Techvision24 Desk: Oracle has provided a strong growth outlook for its fiscal years 2026 and 2027, driven by the increasing demand for AI-powered cloud services. The company expects revenue growth of 15% in 2026 and 20% in 2027, surpassing analysts’ estimates.
To support its AI-driven cloud services, Oracle is expanding its infrastructure, with plans to double its data center capacity this year. Chairman Larry Ellison emphasized record-high customer demand.
Oracle is also part of the Stargate AI joint venture with OpenAI and SoftBank, committing up to $500 billion toward AI development in the U.S. CEO Safra Catz announced that the company’s capital expenditure will more than double to $16 billion this fiscal year.
Despite strong growth projections, some analysts remain cautious about potential overinvestment in AI infrastructure. In Q3, Oracle’s cloud revenue rose 23% to $6.2 billion, though total revenue of $14.13 billion fell short of analysts’ average estimate of $14.39 billion. Adjusted earnings per share stood at $1.47, slightly below the expected $1.49.
