Overview
- Oracle reported fiscal Q2 revenue of $16.06 billion, missing estimates, while adjusted EPS of $2.26 beat expectations, aided by a one-time $2.7 billion pretax gain tied to the sale of its Ampere stake.
- Management guided for third-quarter sales and profit below Wall Street targets, signaling slower near-term conversion of large cloud commitments.
- Remaining performance obligations climbed to about $523 billion, up roughly 438% year over year, though the figure fell short of some analyst forecasts.
- Oracle lifted expected fiscal 2026 capital spending by about $15 billion from prior plans and described alternative funding models, including customers supplying their own chips and vendors renting capacity.
- Shares fell roughly 6%–11% in after-hours trading as leverage and funding worries persisted, with recent credit-market indicators showing the cost of protecting Oracle’s debt near multi-year highs.