted into United States dollars
at the exchange rates in effect on May 31, 2023, which was the last
day of our prior fiscal year, rather than the actual exchange rates
in effect during the respective periods. Movements in international
currencies relative to the United States dollar during the three
months ended February 29, 2024 compared with the corresponding
prior year period had no impact to our total revenues, total
operating expenses and operating income.
|
|
|
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
RECONCILIATION OF SELECTED GAAP MEASURES TO NON-GAAP
MEASURES (1)
|
($ in millions, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
% Increase
(Decrease)
in US $
|
% Increase
(Decrease) in
Constant
Currency (2)
|
|
|
|
February 29,
|
|
|
|
February 29,
|
|
|
February 28,
|
|
|
|
February 28,
|
|
GAAP
|
Non-GAAP
|
GAAP
|
Non-GAAP
|
|
|
|
|
2024
|
|
|
|
2024
|
|
|
2023
|
|
|
|
2023
|
|
|
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL REVENUES
|
|
$
13,280
|
|
$
-
|
|
$
13,280
|
|
|
$
12,398
|
|
$
-
|
|
$
12,398
|
|
7 %
|
7 %
|
7 %
|
7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL OPERATING EXPENSES
|
|
$
9,530
|
|
$
(2,042)
|
|
$
7,488
|
|
|
$
9,138
|
|
$
(1,925)
|
|
$
7,213
|
|
4 %
|
4 %
|
4 %
|
3 %
|
|
|
Stock-based compensation
(3)
|
|
1,048
|
|
(1,048)
|
|
-
|
|
|
924
|
|
(924)
|
|
-
|
|
13 %
|
*
|
13 %
|
*
|
|
|
Amortization of intangible
assets (4)
|
|
749
|
|
(749)
|
|
-
|
|
|
886
|
|
(886)
|
|
-
|
|
(15 %)
|
*
|
(15 %)
|
*
|
|
|
Acquisition related and
other
|
|
155
|
|
(155)
|
|
-
|
|
|
37
|
|
(37)
|
|
-
|
|
317 %
|
*
|
317 %
|
*
|
|
|
Restructuring
|
|
90
|
|
(90)
|
|
-
|
|
|
78
|
|
(78)
|
|
-
|
|
15 %
|
*
|
14 %
|
*
|
|
OPERATING INCOME
|
|
$
3,750
|
|
$ 2,042
|
|
$
5,792
|
|
|
$
3,260
|
|
$ 1,925
|
|
$
5,185
|
|
15 %
|
12 %
|
15 %
|
12 %
|
|
OPERATING MARGIN %
|
|
28 %
|
|
|
|
44 %
|
|
|
26 %
|
|
|
|
42 %
|
|
194 bp.
|
179 bp.
|
194 bp.
|
183 bp.
|
|
INCOME TAX EFFECTS (5)
|
|
$
464
|
|
$
461
|
|
$
925
|
|
|
$
322
|
|
$
439
|
|
$
761
|
|
44 %
|
22 %
|
44 %
|
21 %
|
|
NET INCOME
|
|
$
2,401
|
|
$ 1,581
|
|
$
3,982
|
|
|
$
1,896
|
|
$ 1,486
|
|
$
3,382
|
|
27 %
|
18 %
|
26 %
|
18 %
|
|
DILUTED EARNINGS PER SHARE
|
|
$
0.85
|
|
|
|
$
1.41
|
|
|
$
0.68
|
|
|
|
$
1.22
|
|
25 %
|
16 %
|
24 %
|
16 %
|
|
DILUTED WEIGHTED AVERAGE COMMON
SHARES OUTSTANDING
|
|
2,819
|
|
-
|
|
2,819
|
|
|
2,776
|
|
-
|
|
2,776
|
|
2 %
|
2 %
|
2 %
|
2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
This presentation
includes non-GAAP measures. Our non-GAAP measures are not meant to
be considered in isolation or as a substitute for comparable GAAP
measures, and should be read only in conjunction with our
consolidated financial statements prepared in accordance with GAAP.
For a detailed explanation of the adjustments made to comparable
GAAP measures, the reasons why management uses these measures, the
usefulness of these measures and the material limitations on the
usefulness of these measures, please see Appendix A.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2)
|
We compare the
percent change in the results from one period to another period
using constant currency disclosure. We present constant currency
information to provide a framework for assessing how our underlying
businesses performed excluding the effect of foreign currency rate
fluctuations. To present this information, current and comparative
prior period results for entities reporting in currencies other
than United States dollars are converted into United States dollars
at the exchange rates in effect on May 31, 2023, which was the last
day of our prior fiscal year, rather than the actual exchange rates
in effect during the respective periods.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)
|
Stock-based
compensation was included in the following GAAP operating expense
categories:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
Three Months
Ended
|
|
|
|
|
|
|
|
|
|
February 29,
2024
|
|
|
February 28,
2023
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
|
|
|
|
|
Cloud services and license
support
|
|
$
138
|
|
$ (138)
|
|
$
-
|
|
|
$
114
|
|
$ (114)
|
|
$
-
|
|
|
|
|
|
|
|
Hardware
|
|
6
|
|
(6)
|
|
-
|
|
|
5
|
|
(5)
|
|
-
|
|
|
|
|
|
|
|
Services
|
|
45
|
|
(45)
|
|
-
|
|
|
39
|
|
(39)
|
|
-
|
|
|
|
|
|
|
|
Sales and
marketing
|
|
179
|
|
(179)
|
|
-
|
|
|
158
|
|
(158)
|
|
-
|
|
|
|
|
|
|
|
Research and
development
|
|
584
|
|
(584)
|
|
-
|
|
|
517
|
|
(517)
|
|
-
|
|
|
|
|
|
|
|
General and
administrative
|
|
96
|
|
(96)
|
|
-
|
|
|
91
|
|
(91)
|
|
-
|
|
|
|
|
|
|
|
Total stock-based compensation
|
|
$
1,048
|
|
$
(1,048)
|
|
$
-
|
|
|
$
924
|
|
$ (924)
|
|
$
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4)
|
Estimated future
annual amortization expense related to intangible assets as of
February 29, 2024 was as follows:
|
|
|
Remainder of fiscal
2024
|
|
$
739
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2025
|
|
2,303
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2026
|
|
1,639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2027
|
|
672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2028
|
|
635
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2029
|
|
561
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Thereafter
|
|
1,080
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total intangible assets, net
|
|
$
7,629
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5)
|
Income tax effects
were calculated reflecting an effective GAAP tax rate of 16.2% and
14.5% in the third quarter of fiscal 2024 and 2023, respectively,
and an effective non-GAAP tax rate of 18.9% and 18.4% in the third
quarter of fiscal 2024 and 2023, respectively. The difference in
our GAAP and non-GAAP tax rates in each of the third quarter of
fiscal 2024 and 2023 was primarily due to the net tax effects
related to stock-based compensation expense; acquisition related
and other items, including the tax effects on amortization of
intangible assets; and restructuring expense, partially offset by
the net deferred tax effects related to an income tax benefit that
was previously recorded due to the partial realignment of our legal
entity structure.
|
|
*
|
Not
meaningful
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
|
|
|
|
|
|
|
|
|
Q3 FISCAL 2024 YEAR TO DATE FINANCIAL
RESULTS
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
|
($ in millions, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
|
|
% Increase
|
|
|
|
% Increase
|
(Decrease)
|
|
|
|
February 29,
|
% of
|
February 28,
|
% of
|
(Decrease)
|
in Constant
|
|
|
|
2024
|
Revenues
|
2023
|
Revenues
|
in US $
|
Currency (1)
|
|
REVENUES
|
|
|
|
|
|
|
|
|
Cloud services and
license support
|
$
29,149
|
75 %
|
$
25,938
|
72 %
|
12 %
|
11 %
|
|
|
Cloud license and
on-premise license
|
3,243
|
8 %
|
3,627
|
10 %
|
(11 %)
|
(11 %)
|
|
|
Hardware
|
2,224
|
6 %
|
2,424
|
7 %
|
(8 %)
|
(9 %)
|
|
|
Services
|
4,058
|
11 %
|
4,129
|
11 %
|
(2 %)
|
(2 %)
|
|
|
Total
revenues
|
38,674
|
100 %
|
36,118
|
100 %
|
7 %
|
6 %
|
|
OPERATING EXPENSES
|
|
|
|
|
|
|
|
|
Cloud services and
license support
|
6,905
|
18 %
|
5,606
|
16 %
|
23 %
|
22 %
|
|
|
Hardware
|
649
|
2 %
|
780
|
2 %
|
(17 %)
|
(18 %)
|
|
|
Services
|
3,665
|
9 %
|
3,448
|
10 %
|
6 %
|
6 %
|
|
|
Sales and
marketing
|
6,161
|
16 %
|
6,544
|
18 %
|
(6 %)
|
(7 %)
|
|
|
Research and
development
|
6,689
|
17 %
|
6,397
|
18 %
|
5 %
|
4 %
|
|
|
General and
administrative
|
1,146
|
3 %
|
1,179
|
3 %
|
(3 %)
|
(4 %)
|
|
|
Amortization of
intangible assets
|
2,267
|
6 %
|
2,712
|
7 %
|
(16 %)
|
(16 %)
|
|
|
Acquisition related and
other
|
214
|
0 %
|
140
|
0 %
|
53 %
|
52 %
|
|
|
Restructuring
|
311
|
1 %
|
359
|
1 %
|
(13 %)
|
(14 %)
|
|
|
Total operating
expenses
|
28,007
|
72 %
|
27,165
|
75 %
|
3 %
|
3 %
|
|
OPERATING INCOME
|
10,667
|
28 %
|
8,953
|
25 %
|
19 %
|
17 %
|
|
|
Interest
expense
|
(2,636)
|
(7 %)
|
(2,550)
|
(7 %)
|
3 %
|
3 %
|
|
|
Non-operating expenses,
net
|
(72)
|
0 %
|
(386)
|
(2 %)
|
(81 %)
|
(82 %)
|
|
INCOME BEFORE INCOME TAXES
|
7,959
|
21 %
|
6,017
|
16 %
|
32 %
|
29 %
|
|
|
Provision for income
taxes
|
636
|
2 %
|
833
|
2 %
|
(24 %)
|
(25 %)
|
|
NET INCOME
|
$
7,323
|
19 %
|
$
5,184
|
14 %
|
41 %
|
38 %
|
|
|
|
|
|
|
|
|
|
|
EARNINGS PER SHARE:
|
|
|
|
|
|
|
|
|
Basic
|
$
2.67
|
|
$
1.93
|
|
|
|
|
|
Diluted
|
$
2.60
|
|
$
1.88
|
|
|
|
|
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING:
|
|
|
|
|
|
|
|
|
Basic
|
2,741
|
|
2,692
|
|
|
|
|
|
Diluted
|
2,820
|
|
2,757
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
We compare the
percent change in the results from one period to another period
using constant currency disclosure. We present constant currency
information to provide a framework for assessing how our underlying
businesses performed excluding the effect of foreign currency rate
fluctuations. To present this information, current and comparative
prior period results for entities reporting in currencies other
than United States dollars are converted into United States dollars
at the exchange rates in effect on May 31, 2023, which was the last
day of our prior fiscal year, rather than the actual exchange rates
in effect during the respective periods. Movements in international
currencies relative to the United States dollar during the nine
months ended February 29, 2024 compared with the corresponding
prior year period increased our total revenues by 1 percentage
point and operating income by 2 percentage points.
|
|
|
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q3 FISCAL 2024 YEAR TO DATE FINANCIAL
RESULTS
|
RECONCILIATION OF SELECTED GAAP MEASURES TO NON-GAAP
MEASURES (1)
|
($ in millions, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
|
|
% Increase
(Decrease)
in US $
|
% Increase
(Decrease)
in Constant
Currency (2)
|
|
|
|
February 29,
|
|
|
|
February 29,
|
|
|
February 28,
|
|
|
|
February 28,
|
|
GAAP
|
Non-GAAP
|
GAAP
|
Non-GAAP
|
|
|
|
|
2024
|
|
|
|
2024
|
|
|
2023
|
|
|
|
2023
|
|
|
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL REVENUES
|
|
$
38,674
|
|
$
-
|
|
$
38,674
|
|
|
$
36,118
|
|
$
-
|
|
$
36,118
|
|
7 %
|
7 %
|
6 %
|
6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL OPERATING EXPENSES
|
|
$
28,007
|
|
$
(5,719)
|
|
$
22,288
|
|
|
$
27,165
|
|
$
(5,794)
|
|
$
21,371
|
|
3 %
|
4 %
|
3 %
|
4 %
|
|
|
Stock-based compensation
(3)
|
|
2,927
|
|
(2,927)
|
|
-
|
|
|
2,583
|
|
(2,583)
|
|
-
|
|
13 %
|
*
|
13 %
|
*
|
|
|
Amortization of intangible
assets (4)
|
|
2,267
|
|
(2,267)
|
|
-
|
|
|
2,712
|
|
(2,712)
|
|
-
|
|
(16 %)
|
*
|
(16 %)
|
*
|
|
|
Acquisition related and
other
|
|
214
|
|
(214)
|
|
-
|
|
|
140
|
|
(140)
|
|
-
|
|
53 %
|
*
|
52 %
|
*
|
|
|
Restructuring
|
|
311
|
|
(311)
|
|
-
|
|
|
359
|
|
(359)
|
|
-
|
|
(13 %)
|
*
|
(14 %)
|
*
|
|
OPERATING INCOME
|
|
$
10,667
|
|
$ 5,719
|
|
$
16,386
|
|
|
$
8,953
|
|
$ 5,794
|
|
$
14,747
|
|
19 %
|
11 %
|
17 %
|
10 %
|
|
OPERATING MARGIN %
|
|
28 %
|
|
|
|
42 %
|
|
|
25 %
|
|
|
|
41 %
|
|
279 bp.
|
154 bp.
|
260 bp.
|
147 bp.
|
|
INCOME TAX EFFECTS (5)
|
|
$
636
|
|
$ 1,939
|
|
$
2,575
|
|
|
$
833
|
|
$ 1,457
|
|
$
2,290
|
|
(24 %)
|
12 %
|
(25 %)
|
11 %
|
|
NET INCOME
|
|
$
7,323
|
|
$ 3,780
|
|
$
11,103
|
|
|
$
5,184
|
|
$ 4,337
|
|
$
9,521
|
|
41 %
|
17 %
|
38 %
|
15 %
|
|
DILUTED EARNINGS PER SHARE
|
|
$
2.60
|
|
|
|
$
3.94
|
|
|
$
1.88
|
|
|
|
$
3.45
|
|
38 %
|
14 %
|
35 %
|
13 %
|
|
DILUTED WEIGHTED AVERAGE COMMON
SHARES OUTSTANDING
|
|
2,820
|
|
-
|
|
2,820
|
|
|
2,757
|
|
-
|
|
2,757
|
|
2 %
|
2 %
|
2 %
|
2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
This presentation
includes non-GAAP measures. Our non-GAAP measures are not meant to
be considered in isolation or as a substitute for comparable GAAP
measures, and should be read only in conjunction with our
consolidated financial statements prepared in accordance with GAAP.
For a detailed explanation of the adjustments made to comparable
GAAP measures, the reasons why management uses these measures, the
usefulness of these measures and the material limitations on the
usefulness of these measures, please see Appendix A.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2)
|
We compare the
percent change in the results from one period to another period
using constant currency disclosure. We present constant currency
information to provide a framework for assessing how our underlying
businesses performed excluding the effect of foreign currency rate
fluctuations. To present this information, current and comparative
prior period results for entities reporting in currencies other
than United States dollars are converted into United States dollars
at the exchange rates in effect on May 31, 2023, which was the last
day of our prior fiscal year, rather than the actual exchange rates
in effect during the respective periods.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)
|
Stock-based
compensation was included in the following GAAP operating expense
categories:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended
|
|
|
Nine Months
Ended
|
|
|
|
|
|
|
|
|
|
February
29, 2024
|
|
|
February
28, 2023
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
GAAP
|
|
Adj.
|
|
Non-GAAP
|
|
|
|
|
|
|
|
Cloud services and license
support
|
|
$
386
|
|
$ (386)
|
|
$
-
|
|
|
$
319
|
|
$ (319)
|
|
$
-
|
|
|
|
|
|
|
|
Hardware
|
|
17
|
|
(17)
|
|
-
|
|
|
13
|
|
(13)
|
|
-
|
|
|
|
|
|
|
|
Services
|
|
123
|
|
(123)
|
|
-
|
|
|
99
|
|
(99)
|
|
-
|
|
|
|
|
|
|
|
Sales and
marketing
|
|
488
|
|
(488)
|
|
-
|
|
|
433
|
|
(433)
|
|
-
|
|
|
|
|
|
|
|
Research and
development
|
|
1,642
|
|
(1,642)
|
|
-
|
|
|
1,448
|
|
(1,448)
|
|
-
|
|
|
|
|
|
|
|
General and
administrative
|
|
271
|
|
(271)
|
|
-
|
|
|
271
|
|
(271)
|
|
-
|
|
|
|
|
|
|
|
Total stock-based compensation
|
|
$
2,927
|
|
$
(2,927)
|
|
$
-
|
|
|
$
2,583
|
|
$
(2,583)
|
|
$
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4)
|
Estimated future
annual amortization expense related to intangible assets as of
February 29, 2024 was as follows:
|
|
|
Remainder of fiscal
2024
|
|
$
739
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2025
|
|
2,303
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2026
|
|
1,639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2027
|
|
672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2028
|
|
635
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2029
|
|
561
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Thereafter
|
|
1,080
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total intangible assets, net
|
|
$
7,629
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(5)
|
Income tax effects
were calculated reflecting an effective GAAP tax rate of 8.0% and
13.8% in the first nine months of fiscal 2024 and 2023,
respectively, and an effective non-GAAP tax rate of 18.8% and 19.4%
in the first nine months of fiscal 2024 and 2023, respectively. The
difference in our GAAP and non-GAAP tax rates in each of the first
nine months of fiscal 2024 and 2023 was primarily due to the net
tax effects related to stock-based compensation expense;
acquisition related and other items, including the tax effects on
amortization of intangible assets; and restructuring expense,
partially offset by the net deferred tax effects related to an
income tax benefit that was previously recorded due to the partial
realignment of our legal entity structure.
|
|
*
|
Not
meaningful
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
|
|
|
|
|
|
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
CONDENSED CONSOLIDATED BALANCE
SHEETS
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
February 29,
|
May 31,
|
|
|
|
2024
|
2023
|
ASSETS
|
|
|
|
|
Current Assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
$
9,481
|
|
$
9,765
|
|
|
Marketable
securities
|
423
|
|
422
|
|
|
Trade receivables,
net
|
7,297
|
|
6,915
|
|
|
Prepaid expenses and
other current assets
|
3,862
|
|
3,902
|
|
|
|
Total Current
Assets
|
21,063
|
|
21,004
|
|
Non-Current Assets:
|
|
|
|
|
|
Property,
plant and equipment, net
|
19,117
|
|
17,069
|
|
|
Intangible assets, net
|
7,629
|
|
9,837
|
|
|
Goodwill,
net
|
62,222
|
|
62,261
|
|
|
Deferred
tax assets
|
12,688
|
|
12,226
|
|
|
Other
non-current assets
|
14,363
|
|
11,987
|
|
|
|
Total Non-Current
Assets
|
116,019
|
|
113,380
|
|
TOTAL ASSETS
|
$
137,082
|
|
$
134,384
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
|
Current Liabilities:
|
|
|
|
|
|
Notes payable and
other borrowings, current
|
$
5,510
|
|
$
4,061
|
|
|
Accounts
payable
|
1,658
|
|
1,204
|
|
|
Accrued compensation
and related benefits
|
1,796
|
|
2,053
|
|
|
Deferred
revenues
|
8,931
|
|
8,970
|
|
|
Other current
liabilities
|
6,990
|
|
6,802
|
|
|
|
Total Current
Liabilities
|
24,885
|
|
23,090
|
|
Non-Current Liabilities:
|
|
|
|
|
|
Notes payable and
other borrowings, non-current
|
82,470
|
|
86,420
|
|
|
Income taxes
payable
|
10,451
|
|
11,077
|
|
|
Deferred tax
liabilities
|
4,483
|
|
5,772
|
|
|
Other non-current
liabilities
|
8,611
|
|
6,469
|
|
|
|
Total Non-Current
Liabilities
|
106,015
|
|
109,738
|
|
Stockholders' Equity
|
6,182
|
|
1,556
|
|
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY
|
$
137,082
|
|
$
134,384
|
|
|
|
|
|
|
|
|
ORACLE
CORPORATION
|
|
|
|
|
|
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS
|
($ in millions)
|
|
|
|
|
|
|
|
|
Nine Months Ended
|
|
|
February 29,
2024
|
February 28,
2023
|
Cash Flows From Operating
Activities:
|
|
|
|
|
Net income
|
$
7,323
|
|
$
5,184
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
Depreciation
|
2,318
|
|
1,810
|
|
Amortization of
intangible assets
|
2,267
|
|
2,712
|
|
Deferred income
taxes
|
(1,755)
|
|
(1,253)
|
|
Stock-based
compensation
|
2,927
|
|
2,583
|
|
Other, net
|
631
|
|
487
|
|
Changes in operating
assets and liabilities, net of effects from
acquisitions:
|
|
|
|
|
(Increase) decrease in
trade receivables, net
|
(409)
|
|
460
|
|
Decrease in prepaid
expenses and other assets
|
457
|
|
515
|
|
Decrease in accounts
payable and other liabilities
|
(682)
|
|
(783)
|
|
Decrease in income
taxes payable
|
(788)
|
|
(453)
|
|
Increase in deferred
revenues
|
303
|
|
256
|
|
Net cash provided by operating
activities
|
12,592
|
|
11,518
|
|
Cash Flows From Investing
Activities:
|
|
|
|
|
Purchases of
marketable securities and other investments
|
(674)
|
|
(921)
|
|
Proceeds from sales
and maturities of marketable securities and other
investments
|
207
|
|
552
|
|
Acquisitions, net of
cash acquired
|
(59)
|
|
(27,721)
|
|
Capital
expenditures
|
(4,068)
|
|
(6,782)
|
|
Net cash used for investing
activities
|
(4,594)
|
|
(34,872)
|
|
Cash Flows From Financing
Activities:
|
|
|
|
|
Payments for
repurchases of common stock
|
(1,050)
|
|
(1,150)
|
|
Proceeds from
issuances of common stock
|
454
|
|
759
|
|
Shares repurchased for
tax withholdings upon vesting of restricted stock-based
awards
|
(1,865)
|
|
(1,040)
|
|
Payments of dividends
to stockholders
|
(3,289)
|
|
(2,586)
|
|
Proceeds from
issuances of commercial paper, net of repayments
|
936
|
|
1,874
|
|
Proceeds from
issuances of senior notes and other borrowings, net of issuance
costs
|
-
|
|
33,494
|
|
Repayments of senior
notes and other borrowings
|
(3,500)
|
|
(21,050)
|
|
Other, net
|
34
|
|
49
|
|
Net cash (used for) provided by financing
activities
|
(8,280)
|
|
10,350
|
|
Effect of exchange rate changes on cash and cash
equivalents
|
(2)
|
|
(160)
|
|
Net decrease in cash and cash
equivalents
|
(284)
|
|
(13,164)
|
|
Cash and cash equivalents at beginning of
period
|
9,765
|
|
21,383
|
|
Cash and cash equivalents at end of
period
|
$
9,481
|
|
$
8,219
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
FREE CASH FLOW - TRAILING 4-QUARTERS
(1)
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2023
|
Fiscal 2024
|
|
|
|
Q1
|
Q2
|
Q3
|
Q4
|
Q1
|
Q2
|
Q3
|
Q4
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Operating Cash Flow
|
$
10,542
|
$
15,073
|
$
15,503
|
$
17,165
|
$
17,745
|
$
17,039
|
$
18,239
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Expenditures
|
(5,168)
|
(6,678)
|
(8,205)
|
(8,695)
|
(8,290)
|
(6,935)
|
(5,981)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Free Cash Flow
|
$
5,374
|
$
8,395
|
$
7,298
|
$
8,470
|
$
9,455
|
$
10,104
|
$
12,258
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Cash Flow % Growth over prior
year
|
(31 %)
|
47 %
|
49 %
|
80 %
|
68 %
|
13 %
|
18 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Free Cash Flow % Growth over prior
year
|
(57 %)
|
18 %
|
11 %
|
68 %
|
76 %
|
20 %
|
68 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Income
|
$
5,808
|
$
8,797
|
$
8,373
|
$
8,503
|
$
9,375
|
$
10,137
|
$
10,642
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Cash Flow as a % of Net
Income
|
182 %
|
171 %
|
185 %
|
202 %
|
189 %
|
168 %
|
171 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Free Cash Flow as a % of Net
Income
|
93 %
|
95 %
|
87 %
|
100 %
|
101 %
|
100 %
|
115 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) To supplement our
statements of cash flows presented on a GAAP basis, we use non-GAAP
measures of cash flows on a trailing 4-quarter basis to analyze
cash flow generated from
operations. We believe free cash flow is also
useful as one of the bases for comparing our performance with our
competitors. The presentation of non-GAAP free cash flow is not
meant
to be considered in isolation or as an
alternative to net income as an indicator of our performance, or as
an alternative to cash flows from operating activities as a measure
of liquidity.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ORACLE CORPORATION
|
|
Q3 FISCAL 2024 FINANCIAL
RESULTS
|
|
SUPPLEMENTAL ANALYSIS OF GAAP REVENUES
(1)
|
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal 2023
|
|
|
|
|
|
Fiscal 2024
|
|
|
|
Q1
|
Q2
|
Q3
|
Q4
|
TOTAL
|
|
Q1
|
Q2
|
Q3
|
Q4
|
TOTAL
|
|
|
REVENUES BY OFFERINGS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cloud
services
|
$
3,579
|
$
3,813
|
$
4,053
|
$
4,437
|
$
15,881
|
|
$
4,635
|
$
4,775
|
$
5,054
|
|
$
14,464
|
|
|
License
support
|
4,838
|
4,785
|
4,870
|
4,933
|
19,426
|
|
4,912
|
4,864
|
4,909
|
|
14,685
|
|
|
Cloud services
and license support
|
8,417
|
8,598
|
8,923
|
9,370
|
35,307
|
|
9,547
|
9,639
|
9,963
|
|
29,149
|
|
|
Cloud license
and on-premise license
|
904
|
1,435
|
1,288
|
2,152
|
5,779
|
|
809
|
1,178
|
1,256
|
|
3,243
|
|
|
Hardware
|
763
|
850
|
811
|
850
|
3,274
|
|
714
|
756
|
754
|
|
2,224
|
|
|
Services
|
1,361
|
1,392
|
1,376
|
1,465
|
5,594
|
|
1,383
|
1,368
|
1,307
|
|
4,058
|
|
|
Total revenues
|
|
$
11,445
|
$
12,275
|
$
12,398
|
$
13,837
|
$
49,954
|
|
$
12,453
|
$
12,941
|
$
13,280
|
|
$
38,674
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AS REPORTED REVENUE GROWTH
RATES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cloud
services
|
45 %
|
43 %
|
45 %
|
54 %
|
47 %
|
|
30 %
|
25 %
|
25 %
|
|
26 %
|
|
|
License
support
|
(1 %)
|
(2 %)
|
0 %
|
4 %
|
0 %
|
|
2 %
|
2 %
|
1 %
|
|
1 %
|
|
|
Cloud services
and license support
|
14 %
|
14 %
|
17 %
|
23 %
|
17 %
|
|
13 %
|
12 %
|
12 %
|
|
12 %
|
|
|
Cloud license
and on-premise license
|
11 %
|
16 %
|
0 %
|
(15 %)
|
(2 %)
|
|
(10 %)
|
(18 %)
|
(3 %)
|
|
(11 %)
|
|
|
Hardware
|
0 %
|
11 %
|
2 %
|
(1 %)
|
3 %
|
|
(6 %)
|
(11 %)
|
(7 %)
|
|
(8 %)
|
|
|
Services
|
74 %
|
74 %
|
74 %
|
76 %
|
75 %
|
|
2 %
|
(2 %)
|
(5 %)
|
|
(2 %)
|
|
|
Total
revenues
|
|
18 %
|
18 %
|
18 %
|
17 %
|
18 %
|
|
9 %
|
5 %
|
7 %
|
|
7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONSTANT CURRENCY REVENUE GROWTH RATES
(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cloud
services
|
50 %
|
48 %
|
48 %
|
55 %
|
50 %
|
|
29 %
|
24 %
|
24 %
|
|
25 %
|
|
|
License
support
|
4 %
|
4 %
|
3 %
|
6 %
|
4 %
|
|
0 %
|
0 %
|
1 %
|
|
0 %
|
|
|
Cloud services
and license support
|
20 %
|
20 %
|
20 %
|
25 %
|
21 %
|
|
12 %
|
11 %
|
11 %
|
|
11 %
|
|
|
Cloud license
and on-premise license
|
19 %
|
23 %
|
4 %
|
(14 %)
|
2 %
|
|
(11 %)
|
(19 %)
|
(3 %)
|
|
(11 %)
|
|
|
Hardware
|
5 %
|
16 %
|
4 %
|
1 %
|
6 %
|
|
(8 %)
|
(12 %)
|
(7 %)
|
|
(9 %)
|
|
|
Services
|
84 %
|
83 %
|
80 %
|
78 %
|
81 %
|
|
1 %
|
(3 %)
|
(5 %)
|
|
(2 %)
|
|
|
Total revenues
|
|
23 %
|
25 %
|
21 %
|
18 %
|
22 %
|
|
8 %
|
4 %
|
7 %
|
|
6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CLOUD SERVICES AND LICENSE SUPPORT
REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BY ECOSYSTEM
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Applications
cloud services and license support
|
$
4,016
|
$
4,080
|
$
4,166
|
$
4,390
|
$
16,651
|
|
$
4,471
|
$
4,474
|
$
4,584
|
|
$
13,529
|
|
|
Infrastructure
cloud services and license support
|
4,401
|
4,518
|
4,757
|
4,980
|
18,656
|
|
5,076
|
5,165
|
5,379
|
|
15,620
|
|
|
Total cloud services and
license support revenues
|
|
$
8,417
|
$
8,598
|
$
8,923
|
$
9,370
|
$
35,307
|
|
$
9,547
|
$
9,639
|
$
9,963
|
|
$
29,149
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AS REPORTED REVENUE GROWTH
RATES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Applications
cloud services and license support
|
32 %
|
30 %
|
31 %
|
36 %
|
32 %
|
|
11 %
|
10 %
|
10 %
|
|
10 %
|
|
|
Infrastructure
cloud services and license support
|
2 %
|
3 %
|
7 %
|
14 %
|
6 %
|
|
15 %
|
14 %
|
13 %
|
|
14 %
|
|
|
Total cloud services and
license support revenues
|
|
14 %
|
14 %
|
17 %
|
23 %
|
17 %
|
|
13 %
|
12 %
|
12 %
|
|
12 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONSTANT CURRENCY REVENUE GROWTH RATES
(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Applications
cloud services and license support
|
37 %
|
35 %
|
33 %
|
37 %
|
35 %
|
|
11 %
|
9 %
|
10 %
|
|
10 %
|
|
|
Infrastructure
cloud services and license support
|
7 %
|
9 %
|
10 %
|
15 %
|
10 %
|
|
14 %
|
12 %
|
13 %
|
|
13 %
|
|
|
Total cloud
services and license support revenues
|
|
20 %
|
20 %
|
20 %
|
25 %
|
21 %
|
|
12 %
|
11 %
|
11 %
|
|
11 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GEOGRAPHIC REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas
|
|
$
7,192
|
$
7,786
|
$
7,671
|
$
8,577
|
$
31,226
|
|
$
7,841
|
$
8,067
|
$
8,270
|
|
$
24,177
|
|
|
Europe/Middle
East/Africa
|
|
2,691
|
2,895
|
3,067
|
3,457
|
12,109
|
|
3,005
|
3,170
|
3,316
|
|
9,491
|
|
|
Asia
Pacific
|
|
1,562
|
1,594
|
1,660
|
1,803
|
6,619
|
|
1,607
|
1,704
|
1,694
|
|
5,006
|
|
|
Total revenues
|
|
$
11,445
|
$
12,275
|
$
12,398
|
$
13,837
|
$
49,954
|
|
$
12,453
|
$
12,941
|
$
13,280
|
|
$
38,674
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The sum of the quarterly information presented may
vary from the year-to-date information presented due to
rounding.
|
|
|
|
|
|
|
|
(2) We compare the percent change in the results from one
period to another period using constant currency disclosure. We
present constant currency information
to provide a framework for assessing how our
underlying businesses performed excluding the effect of foreign
currency rate fluctuations. To present this
information, current and comparative prior
period results for entities reporting in currencies other than
United States dollars are converted into United States
dollars at the exchange rates in effect on May
31, 2023 and 2022 for the fiscal 2024 and fiscal 2023 constant
currency growth rate calculations presented,
respectively, rather than the actual exchange
rates in effect during the respective periods.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
APPENDIX A
ORACLE CORPORATION
Q3 FISCAL 2024
FINANCIAL RESULTS
EXPLANATION OF NON-GAAP
MEASURES
To supplement our financial results presented on a GAAP basis,
we use the non-GAAP measures indicated in the tables, which exclude
certain business combination accounting entries and expenses
related to acquisitions, as well as other significant expenses
including stock-based compensation, that we believe are helpful in
understanding our past financial performance and our future
results. Our non-GAAP financial measures are not meant to be
considered in isolation or as a substitute for comparable GAAP
measures and should be read only in conjunction with our
consolidated financial statements prepared in accordance with GAAP.
Our management regularly uses our supplemental non-GAAP financial
measures internally to understand, manage and evaluate our business
and make operating decisions. These non-GAAP measures are among the
primary factors management uses in planning for and forecasting
future periods. Compensation of our executives is based in part on
the performance of our business based on these non-GAAP measures.
Our non-GAAP financial measures reflect adjustments based on the
following items, as well as the related income tax effects:
- Stock-based compensation expenses: We have excluded the effect
of stock-based compensation expenses from our non-GAAP operating
expenses, income tax effects and net income measures. Although
stock-based compensation is a key incentive offered to our
employees, and we believe such compensation contributed to the
revenues earned during the periods presented and also believe it
will contribute to the generation of future period revenues, we
continue to evaluate our business performance excluding stock-based
compensation expenses. Stock-based compensation expenses will recur
in future periods.
- Amortization of intangible assets: We have excluded the effect
of amortization of intangible assets from our non-GAAP operating
expenses, income tax effects and net income measures. Amortization
of intangible assets is inconsistent in amount and frequency and is
significantly affected by the timing and size of our acquisitions.
Investors should note that the use of intangible assets contributed
to our revenues earned during the periods presented and will
contribute to our future period revenues as well. Amortization of
intangible assets will recur in future periods.
- Acquisition related and other expenses; and restructuring
expenses: We have excluded the effect of acquisition related and
other expenses and the effect of restructuring expenses from our
non-GAAP operating expenses, income tax effects and net income
measures. We incurred expenses in connection with our acquisitions
and also incurred certain other operating expenses or income, which
we generally would not have otherwise incurred in the periods
presented as a part of our continuing operations. Acquisition
related and other expenses consisted of personnel related costs for
transitional and certain other employees, certain business
combination adjustments including certain adjustments after the
measurement period has ended, and certain other operating items,
net. Restructuring expenses consisted of employee severance and
other exit costs. We believe it is useful for investors to
understand the effects of these items on our total operating
expenses. Although acquisition related and other expenses and
restructuring expenses may diminish over time with respect to past
acquisitions and/or strategic initiatives, we generally will incur
certain of these expenses in connection with any future
acquisitions and/or strategic initiatives.
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content:https://www.prnewswire.com/news-releases/oracle-announces-fiscal-2024-third-quarter-financial-results-302085718.html
SOURCE Oracle Corporation