CEO Predicts Double-Digit Revenue Growth Amid Earnings Miss

  • Oracle’s stock surges over 9% after upbeat guidance and Google deal overshadow earnings miss
  • CEO Safra Catz expects double-digit revenue growth in fiscal year 2025 due to strong AI demand
  • Revenue from cloud services and license support increased by 9% to $10.23 billion
  • Remaining performance obligations rose 44% to $98 billion
  • Partnership with Google Cloud allows customers to combine Oracle Cloud Infrastructure with Google’s AI capabilities

Oracle Corp.’s shares surged more than 9% in extended session after the company’s upbeat guidance overshadowed an earnings miss for the latest quarter. The software giant reported a fiscal fourth-quarter net income of $3.14 billion, or $1.11 a share, compared to $3.32 billion in the previous year. Adjusted earnings were $1.63 per share, while analysts expected $1.65. Revenue reached $14.29 billion, slightly below the anticipated $14.56 billion. CEO Safra Catz expects double-digit revenue growth this fiscal year due to strong AI demand and increased OCI capacity. Oracle also partnered with Google Cloud, allowing customers to combine their services with Google’s innovative platform and AI capabilities.

Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Oracle’s financial performance, guidance from the CEO, and a new partnership with Google Cloud. It includes relevant details about the company’s revenue, earnings, and growth expectations. The article is not sensational or opinionated, and there are no logical errors or inconsistencies.
Noise Level: 3
Noise Justification: The article provides relevant information about Oracle’s financial performance and partnership with Google Cloud but lacks in-depth analysis or actionable insights.
Public Companies: Oracle Corp. (ORCL), Alphabet Inc. (GOOG)
Key People: Safra Catz (Chief Executive), Larry Ellison (Chairman), Sundar Pichai (Chief Executive)

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Financial Relevance: Yes
Financial Markets Impacted: Oracle Corp. shares increased by over 9% in the extended session after delivering upbeat guidance and reporting fiscal fourth-quarter net income of $3.14 billion, impacting financial markets and companies such as Alphabet Inc.
Financial Rating Justification: The article discusses Oracle Corp.’s financial performance, stock market movement, and partnership with Alphabet Inc., which has an impact on the financial markets and related companies.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the article. It discusses Oracle Corp.’s financial performance and a partnership with Google Cloud.

Reported publicly: www.marketwatch.com