Oracle Corporation, a leading cloud computing company, reported its fourth-quarter and full-year financial results for fiscal year 2025, demonstrating a robust performance. The company achieved total revenue of $15.9 billion for the fourth quarter, reflecting an 11% increase year-over-year. For the entire fiscal year, total revenue reached $57.4 billion, marking an 8% rise compared to the previous fiscal year.
Oracle’s cloud services revenue, which includes both Infrastructure as a Service (IaaS) and Software as a Service (SaaS), amounted to $6.7 billion in the fourth quarter, up 27% from the same quarter last year. Specifically, IaaS revenue was $3 billion, reflecting a substantial 52% increase, while SaaS revenue was $3.7 billion, up 12%.
The company’s total cloud services and license support revenues for the quarter were $11.7 billion, showing a 14% increase compared to the prior year. For fiscal 2025, total cloud services revenue was reported at $24.5 billion, an increase of 24%, with IaaS revenue for the year at $10.2 billion, up 51%.
Oracle’s operating income for the fourth quarter was $5.1 billion, a 9% increase year-over-year, while the full-year operating income grew to $17.7 billion, which reflects a 15% rise. The company achieved a GAAP earnings per share (EPS) of $1.19 in Q4, while the non-GAAP EPS was $1.70. For the full fiscal year, GAAP EPS was $4.34, and non-GAAP EPS was $6.03.
The remaining performance obligations (RPO) at the end of Q4 were reported at $138 billion, up 41% from last year, indicating strong future revenue visibility. Additionally, Oracle’s cloud RPO grew by 56%, representing a significant portion of total RPO expected to be recognized as revenue over the next 12 months.
Operating cash flow for the fiscal year was $20.8 billion, an increase of 12%. However, for Q4, free cash flow was reported at a negative $2.9 billion, attributed to capital expenditures totaling $9.1 billion for the quarter. Looking ahead, Oracle has provided guidance for FY 2026, expecting total revenues to exceed $67 billion, reflecting a 16% increase, with cloud revenues projected to grow over 40% in constant currency.
As of the end of Q4, Oracle had $11.2 billion in cash and marketable securities and a short-term deferred revenue balance of $9.4 billion. The company continues its commitment to returning value to shareholders, with a quarterly cash dividend of $0.50 per share announced.
In conclusion, Oracle’s fourth-quarter and fiscal year performances highlight significant growth across various segments, particularly in cloud services, positioning the company for continued growth and expansion in its offerings.