Oracle Corporation (NYSE: ORCL), a global leader in enterprise technology solutions, recently filed its Form 10-K for the fiscal year ending May 31, 2023. The report highlights strong revenue growth across key segments of the company’s business, particularly in cloud and license services. This growth has contributed significantly to Oracle’s overall financial success and strategic goals.
The Form 10-K provides detailed information about Oracle’s financial performance, including revenue, expenses, net income, and cash flow. It also offers insights into the company’s operations, market share, and competitive position in the rapidly changing technology landscape. In this article, we will explore some of the most significant trends and developments from the report.
Table of Contents
1. Strong revenue growth in cloud and license services
Oracle has made significant investments in recent years to expand its cloud and license services, particularly in areas such as software as a service (SaaS), platform as a service (PaaS), and infrastructure as a service (IaaS). These services have shown remarkable growth during the fiscal year 2023, with the cloud and license business segment accounting for a significant portion of the company’s total revenue. This demonstrates Oracle’s successful transition from a traditional software company to a comprehensive provider of cloud-based solutions to businesses around the world.
2. Continued expansion in key market segments
The Form 10-K reveals that Oracle has continued to grow its market share in key segments, including database technology, business applications, middleware, and hardware infrastructure. This broad diversification has allowed the company to maintain a strong and competitive position in the global technology market, ensuring robust and sustained revenue growth.
3. Significant investments in research and development
Innovation has always been at the core of Oracle’s business strategy, and the company has continued to invest heavily in research and development (R&D) initiatives. According to the Form 10-K, Oracle’s R&D expenses amounted to a sizable portion of its overall expenses, highlighting the company’s commitment to staying ahead of the competition and providing cutting-edge solutions to its customers.
4. Strong cash position and financial flexibility
Oracle’s Form 10-K also highlights the company’s strong cash position, with substantial cash reserves and available credit lines. This financial flexibility allows Oracle to pursue strategic acquisitions, expand its global footprint, and invest in promising new technologies.
5. Focused growth strategy and disciplined execution
Oracle’s impressive financial performance can be attributed not only to its innovation and market-leading products but also to its focused growth strategy and disciplined execution. The company continues to strengthen its position in both existing and emerging markets by streamlining operations, improving efficiency, and leveraging its vast network of partners and clients.
In conclusion, Oracle’s Form 10-K for the fiscal year ending May 31, 2023, underscores the company’s strong performance across multiple business segments, particularly in cloud and license services. Oracle’s commitment to innovation, strategic growth, and financial strength has enabled the company to maintain a competitive edge in the rapidly evolving technology market. As Oracle continues to execute its growth strategy and invest in cutting-edge solutions, the company is well-positioned for continued success in the years to come.
Income Statement
Financials in millions USD. Fiscal year is June – May. source
| Year | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 – 1992 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 0 | Revenue | 42440 | 40479 | 39068 | 39506 | 39383 | 37792 | 37047 | 38226 | 38275 | 37180 | Upgrade |
| 1 | Revenue Growth (YoY) | 4.84% | 3.61% | -1.11% | 0.31% | 4.21% | 2.01% | -3.08% | -0.13% | 2.95% | 0.16% | Upgrade |
| 2 | Cost of Revenue | 8877 | 7855 | 7938 | 7995 | 8060 | 7452 | 7479 | 7532 | 7236 | 7379 | Upgrade |
| 3 | Gross Profit | 33563 | 32624 | 31130 | 31511 | 31323 | 30340 | 29568 | 30694 | 31039 | 29801 | Upgrade |
| 4 | Selling, General & Admin | 9364 | 8936 | 9275 | 9774 | 9715 | 9257 | 9039 | 8732 | 8605 | 8134 | Upgrade |
| 5 | Research & Development | 7219 | 6527 | 6067 | 6026 | 6084 | 6153 | 5787 | 5524 | 5151 | 4850 | Upgrade |
| 6 | Other Operating Expenses | 6054 | 1948 | 1892 | 2176 | 2260 | 2017 | 2138 | 2567 | 2524 | 2133 | Upgrade |
| 7 | Operating Expenses | 22637 | 17411 | 17234 | 17976 | 18059 | 17427 | 16964 | 16823 | 16280 | 15117 | Upgrade |
| 8 | Operating Income | 10926 | 15213 | 13896 | 13535 | 13264 | 12913 | 12604 | 13871 | 14759 | 14684 | Upgrade |
| 9 | Interest Expense / Income | 2755 | 2496 | 1995 | 2082 | 2025 | 1798 | 1467 | 1143 | 914 | 797 | Upgrade |
| 10 | Other Expense / Income | 522 | -282 | -162 | -815 | -1185 | -565 | -305 | -106 | 141 | -11 | Upgrade |
| 11 | Pretax Income | 7649 | 12999 | 12063 | 12268 | 12424 | 11680 | 11442 | 12834 | 13704 | 13898 | Upgrade |
| 12 | Income Tax | 932 | -747 | 1928 | 1185 | 8837 | 2228 | 2541 | 2896 | 2749 | 2973 | Upgrade |
| 13 | Net Income | 6717 | 13746 | 10135 | 11083 | 3587 | 9452 | 8901 | 9938 | 10955 | 10925 | Upgrade |
| 14 | Net Income Growth | -51.13% | 35.63% | -8.55% | 208.98% | -62.05% | 6.19% | -10.43% | -9.28% | 0.27% | 9.46% | Upgrade |
| 15 | Shares Outstanding (Basic) | 2700 | 2945 | 3211 | 3634 | 4121 | 4115 | 4221 | 4404 | 4528 | 4769 | Upgrade |
| 16 | Shares Outstanding (Diluted) | 2786 | 3022 | 3294 | 3732 | 4238 | 4217 | 4305 | 4503 | 4604 | 4844 | Upgrade |
| 17 | Shares Change | -7.81% | -8.26% | -11.74% | -11.94% | 0.50% | -2.04% | -4.40% | -2.19% | -4.95% | -4.93% | Upgrade |
| 18 | EPS (Basic) | 2.49 | 4.67 | 3.16 | 3.05 | 0.87 | 2.30 | 2.11 | 2.26 | 2.42 | 2.29 | Upgrade |
| 19 | EPS (Diluted) | 2.41 | 4.55 | 3.08 | 2.97 | 0.85 | 2.24 | 2.07 | 2.21 | 2.38 | 2.26 | Upgrade |
| 20 | EPS Growth | -47.03% | 47.73% | 3.70% | 249.41% | -62.05% | 8.21% | -6.33% | -7.14% | 5.31% | 15.31% | Upgrade |
| 21 | Free Cash Flow Per Share | 1.86 | 4.67 | 3.60 | 3.55 | 3.31 | 2.94 | 2.96 | 3.00 | 3.17 | 2.85 | Upgrade |
| 22 | Dividend Per Share | 1.280 | 1.040 | 0.960 | 0.810 | 0.760 | 0.640 | 0.600 | 0.510 | 0.480 | 0.300 | Upgrade |
| 23 | Dividend Growth | 23.08% | 8.33% | 18.52% | 6.58% | 18.75% | 6.67% | 17.65% | 6.25% | 60.00% | 25.00% | Upgrade |
| 24 | Gross Margin | 79.08% | 80.59% | 79.68% | 79.76% | 79.53% | 80.28% | 79.81% | 80.30% | 81.09% | 80.15% | Upgrade |
| 25 | Operating Margin | 25.74% | 37.58% | 35.57% | 34.26% | 33.68% | 34.17% | 34.02% | 36.29% | 38.56% | 39.49% | Upgrade |
| 26 | Profit Margin | 15.83% | 33.96% | 25.94% | 28.05% | 9.11% | 25.01% | 24.03% | 26.00% | 28.62% | 29.38% | Upgrade |
| 27 | Free Cash Flow Margin | 11.85% | 33.97% | 29.63% | 32.63% | 34.66% | 32.03% | 33.73% | 34.50% | 37.47% | 36.51% | Upgrade |
| 28 | Effective Tax Rate | 12.18% | -5.75% | 15.98% | 9.66% | 71.13% | 19.08% | 22.21% | 22.57% | 20.06% | 21.39% | Upgrade |
| 29 | EBITDA | 13526 | 18411 | 17026 | 17269 | 17234 | 15929 | 15418 | 16838 | 17526 | 17626 | Upgrade |
| 30 | EBITDA Margin | 31.87% | 45.48% | 43.58% | 43.71% | 43.76% | 42.15% | 41.62% | 44.05% | 45.79% | 47.41% | Upgrade |
| 31 | Depreciation & Amortization | 3122 | 2916 | 2968 | 2919 | 2785 | 2451 | 2509 | 2861 | 2908 | 2931 | Upgrade |
| 32 | EBIT | 10404 | 15495 | 14058 | 14350 | 14449 | 13478 | 12909 | 13977 | 14618 | 14695 | Upgrade |
| 33 | EBIT Margin | 24.51% | 38.28% | 35.98% | 36.32% | 36.69% | 35.66% | 34.84% | 36.56% | 38.19% | 39.52% | Upgrade |
Note that we may hold securities mentioned in this article. All data is based on recent SEC filings. Even though we have implemented various manual and automatic fact-checking and data acquisition processes, some incorrect information may have slipped through (false positive). Let us know if you find any inconsistencies!