Oracle Reports Strong Earnings Amid Cloud Growth and AI Partnerships

Redwood City, California — Oracle Corporation announced its fiscal fourth-quarter earnings on June 11, 2025, revealing results that exceeded Wall Street expectations.

The software company’s shares rose approximately 8% in after-hours trading following its report. Revenue increased by 11% year over year, totaling $15.54 billion, while net income rose to $3.43 billion, or $1.19 per share, compared to $3.14 billion, or $1.11 per share, in the same period last year.

CEO Safra Catz indicated that cloud infrastructure revenue is expected to increase by over 70% in the fiscal 2026 year, up from a 52% growth rate in the latest quarter. She forecasted over $67 billion in total revenue for fiscal 2026, surpassing analysts’ expectations.

Oracle’s cloud services and license support revenue for the recently concluded quarter totaled $11.7 billion, exceeding analysts’ consensus estimate of $11.59 billion. Additionally, cloud and on-premises license revenue at $2.01 billion also beat expectations.

During the earnings call, the company announced partnerships with Cleveland Clinic and G42, a United Arab Emirates-based AI holding company, to develop an AI delivery platform for healthcare. Oracle’s partnerships with major firms like Google Cloud also expanded its cloud offerings.

Capital expenditures for fiscal 2025 reached over $21 billion, a significant increase from less than $7 billion in fiscal 2024. Oracle predicts these expenditures will exceed $25 billion in the upcoming fiscal year.

Oracle shares have increased by about 6% this year, while the S&P 500 has gained only 2%. The stock has also seen a rise of 45% since reaching a low in mid-April, reflecting investor enthusiasm in the AI sector.

The mixed market sentiment surrounding Oracle has resulted in six of 13 analysts tracking the stock giving it a “buy” rating, while seven maintain a “hold” rating.

As Oracle continues to evolve within the competitive cloud market, investors remain keen on its potential for future growth driven by both strategic partnerships and robust demand for cloud services.