Q2 GAAP Earnings per Share up 91% to $2.10, Non-GAAP Earnings per Share up 54% to $2.26
Q2 Total Revenue $16.1 billion, up 14% in USD and up 13% in constant currency
Q2 Cloud Revenue (IaaS plus SaaS) $8.0 billion, up 34% in USD and up 33% in constant currency
Q2 Cloud Infrastructure (IaaS) Revenue $4.1 billion, up 68% in USD and up 66% in constant currency
Q2 Cloud Application (SaaS) Revenue $3.9 billion, up 11% in both USD and constant currency
Q2 Fusion Cloud ERP (SaaS) Revenue $1.1 billion, up 18% in USD and up 17% in constant currency
Q2 NetSuite Cloud ERP (SaaS) Revenue $1.0 billion, up 13% in both USD and constant currency
AUSTIN, Texas, Dec. 10, 2025 /PRNewswire/ -- Oracle Corporation (NYSE:ORCL) today announced fiscal 2026 Q2 results. Total Remaining Performance Obligations were up 438% year-over-year in USD to $523 billion. Total quarterly revenues were up 14% in USD, and up 13% in constant currency to $16.1 billion. Cloud revenues were up 34% in USD, and up 33% in constant currency to $8.0 billion. Software revenues were down 3% in USD, and down 5% in constant currency to $5.9 billion.
Q2 GAAP operating income was $4.7 billion. Non-GAAP operating income was $6.7 billion, up 10% year-over-year in USD and up 8% in constant currency. GAAP net income was $6.1 billion. Non-GAAP net income was $6.6 billion, up 57% in USD and up 54% in constant currency. Q2 GAAP earnings per share was $2.10, up 91% in USD and up 86% in constant currency. Non-GAAP earnings per share was $2.26, up 54% in USD and up 51% in constant currency.
Short-term deferred revenues were $9.9 billion. Over the last twelve months, operating cash flow was $22.3 billion, up 10% in USD.
"Remaining Performance Obligations (RPO) increased by $68 billion in Q2—up 15% sequentially to $523 billion—highlighted by new commitments from Meta, NVIDIA, and others," said Oracle Principal Financial Officer, Doug Kehring. "Q2 GAAP earnings per share was up 91% to $2.10, and non-GAAP earnings per share was up 54% to $2.26. Our GAAP and non-GAAP earnings per share were both positively impacted by a $2.7 billion pre-tax gain in the sale of Oracle's interest in our Ampere chip company."
"Oracle sold Ampere because we no longer think it is strategic for us to continue designing, manufacturing and using our own chips in our cloud datacenters," said Oracle Chairman and CTO, Larry Ellison. "We are now committed to a policy of chip neutrality where we work closely with all our CPU and GPU suppliers. Of course, we will continue to buy the latest GPUs from NVIDIA, but we need to be prepared and able to deploy whatever chips our customers want to buy. There are going to be a lot of changes in AI technology over the next few years and we must remain agile in response to those changes."
"Oracle is very good at building and running high-performance and cost-efficient cloud datacenters," said Oracle CEO, Clay Magouyrk. "For years Oracle has been investing in AI and building autonomous cloud software. Oracle's Autonomous Database and Autonomous Linux have been key to reducing human labor and human error in our datacenters. Because our datacenters are highly automated, we can build and run more of them. Oracle has over 211 live and planned regions worldwide—more than any of our cloud competitors. We are more than halfway through building 72 Oracle Multicloud datacenters to be embedded throughout the Amazon, Google and Microsoft clouds. We are committed to Cloud Neutrality because we believe that our customers should be able to run their Oracle databases in any cloud they choose. That strategy is definitely paying off. Our Multicloud database business is our fastest growing business—up 817% in Q2."
"AI Training and selling AI Models are very big businesses," said Oracle CEO, Mike Sicilia. "But we think there is an even larger opportunity—embedding AI in a variety of different products. Oracle is in a unique position to embed AI in all three layers of our software products: our Cloud Datacenter software, our Autonomous Database and Analytic software, and our Applications software. All three of these Oracle software businesses are already big—AI will make them all better and bigger. AI allows us to automate complex multistep processes that were impossible to automate before AI. AI is enabling us to automate loan origination and risk quantification for banks and their customers. AI is enabling us to help doctors diagnose and care for their patients and manage the reimbursement process between healthcare providers and payers. All of the top five AI Models are in the Oracle Cloud. We have huge advantages over our applications competitors."
The board of directors declared a quarterly cash dividend of $0.50 per share of outstanding common stock. This dividend will be paid to stockholders of record as of the close of business on January 9, 2026, with a payment date of January 23, 2026.
A sample list of customers which purchased Oracle Cloud services during the quarter will be available at www.oracle.com/customers/earnings/.
A list of recent technical innovations and announcements is available at www.oracle.com/news/.
To learn what industry analysts have been saying about Oracle's products and services see www.oracle.com/corporate/analyst-reports/.
Earnings Conference Call and Webcast
Oracle will hold a conference call and webcast today to discuss these results at 4:00 p.m. Central. A live and replay webcast will be available on the Oracle Investor Relations website at www.oracle.com/investor/.
About Oracle
Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. For more information about Oracle (NYSE:ORCL), please visit us at www.oracle.com.
Trademarks
Oracle, Java, MySQL, and NetSuite are registered trademarks of Oracle Corporation. NetSuite was the first cloud company—ushering in the new era of cloud computing.
"Safe Harbor" Statement: Statements in this press release relating to future plans, expectations, beliefs, intentions and prospects, including our plans to maintain chip neutrality, our ability to build and run high-performance and cost-efficient cloud datacenters and increase buildout of additional datacenters, the growth opportunity provided by embedding AI in a variety of our product and the benefits of AI generally are "forward-looking statements" and are subject to material risks and uncertainties. Risks and uncertainties that could affect our current expectations and our actual results, include, among others: our ability to develop new products and services, integrate acquired products and services and enhance our existing products and services, including our AI products; our management of complex cloud and hardware offerings, including the sourcing of technologies and technology components such as graphic processing units; our ability to anticipate, plan for, secure and manage datacenter capacity; significant coding, manufacturing or configuration errors in our offerings; risks associated with acquisitions; business volatility and risks associated with government contracting; economic, political and market conditions, including tariffs and trade wars; information technology system failures, privacy and data security concerns; cybersecurity breaches; unfavorable legal proceedings, government investigations, and complex and changing laws and regulations. A detailed discussion of these factors and other risks that affect our business is contained in our SEC filings, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or by contacting Oracle's Investor Relations Department at (650) 506-4073 or by clicking on SEC Filings on the Oracle Investor Relations website at www.oracle.com/investor/. All information set forth in this press release is current as of December 10, 2025. Oracle undertakes no duty to update any statement in light of new information or future events.
ORACLE CORPORATION
Q2 FISCAL 2026 FINANCIAL RESULTS
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
($ in millions, except per share data)
Three Months Ended November 30,
% Increase
% Increase
(Decrease)
2025
% of
2024
% of
(Decrease)
in Constant
Revenues
Revenues
in US $
Currency (1)
REVENUES
Cloud
$ 7,977
50 %
$ 5,937
42 %
34 %
33 %
Software
5,877
36 %
6,064
44 %
(3 %)
(5 %)
Hardware
776
5 %
728
5 %
7 %
5 %
Services
1,428
9 %
1,330
9 %
7 %
6 %
Total revenues
16,058
100 %
14,059
100 %
14 %
13 %
OPERATING EXPENSES
Cloud and software
3,990
25 %
2,746
19 %
45 %
45 %
Hardware
215
1 %
172
1 %
25 %
23 %
Services
1,169
7 %
1,167
8 %
0 %
(1 %)
Sales and marketing
2,149
13 %
2,190
16 %
(2 %)
(3 %)
Research and development
2,561
16 %
2,471
18 %
4 %
4 %
General and administrative
409
3 %
387
3 %
6 %
5 %
Amortization of intangible assets
407
3 %
591
4 %
(31 %)
(31 %)
Acquisition related and other
21
0 %
31
0 %
(33 %)
(35 %)
Restructuring
406
3 %
84
1 %
387 %
378 %
Total operating expenses
11,327
71 %
9,839
70 %
15 %
14 %
OPERATING INCOME
4,731
29 %
4,220
30 %
12 %
9 %
Interest expense
(1,057)
(7 %)
(866)
(6 %)
22 %
22 %
Non-operating income, net
2,668
17 %
36
0 %
*
*
INCOME BEFORE INCOME TAXES
6,342
39 %
3,390
24 %
87 %
82 %
Provision for income taxes
207
1 %
239
2 %
(14 %)
(16 %)
NET INCOME
$ 6,135
38 %
$ 3,151
22 %
95 %
89 %
EARNINGS PER SHARE:
Basic
$ 2.14
$ 1.13
Diluted
$ 2.10
$ 1.10
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING:
Basic
2,864
2,790
Diluted
2,922
2,869
(1)
We compare the percent change in the results from one period to another period using constant currency disclosure. We present constant currency information to provide a framework for
assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for
entities reporting in currencies other than United States dollars are converted into United States dollars at the exchange rates in effect on May 31, 2025, which was the last day of our prior
fiscal year, rather than the actual exchange rates in effect during the respective periods. Movements in international currencies relative to the United States dollar during the three months
ended November 30, 2025 compared with the corresponding prior year period increased our total revenues by 1 percentage point, total operating expenses by 1 percentage point and
operating income by 3 percentage points.
*
Not meaningful
ORACLE CORPORATION
Q2 FISCAL 2026 FINANCIAL RESULTS
RECONCILIATION OF SELECTED GAAP MEASURES TO NON-GAAP MEASURES (1)
($ in millions, except per share data)
Three Months Ended November 30,
% Increase(Decrease)in US $
% Increase (Decrease) inConstant Currency (2)
2025
2025
2024
2024
GAAP
Non-GAAP
GAAP
Non-GAAP
GAAP
Adj.
Non-GAAP
GAAP
Adj.
Non-GAAP
TOTAL REVENUES
$ 16,058
$ -
$ 16,058
$ 14,059
$ -
$ 14,059
14 %
14 %
13 %
13 %
TOTAL OPERATING EXPENSES
$ 11,327
$ (1,990)
$ 9,337
$ 9,839
$ (1,876)
$ 7,963
15 %
17 %
14 %
16 %
Stock-based compensation (3)
1,156
(1,156)
-
1,170
(1,170)
-
(1 %)
*
(1 %)
*
Amortization of intangible assets (4)
407
(407)
-
591
(591)
-
(31 %)
*
(31 %)
*
Acquisition related and other
21
(21)
-
31
(31)
-
(33 %)
*
(35 %)
*
Restructuring
406
(406)
-
84
(84)
-
387 %
*
378 %
*
OPERATING INCOME
$ 4,731
$ 1,990
$ 6,721
$ 4,220
$ 1,876
$ 6,096
12 %
10 %
9 %
8 %
OPERATING MARGIN %
29 %
42 %
30 %
43 %
(56) bp.
(150) bp.
(92) bp.
(171) bp.
INCOME TAX EFFECTS (5)
$ 207
$ 1,527
$ 1,734
$ 239
$ 820
$ 1,059
(14 %)
64 %
(16 %)
61 %
NET INCOME
$ 6,135
$ 463
$ 6,598
$ 3,151
$ 1,056
$ 4,207
95 %
57 %
89 %
54 %
DILUTED EARNINGS PER SHARE
$ 2.10
$ 2.26
$ 1.10
$ 1.47
91 %
54 %
86 %
51 %
DILUTED WEIGHTED AVERAGE COMMON SHARES OUTSTANDING
2,922
-
2,922
2,869
-
2,869
2 %
2 %
2 %
2 %
(1)
This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated
financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures
and the material limitations on the usefulness of these measures, please see Appendix A.
(2)
We compare the percent change in the results from one period to another period using constant currency disclosure. We present constant currency information to provide a framework for assessing how our underlying businesses
performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for entities reporting in currencies other than United States dollars are converted into
United States dollars at the exchange rates in effect on May 31, 2025, which was the last day of our prior fiscal year, rather than the actual exchange rates in effect during the respective periods.
(3)
Stock-based compensation was included in the following GAAP operating expense categories:
Three Months Ended
Three Months Ended
November 30, 2025
November 30, 2024
GAAP
Adj.
Non-GAAP
GAAP
Adj.
Non-GAAP
Cloud and software
$ 151
$ (151)
$ -
$ 158
$ (158)
$ -
Hardware
7
(7)
-
8
(8)
-
Services
51
(51)
-
53
(53)
-
Sales and marketing
185
(185)
-
195
(195)
-
Research and development
668
(668)
-
657
(657)
-
General and administrative
94
(94)
-
99
(99)
-
Total stock-based compensation
$ 1,156
$ (1,156)
$ -
$ 1,170
$ (1,170)
$ -
(4)
Estimated future annual amortization expense related to intangible assets as of November 30, 2025 was as follows:
Remainder of fiscal 2026
$ 812
Fiscal 2027
672
Fiscal 2028
635
