OpenAI business brings Microsoft $10 billion in quarterly revenue
Microsoft also reported $7.2 billion owed by OpenAI for past transactions, while its ownership stake in the AI company declined to 24%.
Oracle forecasts positive free cash flow in fiscal 2028's second half
The company expects free cash flow above $30 billion in fiscal 2029 and plans to cap additional capital raises at $20 billion through fiscal 2030.
Oracle expects to generate positive free cash flow during fiscal 2028's second half, followed by more than $30 billion in fiscal 2029 as capital spending falls, Chief Financial Officer Hilary Maxson said at its investor day.
The cloud and database company's shares rose more than 8% in afternoon trading on October 28. The stock had lost around a third of its value since the start of the year.
Maxson said Oracle would fund its own growth starting in fiscal 2029. She also said additional capital raises would be capped at $20 billion through fiscal 2030.
Oracle's AI infrastructure spending has drawn investor concern. It has a smaller revenue base than cloud rivals Microsoft and Amazon and depends heavily on OpenAI, the loss-making company behind ChatGPT.
For fiscal 2030, Oracle projected revenue exceeding $225 billion, an adjusted operating margin above 40% and adjusted earnings exceeding $21 per share. It left its fiscal 2027 outlook unchanged, with revenue above $90 billion and adjusted earnings of $8.10 per share.