Oracle Sets FY30 Revenue Target Above $225 Billion, Caps Additional Capital Raises at $20 Billion
Oracle outlined an aggressive long-term outlook at its Investor Day, targeting over $225 billion in revenue by fiscal year 2030 while committing to limit additional equity and debt financing to $20 billion to address shareholder dilution concerns.
US cloud database and infrastructure company Oracle Corporation (NYSE: ORCL) hosted an Investor Day in Las Vegas, Nevada, on October 28, 2026, releasing a long-term financial outlook through fiscal year 2030. Co-CEOs Clay Magouryk and Mike Sicilia, along with CFO Hilary Maxson, presented the strategy, focusing on AI-driven revenue growth and a clear path to self-funding capital expenditures.
According to the new guidance, Oracle expects total revenue to grow at a compound annual growth rate (CAGR) of more than 35% from FY26 to FY30, reaching at least $225 billion in FY30. The company also projects non-GAAP operating margins exceeding 40% and non-GAAP earnings per share (EPS) above $21. This forecast significantly exceeds traditional software valuation models, reflecting management's confidence in the expansion of its cloud infrastructure and AI application businesses.
Addressing investor concerns about capital intensity, Oracle defined strict boundaries for future funding. The company committed to limiting additional capital raised in the markets during the FY27-FY30 investment cycle to $20 billion, excluding refinancing of existing debt. This includes approximately $10 billion in equity and $10 billion in gross debt. This cap is in addition to the $20 billion at-the-market equity raise completed in the first quarter of fiscal 2027.
Regarding cash flow, Oracle expects to achieve positive free cash flow in the second half of fiscal 2028 and targets at least $30 billion in annual free cash flow for fiscal 2029. The company stated that growth will be self-funded beginning in FY29, with net debt to adjusted EBITDA falling below 3.5 times. Vendor financing, customer-provided hardware, and customer prepayments are expected to reduce upfront cash requirements during the transition.