Oracle Japan (4716) Q3 2025 earnings summary

Executive summary

• Achieved record bookings, adding $48 billion to backlog and raising RPO to $130 billion, up 63% year-over-year, excluding Project Stargate contracts.

• Marked milestone with 101st cloud region online, outpacing competitors in global cloud infrastructure expansion.

• Net sales for Q3 FY25 reached ¥67,597 million, up 13.7% year-over-year, with strong growth in cloud services and license support.

• All profit categories hit record highs for the third quarter, with net sales at ¥192,892 million, up 9.1% year-over-year.

• Growth driven by expansion in cloud business, strong demand for cloud migration, and increased IT investment in Japan.

Financial highlights

• Total cloud revenue (SaaS and IaaS) rose 25% to $6.2 billion; SaaS up 10% to $3.6 billion, IaaS up 51% to $2.7 billion year-over-year.

• Total cloud services and license support revenue reached $11 billion, up 12%.

• Q3 FY25 cloud services revenue grew 42.5% year-over-year, license support up 1.6%.

• Total quarterly revenue was $14.1 billion, up 8% year-over-year.

• Basic earnings per share increased to ¥350.03 from ¥313.78 year-over-year.

Outlook and guidance

• Fiscal 2025 CapEx expected to exceed $16 billion, more than double last year, to meet surging demand.

• Cloud infrastructure revenue for FY25 projected to grow faster than last year’s 50%, with even higher growth in FY26.

• Full-year net sales forecast remains unchanged, with expected growth of 5.0–9.0% year-over-year.

• Q4 guidance: total revenue growth of 9%-11% constant currency (8%-10% USD); cloud revenue growth of 24%-28% constant currency (25%-27% USD); non-GAAP EPS $1.62-$1.66 constant currency.

• Basic earnings per share for the full year projected at ¥445.00–¥460.00.