Oracle Boosts Cloud Revenue Forecast Amid Surging Demand

Oracle Corp. raised its annual cloud infrastructure revenue growth forecast to 77% from 70%, sending shares soaring 20% in post-market trading. The revision follows four multi-billion dollar contracts signed with three customers in Q1, driving a 12% revenue increase to $14.93 billion.

CEO Safra Catz anticipates more mega-deals in coming months, projecting remaining performance obligations to surpass $500 billion. The company's RPO metric surged 359% to $455 billion in its fiscal first quarter ended August 31.

Oracle continues aggressive data center expansion to support its Oracle Cloud Infrastructure (OCI) division, which analysts note is outpacing hyperscaler competitors in growth rate. While operating from a smaller base, OCI appears to be gaining market share in the cloud services sector.