Oracle Surges 30% On Strong Cloud Outlook Despite Mixed Q1 Results

Shares of Oracle (NYSE:ORCL) soared 30% in premarket trading Wednesday after the company unveiled a bullish cloud revenue outlook that overshadowed weaker-than-expected fiscal first-quarter results.

Remaining performance obligations surged 359% year-over-year to $455 billion, far above estimates of $178 billion. CEO Safra Catz said Oracle expected to secure “several additional multi-billion-dollar” cloud clients in the coming months.

Oracle said its cloud infrastructure division was on track to exceed $500 billion in booked revenue. OCI revenue was projected to grow 77% this year to $18 billion and reach $144 billion within four years.

For Q1, adjusted earnings were $1.47 per share on revenue of $14.93 billion, slightly missing expectations of $1.48 per share and $15.04 billion, respectively.