Oracle's recent announcement of $48 billion in future cloud services consumption is significant but did not impress investors. For Q3 2025, Oracle reported $14.1 billion in revenue, a 6% year-over-year increase, along with a 22% rise in net income to $2.9 billion. However, missed earnings expectations due to inaccurate forecasting left investors concerned. CEO Safra Catz acknowledged these issues during the earnings call, noting the impact on earnings per share. Despite these setbacks, Oracle's $130 billion remaining performance obligation signifies robust demand for cloud services, which may drive future growth.
Oracle's CEO explained that inaccuracies in forecast contributed to missing earnings projections, despite strong revenue growth, signaling potential complications in future predictions.
The company's forecast of $48 billion in future cloud services consumption indicates strong demand, yet the market's disappointment highlights investor concerns about execution.
Catz noted that despite reporting earnings faster than its competitors, inaccuracies in forecasting negatively impacted Oracle's EPS and overall investor confidence.
The significant remaining performance obligation of $130 billion points to a promising demand for Oracle's cloud offerings, serving as a positive indicator for future revenue.
Collection
[
|
...
]