ORACLE said annual revenue will rise to at least US$104 billion in fiscal 2029, an optimistic signal on the growth prospects of the software maker’s cloud infrastructure business.
Executive vice-president Doug Kehring delivered the forecast on Thursday (Sep 12) at Oracle’s annual briefing for financial analysts. Oracle also raised its sales outlook for fiscal 2026 to at least US$66 billion from a prior target of US$65 billion. On average, analysts estimated revenue of US$64.5 billion for 2026, according to a Bloomberg survey.
The Austin-based company, known for its database software, is focused on expanding its toehold in cloud infrastructure, which rents out computer power and storage to compete with Amazon.com, Microsoft and Alphabet’s Google. Oracle’s cloud has developed a reputation for success with generative artificial intelligence workloads – the company touted customers including including Reka and Elon Musk’s xAI.
Oracle’s shares jumped about 5 per cent in extended trading. The company has been one of the best-performing software stocks of the year, rallying 53 per cent to Thursday’s close.
The company has also struck deals with its larger cloud infrastructure rivals to allow its namesake database software to run more easily on their platforms. Most database customers have not yet moved to the cloud, Kehring said during the event on Thursday. Oracle has said moving on-premise database customers to the cloud will be a major pillar of revenue growth. BLOOMBERG
