How much of the fiscal 2026 EPS growth came from one-time items?

Fiscal 2026 non-GAAP diluted EPS was $7.63, up 27%. Oracle states that one-time net investment gains contributed to this figure. Excluding those gains, fiscal 2026 non-GAAP EPS would have been $6.83, up 13% in USD. Q4 non-GAAP EPS would have been $2.03 instead of $2.11, still up 20% in USD. The fiscal 2027 guidance of $8.05 is described as 18% growth on an adjusted basis.

Why is free cash flow negative, and how is Oracle funding the buildout?

Free cash flow was negative $23.7 billion for fiscal 2026 because capital expenditures reached $55.7 billion, against operating cash flow of $32.0 billion. Oracle funded the gap mainly with $43 billion of debt and $5 billion of equity in fiscal 2026. For fiscal 2027 it expects to raise about $40 billion through debt and equity, including a $20 billion at-the-market equity program. It says it does not expect to issue additional debt in calendar 2026. Prepaid and customer-supplied GPU arrangements, now totaling $75 billion, reduce the capital Oracle must raise.

How much of the $638 billion RPO is secure, and what does it depend on?

RPO is contracted backlog, but the filing indicates that most of the recent growth comes from large AI contracts. In these, customers either prepaid Oracle for GPUs or bought and supplied the GPUs to Oracle. Those prepaid and customer-supplied hardware portions total $75 billion. The filing does not break out how much of total RPO is concentrated in a small number of customers or timing of recognition, so investors should review the Form 10-K for those details. Forward-looking risks cited include datacenter capacity, GPU sourcing, and execution.

What should investors expect from Oracle's near-term revenue and earnings?

For Q1 fiscal 2027, Oracle guides total revenue growth of 27% to 29% in USD and constant currency, Cloud revenue growth of 58% to 64% in USD, and non-GAAP EPS of $1.72 to $1.76 in USD (growth of 17% to 20%). For full fiscal 2027, it confirmed $90 billion of total revenue and raised non-GAAP EPS guidance to $8.05. Results depend on continued Cloud Infrastructure growth and on Oracle's ability to secure capacity and capital.

What are the dividend terms for common and preferred shareholders?

Common shareholders will receive a $0.50 per-share dividend, with a record date of July 10, 2026 and a payment date of July 24, 2026. Holders of the Mandatory Convertible Preferred Stock will receive $1,625 per share, with a record date of July 1, 2026 and a payment date of July 15, 2026. Preferred dividends were $81 million in Q4 and $103 million for fiscal 2026 according to the reported income statements.

ORCL/ORCL-PD 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed June 10, 2026. Cited figures are marked; the original filing is the authoritative source.

Oracle reported record fiscal fourth-quarter and full-year fiscal 2026 results on June 10, 2026.

Q4 total revenue rose 21% to $19.2 billion^a, and Cloud revenue grew 47% to $9.9 billion, led by 93% growth in Cloud Infrastructure (IaaS). Q4 GAAP diluted EPS was $1.45 (up 21%), and non-GAAP diluted EPS was $2.11 (up 24%). For the full year, revenue reached $67.4 billion (up 17%), GAAP diluted EPS was $5.83, and non-GAAP diluted EPS was $7.63.

Remaining Performance Obligations (RPO) climbed to $638 billion^b, up $85 billion sequentially, though much of that growth comes from large AI contracts in which customers prepaid for GPUs or supplied them directly. Oracle also reported negative free cash flow of $23.7 billion for fiscal 2026 as capital expenditures reached $55.7 billion. The quarter's earnings quality needs context.

Q4 and fiscal 2026 results include one-time net investment gains. Excluding those gains, Q4 non-GAAP EPS would be $2.03^c and fiscal 2026 non-GAAP EPS would be $6.83. Oracle raised fiscal 2027 non-GAAP EPS guidance to $8.05, which it describes as 18% growth after adjusting for the one-time items, and it confirmed fiscal 2027 total revenue guidance of $90 billion.

Q1 fiscal 2027 guidance calls for total revenue growth of 27% to 29% and Cloud growth of 58% to 64% in USD. Financing is the central investor question. Oracle raised $43 billion^d of debt and $5 billion of equity in fiscal 2026 and expects to raise about $40 billion in fiscal 2027, including the previously announced $20 billion at-the-market equity program.

Management says it does not expect to issue additional debt in calendar 2026, and it notes that prepaid and customer-supplied hardware in its large AI contracts now totals $75 billion, which reduces the capital it must raise. The board also declared a $0.50 quarterly common dividend and a $1,625 per-share dividend on the Mandatory Convertible Preferred Stock.

02—Key points

Key Highlights

Q4 FY2026 total revenue was a record $19.2 billion, up 21% in USD and 20% in constant currency. Cloud revenue was $9.9 billion, up 47%, with Cloud Infrastructure up 93% to $5.8 billion and Cloud Applications up 10% to $4.1 billion.
Q4 GAAP diluted EPS was $1.45 (up 21%), and non-GAAP diluted EPS was $2.11 (up 24%). Excluding one-time investment gains, non-GAAP EPS would have been $2.03 (up 20%).
Remaining Performance Obligations reached a record $638 billion, up $85 billion sequentially and up 363% year over year. Prepaid and customer-supplied hardware in large AI contracts totals $75 billion.
Fiscal 2026 operating cash flow was a record $32.0 billion (up 54%), but free cash flow was negative $23.7 billion as capital expenditures reached $55.7 billion.
Fiscal 2026 financing included $43 billion of debt and $5 billion of equity. Oracle expects about $40 billion of financing in fiscal 2027, including the $20 billion at-the-market equity program, and does not expect to issue additional debt in calendar 2026.
Fiscal 2027 guidance: confirmed total revenue of $90 billion and raised non-GAAP EPS guidance to $8.05. Q1 fiscal 2027 total revenue is guided to grow 27% to 29%, and Cloud revenue to grow 58% to 64% in USD.
Oracle declared a $0.50 quarterly common dividend (record date July 10, 2026; payable July 24, 2026) and a $1,625 per-share dividend on its Mandatory Convertible Preferred Stock (record date July 1, 2026; payable July 15, 2026).

03—Questions

Frequently Asked Questions

How much of the fiscal 2026 EPS growth came from one-time items?
Fiscal 2026 non-GAAP diluted EPS was $7.63, up 27%. Oracle states that one-time net investment gains contributed to this figure. Excluding those gains, fiscal 2026 non-GAAP EPS would have been $6.83, up 13% in USD. Q4 non-GAAP EPS would have been $2.03 instead of $2.11, still up 20% in USD. The fiscal 2027 guidance of $8.05 is described as 18% growth on an adjusted basis.
Why is free cash flow negative, and how is Oracle funding the buildout?
Free cash flow was negative $23.7 billion for fiscal 2026 because capital expenditures reached $55.7 billion, against operating cash flow of $32.0 billion. Oracle funded the gap mainly with $43 billion of debt and $5 billion of equity in fiscal 2026. For fiscal 2027 it expects to raise about $40 billion through debt and equity, including a $20 billion at-the-market equity program. It says it does not expect to issue additional debt in calendar 2026. Prepaid and customer-supplied GPU arrangements, now totaling $75 billion, reduce the capital Oracle must raise.
How much of the $638 billion RPO is secure, and what does it depend on?
RPO is contracted backlog, but the filing indicates that most of the recent growth comes from large AI contracts. In these, customers either prepaid Oracle for GPUs or bought and supplied the GPUs to Oracle. Those prepaid and customer-supplied hardware portions total $75 billion. The filing does not break out how much of total RPO is concentrated in a small number of customers or timing of recognition, so investors should review the Form 10-K for those details. Forward-looking risks cited include datacenter capacity, GPU sourcing, and execution.
What should investors expect from Oracle's near-term revenue and earnings?
For Q1 fiscal 2027, Oracle guides total revenue growth of 27% to 29% in USD and constant currency, Cloud revenue growth of 58% to 64% in USD, and non-GAAP EPS of $1.72 to $1.76 in USD (growth of 17% to 20%). For full fiscal 2027, it confirmed $90 billion of total revenue and raised non-GAAP EPS guidance to $8.05. Results depend on continued Cloud Infrastructure growth and on Oracle's ability to secure capacity and capital.
What are the dividend terms for common and preferred shareholders?
Common shareholders will receive a $0.50 per-share dividend, with a record date of July 10, 2026 and a payment date of July 24, 2026. Holders of the Mandatory Convertible Preferred Stock will receive $1,625 per share, with a record date of July 1, 2026 and a payment date of July 15, 2026. Preferred dividends were $81 million in Q4 and $103 million for fiscal 2026 according to the reported income statements.

04—Continue

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