Oracle
Financial disclosures
Q1 FY2027 (quarter ended Aug 31, 2026) — reported Sept 10, 2026 · As of Oct 28, 2026
Oracle's fiscal 2027 kicked off with a quarter that the company and much of the press framed as a watershed moment for its cloud-infrastructure pivot. Total revenue reached $19.3 billion, up 30% year over year, but the real story was Oracle Cloud Infrastructure (OCI), which posted $7.4 billion in revenue, up 121% year over year. Combined cloud revenue (OCI plus SaaS applications) reached $11.6 billion, up 62%. GAAP net income available to common shareholders was $4.7 billion, up 60%, on diluted EPS of $1.56.
The number drawing the most analyst attention was Remaining Performance Obligations (RPO) — Oracle's backlog of contracted-but-unrecognized cloud revenue — which hit $664 billion, up roughly $209 billion (46%) year over year. Management said most of that increase came from large multi-year AI infrastructure contracts, several structured so the customer either prepaid Oracle for GPU capacity or supplied its own GPUs; these prepaid/customer-supplied-hardware deals now total $75 billion, which Oracle said "substantially reduces the amount of capital Oracle must raise to build out our AI datacenters." The company also disclosed delivering more than 300,000 GPUs to AI cloud customers since the prior quarter-end and booking over $30 billion in new AI cloud contracts in the quarter alone.
That growth carries a real near-term cash cost: operating cash flow was strong at $23 billion, but free cash flow was negative $5 billion, reflecting the scale of datacenter buildout. Oracle said it expects to raise about $40 billion in fiscal 2027 through debt and equity. For Q2 FY2027, Oracle guided to total revenue growth of 30–34% and total cloud revenue growth of 64–71%; for the full fiscal year, it guided to revenue of at least $90 billion.
Key figures
| Metric | Value |
|---|---|
| Total revenue | $19.3B (+30% YoY) |
| GAAP net income | $4.7B (+60% YoY) |
| Diluted EPS (GAAP) | $1.56 (+55% YoY) |
| OCI (cloud infrastructure) revenue | $7.4B (+121% YoY) |
| Total cloud revenue | $11.6B (+62% YoY) |
| Remaining Performance Obligations (RPO) | $664B (+~46% YoY) |
| Operating cash flow | $23B (+184% YoY) |
| Free cash flow | -$5B |
| Q2 FY2027 guidance | Revenue +30–34%; cloud revenue +64–71% |
| Full FY2027 guidance | Revenue ≥$90B |