Oracle Japan (4716) Q4 2024 earnings summary

Executive summary

• Revenue/net sales for FY24 Q4 reached ¥244,542 million, up 7.8% year-over-year, with all profit categories hitting record highs.

• Operating profit for FY24 Q4 was ¥79,820 million, a 7.3% increase year-over-year; ordinary profit rose 7.5% to ¥80,277 million, and net income grew 6.9% to ¥55,603 million.

• Growth was driven by strong cloud migration demand, robust cloud and license support, and expansion in government and SME markets.

• Gross profit margin remained strong, with operating profit margin at 32.6% for the year.

• A special dividend of ¥500 was paid, bringing total dividends for FY24 to ¥674 per share.

Financial highlights

• Revenue increased by ¥17,627 million (+7.8%) compared to the previous year.

• Gross profit increased to ¥130,996 million from ¥118,622 million year-over-year.

• Basic earnings per share rose to ¥434.16 from ¥405.98 year-over-year.

• Net assets at year-end were ¥191,795 million, with total assets of ¥340,159 million.

• Cash and cash equivalents at year-end were ¥91,904 million, down from ¥104,531 million.

Outlook and guidance

• FY25 revenue/net sales are forecasted to grow between 5.0% and 9.0%.

• EPS guidance for FY25 is ¥445.00 to ¥460.00, assuming an effective tax rate of 30.8%.

• Focus areas include Japan-focused cloud, AI for enterprises, and sovereign cloud/AI solutions.