NYSE$ORCL

Oracle Corporation · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Oracle's Q3 fiscal year 2021 financial results were announced, showcasing revenue growth and increased EPS.

Oracle announced its Q3 Fiscal Year 2021 results, with total quarterly revenues up 3% year-over-year to $10.1 billion. GAAP EPS increased by 113% to $1.68, while Non-GAAP EPS rose by 20% to $1.16. The company's cloud ERP market saw significant growth, with Fusion ERP up 30% and NetSuite ERP up 24%.

  • Q3 FY2021 GAAP EPS increased by 113% to $1.68, and Non-GAAP EPS increased by 20% to $1.16.
  • Oracle Gen2 Cloud Infrastructure, including Autonomous Database revenue, grew by over 100%.
  • Fusion Cloud ERP revenue increased by 30%, while NetSuite Cloud ERP revenue increased by 24%.
  • Total quarterly revenues were up 3% year-over-year to $10.1 billion.

Headline financials

Total Revenue

$10.1B

Previous: $9.8B+3.0%
EPS (adj)

$1.16

Previous: $0.97+19.6%
Capital Expenditures

-$1.42B

Previous: -$1.13B-25.4%
Free Cash Flow

$3.6B

Previous: $1.44B+150.2%
Net Income

$5.02B

Previous: $2.57B+95.3%
Operating Income

$3.88B

Previous: $3.53B+9.9%
Gross Profit

$8.17B

Previous: $4M+204150.0%
Cash & Equivalents

$22.3B

Previous: $23.8B-6.3%
Total Assets

$118B

Previous: $96.7B+22.1%
Stock-Based Comp

$479M

Previous: $361M+32.7%

Revenue & EPS history

Oracle · Revenue · Quarterly

$10.1B

Q3 2021+3%vs Q3 2020
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Oracle · $1.56B total across 2 segments · Q3 2021

  • Hardware
    $820M-4.3%
  • Services
    $737M-5.3%

Forward guidance

Oracle's Q3 results reflect strong growth in cloud ERP and infrastructure businesses, driving subscription revenue and overall operating income.

Tailwinds

  • Continued growth in cloud ERP market with Fusion ERP up 30% and NetSuite ERP up 24%.
  • Oracle Gen2 Cloud Infrastructure business added customers and grew revenue at a rate in excess of 100%.
  • Subscription revenue accounts for 72% of Oracle’s total revenues.
  • Double-digit increases in non-GAAP earnings per share.
  • Board of Directors increased the authorization for share repurchases by $20 billion.

Headwinds

  • The COVID-19 pandemic has affected business operations.
  • Success depends on the ability to develop new products and services.
  • Cloud strategy may adversely affect revenues and profitability.
  • Potential for coding, manufacturing or configuration errors in offerings.
  • International sales and operations are subject to additional risks.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.1%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+2.4%

Avg return

30 days after

44%

32 / 73 earnings

Positive

+15.4%

Q2 2022

Best reaction

-13.2%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-2.4%-0.4%
Q3 2026-0.0%+4.4%-7.6%
Q2 2026-4.2%-15.4%-11.0%
Q1 2026+10.9%+25.1%+21.3%
Q4 2025+2.7%+3.7%+5.7%
Q3 2025-3.1%+0.3%-10.4%
Q2 2025-7.3%-9.5%-14.9%
Q1 2025+9.9%+14.3%+25.7%
Q4 2024+12.8%+10.9%+14.7%
Q3 2024+13.4%+11.7%+8.3%
Q2 2024-11.3%-9.1%-8.5%
Q1 2024-13.2%-9.8%-13.2%
Q4 2023+6.2%+14.2%+5.6%
Q3 2023-5.0%-4.4%+8.4%
Q2 2023+0.9%-0.4%+10.9%
Q1 2023+0.2%-9.3%-16.0%
Q4 2022+5.3%-1.6%+7.9%
Q3 2022+2.3%+5.9%+6.4%
Q2 2022+15.4%+12.3%-1.6%
Q1 2022-3.7%-3.7%+7.5%
Q4 2021-6.7%-7.7%+4.4%
Q3 2021-7.2%-6.8%+4.0%
Q2 2021+1.5%+3.6%+6.1%
Q1 2021+0.1%+7.0%+7.4%
Q4 2020-3.2%+2.2%+4.8%
Q3 2020+7.2%+4.8%+18.9%
Q2 2020-3.2%-6.2%-3.3%
Q1 2020-2.8%-4.2%+2.6%
Q4 2019+7.7%+7.3%+8.8%
Q3 2019-0.2%+1.8%+2.7%
Q2 2019-1.6%-5.6%+3.1%
Q1 2019-0.4%+3.8%-2.8%
Q4 2018-8.0%-5.2%+4.1%
Q3 2018-10.0%-14.3%-9.9%
Q2 2018-3.5%-4.5%-1.1%
Q1 2018-7.7%-9.0%-7.9%
Q4 2017+9.7%+11.0%+10.8%
Q3 2017+6.9%+5.7%+2.8%
Q2 2017-4.4%-4.6%-4.0%
Q1 2017-3.3%-2.9%-4.6%
Q4 2016+3.2%+4.0%+8.7%
Q3 2016+3.9%
Q2 2016-3.3%
Q1 2016-3.3%
Q4 2015-4.3%
Q3 2015+1.7%
Q2 2015+11.6%
Q1 2015-3.3%
Q4 2014-4.6%
Q3 2014+0.9%
Q2 2014+8.8%
Q1 2014+1.9%
Q4 2013-11.6%
Q3 2013-9.5%
Q2 2013+5.5%
Q1 2013-0.9%
Q4 2012+0.9%
Q3 2012-1.2%
Q2 2012-10.0%
Q1 2012+1.8%
Q4 2011+2.7%
Q3 2011+1.5%
Q2 2011-0.1%
Q1 2011-1.3%
Q4 2010+1.7%
Q4 2008+1.7%
Q3 2010-0.6%
Q3 2009-0.6%
Q2 2010+1.2%
Q2 2009-1.0%
Q1 2010-1.0%
Q1 2009-1.0%
Q4 2009-1.0%

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