Oracle Misses Q3 Estimates but Projects Strong AI-Driven Growth

The tech giant reports a 6% revenue increase and highlights ambitious plans to expand data centers and capitalize on AI demand.

Oracle reported Q3 fiscal 2025 revenue of $14.13 billion, falling short of analysts' expectations of $14.38 billion, with adjusted earnings per share at $1.47 versus the $1.49 estimate.
The company announced a 25% increase in its quarterly dividend, raising it to $0.50 per share, payable on April 23, 2025.
Oracle's Remaining Performance Obligations (RPO) rose 63% year-over-year to $130 billion, driven by $48 billion in new sales contracts during the quarter.
Chairman Larry Ellison and CEO Safra Catz highlighted Oracle's strategic focus on AI and cloud services, including plans to double data center capacity this year and significant involvement in the $500 billion Stargate AI project.
Despite the earnings miss, Oracle projects 15% revenue growth for fiscal 2026 and 20% for fiscal 2027, citing record demand for AI-related cloud infrastructure and services.