- Oracle posted better-than-expected earnings, strong sales prospects and announced plans to develop generative AI services.
- Cloud services and licensing support revenue jumped 23 %.
- The shares traded at an all-time high following the news.
Oracle Actions (ORCL) rose to a record high on Tuesday morning after the computer technology company reported better-than-expected results, gave a strong sales outlook and announced plans to develop generative artificial intelligence (AI) services.  ;
Oracle reported earnings per share (EPS) of $1.67 in the fourth quarter of fiscal 2023, with revenue up 17% to $3.8 billion. Both exceeded estimates. The gains were fueled by sales of its cloud services and licensing support unit, which jumped 23% to $9.37 billion.
Safra Catz, CEO of Oracle, noted that annual revenue hit an all-time high of $50 billion and growth in its cloud infrastructure and applications accelerated. She said the company expects current quarter revenue to grow 8% to 10%, above forecasts. EPS is expected to be $1.12-$1.16. Analysts were looking for $1.14.
Oracle also announced plans to develop “generative AI services for organizations around the world,” which will help “automate end-to-end business processes, improve decision-making, and improve productivity.” client experience “. The company explained that the system will be created in collaboration with AI technology company Cohere, which will train, build and deploy its generative AI models on Oracle Cloud Infrastructure.
Oracle shares increased by more than 1% and trading at an all-time high Tuesday morning following the news. They have increased by more than 40% since the beginning of the year.
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