Oracle spent US$28.5bn on capital works in the quarter to August. It took in US$19.3bn of revenue
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The story behind it
Oracle told the owner of its newest data centre it might not pay on time Read the edition →Oracle on the calendar
Next results: date to come. It goes on the calendar as soon as Oracle announces it. Economic calendar →
The story behind it
Oracle told the owner of its newest data centre it might not pay on time Read the edition →Oracle on the calendar
Next results: date to come. It goes on the calendar as soon as Oracle announces it. Economic calendar →What the chart shows
For most of the last five years, Oracle's capital spending in its June-to-August quarter was a short column beside revenue: US$1.1bn against US$9.7bn, then US$1.7bn against US$11.4bn. This year it spent US$28.5bn, while revenue was US$19.3bn.
Project Jupiter in New Mexico, built to serve Oracle's contract with OpenAI, is waiting on a gas pipeline the state's land office has refused twice. Oracle has sent the developer a force majeure notice so it can defer payments if the campus opens late. Blue Owl Capital, the developer, says the financial commitments stand.
Friday's Sharespective asks who wears the cost when one of these campuses runs behind, and calls Jupiter the first real test of it.
The numbers
Oracle's capital spending (cash paid for property and equipment) against its revenue, June-to-August quarter each year, 2021 to 2026, in US$bn.
| Capital spending | Revenue | |
|---|---|---|
| 2021 | 1.1 | 9.7 |
| 2022 | 1.7 | 11.4 |
| 2023 | 1.3 | 12.5 |
| 2024 | 2.3 | 13.3 |
| 2025 | 8.5 | 14.9 |
| 2026 | 28.5 | 19.3 |
How we make these charts: one chart a day from a story in the edition, drawn from the figures the story names and checked against the sources named on the chart before it is published. General information only, not financial advice.
