BlackRock, Inc., the world’s largest asset manager, has reported a highly successful third quarter for 2024, marked by strong financial growth. The firm’s total assets under management (AUM) surged to a record $11.5 trillion, driven by $221 billion in net inflows during the quarter. This represents a significant year-over-year increase of $2.4 trillion in AUM, showcasing BlackRock's continued leadership in the asset management industry.
News: stock, crypto, macro, education
Oracle Exceeds Wall Street Expectations, Shares Surge 13% in Extended Trading
Oracle Corporation announced its fiscal 2024 third-quarter financial results on Monday, showcasing earnings and revenue that surpassed Wall Street's forecasts. The impressive performance has led to a significant 13% increase in the company's shares during extended trading hours.
Stellar Quarterly Performance
Oracle reported an adjusted earnings per share of $1.41, beating the expected $1.38, as forecasted by LSEG (formerly Refinitiv). The company's revenue reached $13.28 billion, slightly under the anticipated $13.3 billion but still marked a commendable achievement. These figures represent a 7% rise in revenue from the previous year, totaling $12.4 billion, and a substantial 27% increase in net income, rising to $2.4 billion from $1.9 billion.
Future Expectations and Growth
Looking ahead, Oracle has set an optimistic forecast for the current quarter, projecting earnings per share between $1.62 and $1.66. The company expects sales to grow by 4% to 6% over last year's $13.8 billion in revenue, aligning closely with LSEG's expectations for adjusted earnings per share of $1.64 on $14.74 billion in sales.
Cloud Services Lead the Way
A significant driver of Oracle's success is its cloud services and license support segment, the largest of its business units, which saw a 12% increase in sales to $9.96 billion. This growth slightly exceeded StreetAccount consensus expectations. Oracle attributed this success to robust demand for its artificial intelligence servers, with cloud revenue soaring 25% year-over-year to $5.1 billion.
Oracle CEO Safra Catz highlighted the addition of several large new cloud infrastructure contracts during the quarter, emphasizing the strength of the company's pipeline and the ongoing high demand for Oracle's Gen2 AI infrastructure.
Diverse Performance Across Units
While Oracle's cloud and license support segments flourished, other areas faced challenges. Cloud license and on-premise sales dipped by 3% to $1.26 billion, hardware revenue fell by 7% to $754 million, and the services division saw a 5% decline to $1.31 billion. Despite these downturns, the company's strategic focus on expanding its cloud infrastructure capabilities continues to pay dividends.
Record-Breaking Cloud Infrastructure Growth
Oracle's dedication to its cloud infrastructure is evident in its remarkable growth, with a 29% increase in Total Remaining Performance Obligations to over $80 billion. The company's aggressive expansion of cloud datacenters aims to meet the surging demand for its Gen2 Cloud Infrastructure, which experienced a 53% growth in the third quarter.
Revolutionary Health Care Technologies
Underlining Oracle's innovation, Chairman and CTO Larry Ellison announced the completion of moving most Cerner customers to Oracle's Gen2 Cloud Infrastructure. The forthcoming delivery of the new Ambulatory Clinic Cloud Application Suite, featuring the Clinical Digital Assistant, marks a significant step towards modernizing digital healthcare systems.
Dividend Declaration
In a further show of confidence, Oracle's board of directors has declared a quarterly cash dividend of $0.40 per share, reinforcing the company's solid financial health and commitment to rewarding shareholders.
Looking Forward
Oracle's robust financial performance, combined with strategic investments in cloud infrastructure and innovative health care technologies, positions the company for sustained growth. As Oracle continues to navigate the rapidly evolving tech landscape, its focus on cloud services and AI-driven solutions is expected to drive future success, benefiting shareholders and customers alike.
More articles
BlackRock Q3 2024 Earnings: AUM Reaches New Heights Amid Strong Inflows
Wells Fargo Q3 2024 Earnings Report: Profit Declines Amid Lower Interest Income, Investment Banking Offers Support
Wells Fargo & Co. announced its third-quarter 2024 financial results, revealing mixed performance. The bank's net income dropped by 11.3% year-over-year to $5.11 billion, while revenue fell 2% to $20.37 billion. This decline in revenue was driven primarily by an 11% drop in net interest income, which came in at $11.69 billion. Higher funding costs and customer movement towards higher-yielding deposits were key factors contributing to the lower interest income.
JPMorgan Chase Reports Strong Q3 2024 Results, Beating Expectations
JPMorgan Chase & Co. has once again exceeded market expectations with its third-quarter 2024 earnings report, delivering robust results. The bank reported a net income of $12.9 billion, a slight decrease from $13.1 billion in the same period last year. However, earnings per share (EPS) rose to $4.37, outperforming analysts' expectations of $4.01. This represented a 1% increase in EPS year-over-year, despite the minor decline in net income.
DOJ Pushes to Break Up Google as Antitrust Battle Heats Up
The U.S. Department of Justice (DOJ) has intensified its efforts against Google in a landmark antitrust case, marking a potential turning point for Big Tech regulation. This week, the DOJ revealed it is seriously considering drastic remedies to curb Google's dominance, including breaking up the tech giant's key business units such as Chrome and Android. This follows an August 2024 ruling that found Google had been illegally maintaining a monopoly over internet search and advertising.
PepsiCo Q3 2024 Earnings Report: Revenue Miss and Revised Growth Outlook
PepsiCo has announced its third-quarter earnings for 2024, revealing a mixed performance. The company reported a decline in overall revenue but managed to beat profit expectations, demonstrating resilience in several key segments despite global challenges. Here's a detailed breakdown of the report.
McCormick Reports Strong Q3 2024 Results and Raises Full-Year Outlook
McCormick & Co., a global leader in spices and flavor solutions, delivered better-than-expected Q3 2024 earnings, driving a 5% increase in its stock price. The company reported revenue of $1.68 billion, which remained flat compared to the same quarter last year but surpassed market expectations. The earnings per share (EPS) increased by 32% to $0.83, well above analysts' estimates of $0.67, reflecting strong operational performance and cost control efforts.
Paychex Reports Strong Q1 2025 Earnings with 3% Revenue Growth
Paychex, Inc. (NASDAQ: PAYX) kicked off its fiscal year 2025 with solid Q1 earnings, posting a 3% year-over-year increase in revenue, reaching $1.32 billion. The payroll and human resource services giant also delivered adjusted earnings per share (EPS) of $1.16, slightly above the consensus estimate of $1.14. This growth was primarily driven by the company's strong performance in Human Capital Management (HCM) solutions and Professional Employer Organization (PEO) services.
Nike Q1 2025 Earnings: Revenue Decline Amid Market Challenges
Nike, Inc. reported its Q1 2025 fiscal earnings on October 1, revealing a 10% decline in revenue to $11.6 billion, down from $12.9 billion in the same period last year. This drop is attributed to weakening demand across major markets, notably in North America, where revenue fell by 11%, and Europe, the Middle East, and Africa, which saw a 13% decline. Greater China also posted a 4% drop in sales.
Carnival Corporation Reports Record Q3 2024 Earnings: Revenue, Net Income, and Future Outlook
Carnival Corporation, the world's leading cruise operator, posted impressive financial results for the third quarter of 2024, breaking several records and surpassing market expectations. With revenue reaching an all-time high of $7.9 billion, a 15% increase year-over-year, Carnival demonstrated a strong recovery and continued growth in the cruise industry. This financial achievement exceeded the expected $7.83 billion forecast, signaling robust consumer demand for cruises despite inflationary pressures.
Alibaba's Recent Surge and Key Developments in Late September 2024
In the final week of September 2024, Alibaba's stock surged over 20%, reaching its highest point in a year. This impressive growth stems from a combination of strategic innovations, favorable regulatory changes, and broader economic support in China.
