Oracle Posts Best Quarter in 15 Years with 22% Revenue Surge Despite $24.7B Cash Flow Deficit

Oracle reported its strongest quarter in 15 years for fiscal Q3 2026, with revenue growth of 22% driven by an 84% increase in cloud infrastructure sales. However, the company faces a significant cash flow shortfall of $24.7 billion over the past 12 months caused by heavy capital expenditures on AI data centers and is carrying debt exceeding $100 billion amid ongoing massive layoffs. Investors should monitor Oracle's ability to balance its ambitious cloud transformation with financial stability as it explores financing options and navigates operational restructurings.