Oracle on Tuesday reported fiscal fourth-quarter results that beat Wall Street expectations, driven by strong demand for its cloud services.
The company’s revenue for the quarter was $13.84 billion, up 17% from a year ago. Earnings per share were $1.34, beating the consensus estimate of $1.29.
Oracle’s cloud business, which includes Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS), was the primary driver of growth in the quarter. Cloud revenue grew 33% year-over-year to $6.84 billion.
“Our cloud business is growing rapidly, and we are well-positioned to continue to gain share in this large and growing market,” said Safra Catz, Oracle’s CEO.
Oracle’s results come as the cloud computing market is growing rapidly. IDC forecast that global cloud spending will reach $494.7 billion in 2023, up from $371.4 billion in 2022.
Oracle is one of the leading providers of cloud services. The company competes with Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform.
Oracle’s cloud business is growing faster than its on-premises software business. In the fourth quarter, cloud revenue accounted for 49% of total revenue, up from 44% a year ago.
Oracle is investing heavily in its cloud business. In the fourth quarter, the company spent $1.9 billion on research and development, up 12% from a year ago.
Oracle’s cloud business is gaining traction with customers. In the fourth quarter, the company added 1,100 new cloud customers.
Oracle is well-positioned to continue to grow its cloud business. The company has a strong portfolio of cloud services, a large customer base, and a deep bench of engineering talent.
Oracle’s results are a positive sign for the cloud computing market. The company’s strong performance suggests that the market is growing and that there is strong demand for cloud services.
