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Oracle Pushes Up Capex Spending on AI: High Risk or High Reward? [Yahoo! Finance]
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US:NASDAQ Investor Relations: phx.corporate-ir.net/phoenix.zhtml%3fc%3d97664%26p%3dirol-irhome
technology, and its third-quarter fiscal 2026 results have sharpened the debate around whether this capital-intensive pivot will ultimately pay off. The company posted total revenues of $17.2 billion for the quarter ended Feb. 28, 2026, up 22% year over year. Cloud revenues climbed 44% to $8.9 billion, with Oracle Cloud Infrastructure (“OCI”) leading the charge at 84% growth to $4.9 billion. Non-GAAP earnings per share rose 21% to $1.79. These figures mark the first quarter in over 15 years where both organic total revenues and non-GAAP EPS grew at 20% or better simultaneously — a milestone that underscores the scale of Oracle's ongoing transformation. Yet the headline that continues to generate the most scrutiny is capital expenditure. Oracle has guided its fiscal 2026 capex guidance at $50 billion, a figure that has ballooned significantly over the past year and pushed free cash flow into negative territory. The risk side of the equation is real: a heavy debt load and constraine
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