Oracle Corporation (NYSE: ORCL) has reported today the results for the fourth quarter and fiscal year 2024. Quarterly total revenues increased by 3% year-over-year in USD and 4% in constant currency, reaching $14.3 billion. Cloud services and license support revenues increased by 9% in USD and 10% in constant currency, totaling $10.2 billion. However, cloud license and on-premise license revenues decreased by 15% in USD and 14% in constant currency, amounting to $1.8 billion.
During the fourth quarter, Oracle reported a GAAP operating income of $4.7 billion and non-GAAP operating income of $6.7 billion, representing an 8% increase in USD and 9% in constant currency. The GAAP operating margin was 33%, while the non-GAAP operating margin was 47%. GAAP net income was $3.1 billion, and non-GAAP net income reached $4.6 billion. GAAP earnings per share were $1.11, while non-GAAP earnings per share were $1.63.
Cloud revenues (IaaS and SaaS) for the fourth quarter were $5.3 billion, a 20% increase in both USD and constant currency. Infrastructure as a Service (IaaS) revenues were $2 billion, a 42% increase in USD and constant currency, while Software as a Service (SaaS) revenues were $3.3 billion, a 10% increase. Fusion Cloud ERP and NetSuite Cloud ERP SaaS revenues were $800 million each, with 14% and 19% increases, respectively, in USD and constant currency.
For the full fiscal year 2024, total revenues increased by 6% in USD and constant currency, reaching $53 billion. Cloud services and license support revenues grew by 12% in USD and 11% in constant currency, amounting to $39.4 billion. However, cloud license and on-premise license revenues decreased by 12% in both USD and constant currency, totaling $5.1 billion.
The GAAP operating income for the fiscal year was $15.4 billion, with a 29% GAAP operating margin. Non-GAAP operating income was $23.1 billion, with a 44% non-GAAP operating margin. GAAP net income was $10.5 billion, while non-GAAP net income was $15.7 billion. GAAP earnings per share were $3.71, and non-GAAP earnings per share were $5.56.
Safra Catz, CEO of Oracle, highlighted the signing of the largest sales contracts in the company’s history during the third and fourth quarters, driven by the high demand for AI language models in Oracle Cloud. “These record sales levels increased remaining performance obligations (RPO) by 44% to $98 billion,” stated Catz. She also anticipated continued growth in AI demand and double-digit revenue growth for the next fiscal year.
Larry Ellison, Oracle’s Chairman and CTO, emphasized the expansion of multicloud cooperation with Microsoft and interconnection with Google Cloud. “Our agreement with Google to interconnect our clouds and build 12 OCI data centers within Google Cloud is a significant milestone,” Ellison declared.
The Oracle Board of Directors declared a quarterly cash dividend of $0.40 per share of common stock outstanding. This dividend will be paid to shareholders of record as of the close of business on July 11, 2024, with a payment date of July 25, 2024.