Oracle plans up to $95b in fiscal 2027 capex

• CEO says the company’s delivery pace is quickening, with fiscal Q1 2027 capacity approaching one gigawatt—nearly equal to the prior four quarters combined.

Oracle outlined capital spending of up to $95 billion for fiscal 2027 and said it expects to raise nearly $40 billion through a mix of debt and equity next year, moves that underscore the massive cash needs to build out artificial‑intelligence infrastructure.

The cloud software company said fiscal 2027 capex will include about $70 billion of Oracle’s own spending plus $20–25 billion it expects to be repaid for by customers.

Oracle spent about $55.66 billion in fiscal 2026, above its prior $50 billion target.

CFO Hilary Maxson said gross margins will “step down” in fiscal 2027 as Oracle accelerates data‑centre projects. CEO Clay Magouyrk told analysts the company’s delivery pace is quickening, with fiscal Q1 2027 capacity approaching one gigawatt—nearly equal to the prior four quarters combined.

Oracle is positioning itself as a challenger to cloud leaders Amazon and Microsoft, leaning on large data‑centre projects for customers including Meta Platforms and OpenAI. The company said a massive “Stargate” data centre in Texas being built with OpenAI and others will be more than three‑quarters complete within 90 days, and that OpenAI customers can begin accessing the firm’s latest coding models on Oracle’s cloud.

To support the build‑out, Oracle expects to raise nearly $40 billion in 2027 via debt and equity, including a previously announced $ 20 billion at‑the‑market equity program.

The company had said in February it aimed to raise up to $50 billion this year via a combination of debt and equity.

Investors remain focused on funding and profitability as AI demand surges. Oracle reported fourth‑quarter revenue of $19.18billion. Adjusted earnings were $2.03 per share.