Oracle Financial Results FY24

We always recommend taking time to understand the following...

• Understanding a publisher's financial health provides insights into their stability and long-term direction. Changes in revenue, profit margins, and debt levels can impact their ability to support existing products, invest in innovation, or even survive market shifts.
• Financial results often correlate with licensing practices. For instance, a struggling publisher might become more aggressive in audits or licensing compliance enforcement to boost revenue.
• Staying informed about financial developments helps professionals anticipate pricing changes, negotiate better contracts, and mitigate compliance risks. Overlooking these aspects could lead to unnecessary spend, legal consequences, and audit risks.

Oracle Financial Year

Aligning your renewals and purchases to the end of specific quarters and also the end of Oracle’s financial year is, where possible, a good strategy to help negotiate the best discounts.

Headline results for FY24

Here are the overall financial results for FY24:

Info & Analysis

The main messages from the earnings call with Larry Ellison, CTO & Executive Chairman, and Safra Catz, CEO revolved around cloud and AI. According to Catz, Oracle signed the largest sales contracts in their history "driven by enormous demand for training AI large language models in the Oracle Cloud”.

Oracle & Microsoft

Oracle’s cloud cooperation with Microsoft expanded significantly in Q4, mainly in support of Open AI and ChatGPT and 11 of the 23 OCI datacentres they are building inside Azure went live, according to Larry Ellison. He went on to say that:

"As this Azure/OCI cloud capacity becomes available to the large installed base of Microsoft and Oracle customers, it will turbocharge our cloud database growth. Now customers can run any and every version of the Oracle database—Autonomous, 23ai Vector DB, etc.— in both the Azure and the Oracle Clouds.”

Oracle & Google

In a similar vein to their work with Microsoft, Oracle recently signed an agreement with Google to interconnect their clouds and are building an initial run of 12 OCI datacentres inside the Google Cloud. It is expected that Oracle database will be available within Google Cloud in September 2024.

Additionally, Oracle recently added Google Cloud Platform to their list of “Authorised Cloud Environments” alongside Amazon AWS and Microsoft Azure.

Looking ahead

It’s clear that the strategic direction of Oracle is towards the cloud – whether within Oracle Cloud Infrastructure (OCI) or another cloud. It is to be noted that Oracle do not have, at least not yet, a similar relationship with Amazon AWS as they do with Microsoft and Google.

Customers migrating to/increasing use of Oracle products in the cloud will be a big focus for Oracle sales teams throughout FY25 and beyond. Be prepared to have these conversations! Additionally, while not mentioned in the financial results, Oracle Java will continue to be a key issue for organisations through FY25.

For more information and help with managing Oracle, get in touch at [email protected].

More info

Oracle - Oracle Announces Fiscal 2024 Fourth Quarter and Fiscal Full Year Financial Results