Key Takeaways
- Oracle is scheduled to report fiscal first-quarter earnings after the closing bell on Monday.
- The company has high hopes for cloud infrastructure growth in fiscal 2025.
- Shares hit a record high after the company announced deals with Microsoft and OpenAI alongside its last quarterly results, reported in June.
Oracle (ORCL) is set to report results from its fiscal first quarter of 2025 after the market closes on Monday. Investors will likely have their eye on cloud infrastructure growth.
The software giant is expected to post revenue of $13.23 billion, up more than 6% year-over-year, on earnings per share of 91 cents, up from 86 cents a year earlier, according to Visible Alpha. Net income is expected to be $2.57 billion.
| Analyst Estimates for Q1 2025 | Q4 2024 | Q1 2024 | |
| Revenue | $13.23 billion | $14.29 billion | $12.45 billion |
| Diluted EPS | 91 cents | $1.11 | 86 cents |
| Net Income | $2.57 billion | $3.14 billion | $2.42 billion |
Key Metric: Oracle Cloud Infrastructure Revenue
Oracle shares hit a record high in June when the company announced cloud infrastructure deals with Microsoft (MSFT), OpenAI, and Alphabet’s (GOOGL) Google alongside its fiscal fourth quarter results. Shares of Oracle, which edged lower Friday, are up some 35% this year.
Oracle Cloud Infrastructure (OCI) revenue was $2 billion last quarter, and the company has guided for more than 50% growth year-over-year in fiscal 2025. Analysts on average are calling for $2.18 billion this quarter, good for 44% growth year-over-year, per Visible Alpha. Artificial intelligence (AI) hardware scarcity is “driving business” to OCI, Morgan Stanley analysts wrote last month.
Jefferies’ analysts said that Oracle will need to see continued OCI demand and improved OCI capacity if the company wants to hit double-digit revenue growth.
Business Spotlight: Partnerships
Last quarter, Oracle suggested it could be well-positioned to benefit from the growing data needs of training and running AI models, especially with its contracts with Microsoft and OpenAI.
Mizuho Americas analysts expect the company to add Amazon.com’s (AMZN) AWS to the mix with an announcement at Oracle’s CloudWorld conference Sept. 9-12. The firm also said Oracle could unveil plans for a new AI factory.