What were Oracle's Q2 financial results?

Oracle reported adjusted earnings of $2.26 per share on revenue of $16.06 billion, a 14% year-over-year increase.

How did Oracle's cloud segment perform in Q2?

Oracle's cloud revenue rose 36% to $8 billion, driven by infrastructure and applications, though it slightly missed analyst expectations.

What is driving Oracle's future growth?

Artificial intelligence is identified as a major growth driver for Oracle's cloud, database, and application services.

Home / Business and Economy / Oracle's Q2: Cloud Soars, Yet Shares Dip 7%

Oracle's Q2: Cloud Soars, Yet Shares Dip 7%

11 Dec, 2025

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Summary

Oracle reported fiscal Q2 adjusted earnings of $2.26 per share.
Cloud revenue increased 36% to $8 billion, narrowly missing estimates.
Remaining performance obligations surged 438% to $523 billion.

Oracle's Q2: Cloud Soars, Yet Shares Dip 7%

Oracle's stock experienced a notable decline of 7% in early Thursday trading following the release of mixed fiscal second-quarter financial results. The IT behemoth announced adjusted earnings of $2.26 per share on revenue that climbed 14% year-over-year to $16.06 billion. While overall revenue showed a healthy increase, it fell slightly short of analyst consensus.

Despite the market's reaction, Oracle's cloud business demonstrated robust expansion, with cloud revenue, encompassing infrastructure and applications, growing by 36% to reach $8 billion. Infrastructure sales alone saw a substantial jump of 66%, contributing $4.1 billion, while application revenue increased by 11% to $3.9 billion. The company also reported significant growth in its Fusion Cloud ERP, up 18% to $1.1 billion.

Further underscoring strong future potential, total remaining performance obligations dramatically surged by 438% to $523 billion. This substantial increase was attributed to new agreements with major technology firms, including Meta and NVIDIA. Executives highlighted artificial intelligence as a pivotal growth driver across Oracle's cloud services, database offerings, and applications, promising to automate complex processes for various industries.