Oracle

ORCL Q3 2025 Earnings

Reported Mar 10, 2025 at 4:13 PM ET · SEC Source

Q3 25 EPS

$1.47

MISS 1.34%

Est. $1.49

Q3 25 Revenue

$14.13B

MISS 1.81%

Est. $14.39B

vs S&P Since Q3 25

-9.1%

TRAILING MARKET

ORCL +20.5% vs S&P +29.6%

Market Reaction

Did ORCL Beat Earnings? Q3 2025 Results

Oracle delivered a disappointing fiscal Q3 2025, missing Wall Street expectations on both lines as revenue of $14.13 billion fell short of the $14.39 billion consensus and non-GAAP EPS of $1.47 trailed the $1.49 estimate by 1.34%, sending shares lowe… Read more Oracle delivered a disappointing fiscal Q3 2025, missing Wall Street expectations on both lines as revenue of $14.13 billion fell short of the $14.39 billion consensus and non-GAAP EPS of $1.47 trailed the $1.49 estimate by 1.34%, sending shares lower despite the company's mounting cloud ambitions. The headline shortfall was largely a legacy drag story: cloud license and on-premise license revenue declined 10% to $1.13 billion, while hardware slid 7% to $703 million, offsetting strong momentum in cloud infrastructure, where IaaS revenue surged 49% year-over-year to $2.70 billion on relentless AI-driven demand. The deeper narrative, however, lies in Oracle's forward pipeline, Remaining Performance Obligations ballooned 62% to $130 billion on record contract signings exceeding $48 billion in the quarter, with deals inked alongside OpenAI, xAI, and Meta. Management is projecting 15% overall revenue growth in fiscal 2026, and after prior quarter earnings pressure, the gap between Oracle's backlog story and its current results remains the central tension for investors.

Key Takeaways

  • Cloud Infrastructure (IaaS) revenue grew 49% year-over-year driven by AI training and inferencing demand
  • GPU consumption for AI training grew 244% over the last 12 months
  • Database MultiCloud revenue from Microsoft, Google, and Amazon up 92% in the last three months
  • Record sales contract signings of more than $48 billion in Q3
  • Remaining Performance Obligations surged 62% to $130 billion
24/7 Wall St

ORCL YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

ORCL Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 25 Q3 26
24/7 Wall St

ORCL Revenue by Geography

With YoY comparisons, source: SEC Filings

Q3 25 Q3 26

“Oracle signed sales contracts for more than $48 billion in Q3. This record sales number pushed our Remaining Performance Obligations, or RPO, up 63% to over $130 billion. We have now signed cloud agreements with several world leading technology companies including: OpenAI, xAI, Meta, NVIDIA and AMD. We expect that our huge $130 billion sales backlog will help drive a 15% increase in Oracle's overall revenue in our next fiscal year beginning this June. And we expect RPO to continue to grow rapidly—as we look forward to signing our first Stargate contract—yet another big opportunity for Oracle to expand both its AI training and AI inferencing businesses in the near future.”

— Safra Catz, Q3 2025 Earnings Press Release