Oracle shares jumped 6% after reporting 30% revenue growth fueled by AI cloud demand

Oracle Corp reported first-quarter revenue of $19.35 billion, exceeding LSEG consensus estimates of $19.14 billion. Net income reached $4.7 billion, up 60% from the prior year's $2.93 billion. Cloud revenue grew 62% year-over-year to $11.6 billion, with cloud infrastructure revenue jumping 121%. The company delivered an additional 850 megawatts of data center capacity and supplied over 300,000 GPUs to AI Cloud customers. In the first fiscal quarter, Oracle booked more than $30 billion in additional AI cloud contracts, lifting its total revenue backlog to $664 billion. This figure surpassed analyst estimates of $639.89 billion. The company stated most new orders utilized prepaid models or bring-your-own-hardware arrangements, avoiding large incremental capital expenditures for chips. Oracle aims to maintain an annual spending target between $90 billion and $95 billion. Shares rose 6% in premarket trading on Friday, although the stock had fallen 21.5% since the start of the year.