Cloud boom drives strong Q4 for Oracle

Oracle has reported better-than-expected fiscal 2022 Q4 results, driven by a rise in demand in its infrastructure cloud business.

Q4 cloud revenue was $2.9bn, up 19 percent in USD, while total quarterly revenues were up 5 percent year on year to $11.8bn. Cloud services and license support revenues increased 3 percent to $7.6bn, with cloud license and on-premise license revenues up 18 percent to $2.5bn.

Q4 GAAP operating income was $4.5bn, down 1 percent, while non-GAAP operating income increased by 3 percent at $5.6bn. GAAP operating margin was 38 percent, and non-GAAP operating margin was 47 percent.

Fiscal year 2022 total revenues were up 5 percent to $42.4bn, while cloud services and license support revenues were also up 5 percent to $30.2bn.

Safra Catz, Oracle CEO, said: “The consistent increases in our quarterly revenue growth rate typically have been driven by our market leading Fusion and NetSuite cloud applications. But this Q4, we also experienced a major increase in demand in our infrastructure cloud business. We believe that this revenue growth spike indicates that our infrastructure business has now entered a hyper-growth phase.”