Oracle surges over 27% post-market as FY 2026 Q1 cloud revenue grows 28% year-on-year; full-year cloud revenue projected to grow 77% year-on-year.

Oracle surges over 27% post-market as FY 2026 Q1 cloud revenue grows 28% year-on-year; full-year cloud revenue projected to grow 77% year-on-year.

Oracle Corporation (NYSE: ORCL) announced its fiscal year 2026 first quarter (Q1) financial results, revealing a significant 28% year-on-year (YoY) growth in cloud revenue. This strong performance has driven the stock to surge over 27% post-market. The company's total revenue for Q1 increased by 12% in USD and 11% in constant currency to $14.9 billion .

Cloud revenue, a key driver for Oracle, grew by 28% in USD and 27% in constant currency to $7.2 billion. This growth was primarily driven by the Infrastructure as a Service (IaaS) and Software as a Service (SaaS) segments. IaaS revenue increased by 55% in USD and 54% in constant currency to $3.3 billion, while SaaS revenue grew by 11% in USD and 10% in constant currency to $3.8 billion .

Oracle's CEO, Safra Catz, highlighted the company's impressive RPO (Remaining Performance Obligations) contract backlog, which increased by 359% to $455 billion. She noted that the company expects to sign up several additional multi-billion-dollar customers in the coming months, potentially exceeding half-a-trillion dollars in RPO .

The company also reported a 6% increase in non-GAAP earnings per share to $1.47, while GAAP earnings per share decreased by 2% to $1.01. Operating income was $6.2 billion, up 9% year-over-year in USD and 7% in constant currency .

Oracle's strong Q1 results have been well-received by the market, with the stock surging over 27% post-market. The company's projections for the full year, including a 77% year-on-year growth in cloud revenue, have further boosted investor confidence .

References:
https://investor.oracle.com/investor-news/news-details/2025/Oracle-Announces-Fiscal-Year-2026-First-Quarter-Financial-Results/default.aspx