Oracle posts record Q4 revenue and outlines $40 billion capital raise

Oracle reported record fiscal Q4 2026 revenue of $19.2 billion, a 21 % year‑over‑year increase, driven by cloud revenue that hit $9.9 billion, up 47 %, and Oracle Cloud Infrastructure (OCI) revenue that rose 93 % to $5.8 billion. Adjusted earnings per share came in at $2.11, beating analysts’ consensus of $1.96, and operating margin reached 45 %, above the 43.5 % estimate. Despite the beat, the stock slipped as investors focused on the company’s plan to raise roughly $40 billion in fiscal 2027 through a roughly 50/50 mix of debt and equity. The proceeds are earmarked for expanding cloud infrastructure to meet surging AI demand, including a reported multi‑year computing deal with OpenAI. Oracle’s remaining performance obligations grew to a record $638 billion, while free cash flow turned negative $23.7 billion, highlighting the capital intensity of its expansion. Analysts noted the scale of the raise could increase leverage and dilute existing shareholders, tempering enthusiasm for the earnings outperformance.