Oracle (ORCL) Q1 Earnings Report 2024: Strong Performance and Rapid Growth in Cloud Business
stock futures were flat in overnight trading on Monday as investors awaited the Federal Reserve's latest decision on monetary policy. Dow futures fell 20 points. S&P 500 futures and Nasdaq 100 futures both traded near the flatline.
Oracle (ORCL) reported its first-quarter earnings for fiscal year 2024 on Tuesday after the bell. The company reported adjusted earnings per share of $1.03 on revenue of $10.9 billion, beating analysts' expectations. Oracle's cloud services and license support revenue also exceeded estimates, coming in at $7.4 billion. The company's stock rose over 3% in after-hours trading.
Oracle has been making significant investments in its cloud business as it aims to compete with tech giants like Amazon (AMZN), Microsoft (MSFT), and Alphabet (GOOGL). The company recently announced plans to build new data centers in Japan, Australia, and Saudi Arabia. Oracle's CEO, Safra Catz, said that the company's cloud business is growing rapidly and gaining market share.
In addition to its cloud business, Oracle also reported growth in its software licenses and services revenue, which rose 4% to $3.5 billion. The company's hardware revenue, however, declined 8% to $763 million.
Looking ahead, Oracle expects its second-quarter earnings per share to be between $1.09 and $1.13, with revenue growth of 2% to 4%. The company's guidance was in line with analysts' expectations.
Overall, Oracle's Q1 earnings report shows strong performance in its cloud business, beating expectations and indicating rapid growth in the company's market share.
