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Oracle Beats Forecasts With Robust Q4 Growth And Bold AI Investment Strategy

Earnings And Revenue Outperformance

Oracle reported better-than-expected earnings and revenue for its fiscal fourth quarter while raising its annual profit forecast. Adjusted earnings per share came in at $2.03, surpassing LSEG consensus estimates of $1.96. Total revenue reached $19.18 billion, topping the anticipated $19.10 billion. With a year-over-year revenue growth of 21%, the company continues to demonstrate resilient performance despite market headwinds.

Strategic AI Financing And Investment

In a bid to accelerate its artificial intelligence initiatives, Oracle announced plans to secure an additional $40 billion through debt and equity financing, including a previously revealed $20 billion share sale. This follows substantial capital raises in fiscal 2026, which raised concerns about the viability of expanding AI demand. The move underscores Oracle’s commitment to scaling its AI infrastructure, a strategic choice that Chief Executive Officer Clay Magouyrk highlighted during a recent conference call.

Cloud Infrastructure And Software Revenue

Cloud services remained the company’s main growth driver. Revenue from cloud offerings increased 47% to $9.91 billion, while cloud infrastructure revenue surged 93% to $5.8 billion. Software revenue, including licences and support services, declined 2% to $6.82 billion.

Performance Obligations And Capital Expenditures

Remaining performance obligations (RPO) reached $638 billion as of May 31, representing a 363% increase from the previous year. Oracle attributed much of the growth to new AI-related contracts, including agreements involving prepayments for graphics processing units.

Management expects nearly one gigawatt of computing capacity to be operational during the current quarter. Net capital expenditures are projected to reach approximately $70 billion in fiscal 2027, excluding customer prepayments and timing-related adjustments.

Guidance And Leadership Updates

Oracle maintained its fiscal 2027 revenue forecast of $90 billion and raised its adjusted earnings per share outlook to $8.05, slightly above analyst expectations. For the fiscal first quarter, the company expects adjusted earnings of between $1.72 and $1.76 per share and revenue growth of 27% to 29%. In a leadership change, Oracle appointed former Schneider Electric executive Hilary Maxson as Chief Financial Officer. The company also recently secured funding for a $16 billion data centre project in Michigan.

Market Response And Future Outlook

Oracle shares initially fell in extended trading following the financing announcement, but have gained approximately 3% since the beginning of the year. Investors are closely watching whether the company’s expanding AI infrastructure investments and growing contract backlog will support future revenue growth.

Athens And Nicosia Still Offer Some Of Europe’s Most Affordable Apartments, Despite Rising Prices

Housing costs in Nicosia remain well below those in most western European capitals, according to new data from Global Property Guide, highlighting the wide gap in residential property prices across Europe.

Nicosia And Athens Remain Among Europe’s More Affordable Capitals

The latest figures from Global Property Guide, which tracks residential property markets across 88 countries, show that both Nicosia and Athens remain among Europe’s more affordable capital cities, despite years of steady price growth.

In Cyprus, the median asking price for a one-bedroom apartment in Nicosia stands at €145,000. Two-bedroom apartments are priced at €205,000, while three-bedroom homes reach €280,000.

That places Nicosia slightly above Athens in the one-bedroom category, where the Greek capital records a median asking price of €135,000. For two-bedroom and three-bedroom apartments, however, prices are identical in both cities at €205,000 and €280,000, respectively.

Western Europe Commands A Premium

Athens also remains relatively affordable by European standards. Median asking prices for one-bedroom apartments reach €174,000 in Warsaw, €240,000 in Madrid, €310,000 in Milan and €325,000 in Berlin.

The gap is even more pronounced in Western Europe, where one-bedroom apartments cost around €440,000 in both Paris and Lisbon, more than three times the price seen in Athens.

The difference becomes even greater for larger homes. A three-bedroom apartment carries a median asking price of €280,000 in both Athens and Nicosia, compared with €685,000 in Lisbon, €690,000 in Milan, €845,000 in Berlin and €1.08 million in Paris.

For two-bedroom apartments, the contrast is equally striking. While homes are priced at €205,000 in Athens and Nicosia, equivalent properties cost €380,000 in Madrid, €455,000 in Milan, €527,000 in Berlin, €620,000 in Lisbon and €695,000 in Paris.

Europe’s Most Expensive Property Markets

Global Property Guide’s data also highlights the wide variation in residential property prices across Europe.

Zurich is the continent’s most expensive market for a one-bedroom apartment, with a median asking price of €1.151 million. It is followed by Luxembourg (€669,000), Copenhagen (€601,000), Munich (€548,000) and London (€522,000), while Paris and Lisbon are both priced at around €440,000.

The Most Affordable Cities

At the other end of the market, the lowest asking prices are concentrated in south-eastern and eastern Europe. Median asking prices for a one-bedroom apartment stand at €125,000 in Riga, €118,000 in Podgorica, €110,000 in Bucharest, €103,000 in Sarajevo and €79,000 in Chisinau.

According to the report, Skopje is Europe’s most affordable capital for one-bedroom apartments, with a median asking price of just €55,000.

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