Oracle Corporation (ORCL)
Gross profit margin
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 44,669,000 | 38,931,000 | 38,407,000 | 37,634,000 | 37,076,000 | 37,561,000 | 37,109,000 | 36,825,000 | 36,390,000 | 35,728,000 | 35,064,000 | 34,348,000 | 33,565,000 | 33,226,000 | 33,101,000 | 32,761,000 | 32,623,000 | 31,988,000 | 31,650,000 | 31,355,000 |
| Revenue (ttm) | US$ in thousands | 57,399,000 | 55,783,000 | 54,933,000 | 53,815,000 | 52,961,000 | 52,510,000 | 51,628,000 | 50,962,000 | 49,954,000 | 47,958,000 | 46,073,000 | 44,158,000 | 42,441,000 | 41,828,000 | 41,400,000 | 40,840,000 | 40,479,000 | 39,691,000 | 39,402,000 | 39,216,000 |
| Gross profit margin | 77.82% | 69.79% | 69.92% | 69.93% | 70.01% | 71.53% | 71.88% | 72.26% | 72.85% | 74.50% | 76.11% | 77.78% | 79.09% | 79.43% | 79.95% | 80.22% | 80.59% | 80.59% | 80.33% | 79.95% |
May 31, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $44,669,000K ÷ $57,399,000K
= 77.82%
The gross profit margin of Oracle Corporation has exhibited notable fluctuations over the analyzed period. From August 31, 2020, through May 31, 2022, the company's gross profit margin remained relatively stable, consistently maintaining levels above 79.0%. Specifically, during this period, the margin fluctuated narrowly between approximately 79.95% and 80.59%, indicating a stable capacity to generate gross profit relative to revenue, likely reflecting effective cost of goods sold (COGS) management and consistent revenue streams from core business operations.
Starting in August 2022, a downward trend emerges in gross profit margins. The margin declined from 77.78% on August 31, 2022, to 76.11% on November 30, 2022, and further decreased to 74.50% by February 28, 2023. This general decline continued into the subsequent years, with margins falling below 75% in mid-2023—specifically, 72.85% on May 31, 2023, and 72.26% on August 31, 2023. The downward trend persisted through November 2023 and into early 2024, with margins nearing 70.00% thresholds by May 31, 2024 (70.01%).
However, an anomalous increase is observed in the most recent data point for May 31, 2025, where the gross profit margin jumps sharply to 77.82%. This significant rise constitutes a reversal of the prior downward trend, reaching levels comparable to those observed prior to 2022. The increase suggests a notable improvement in gross profitability, potentially driven by either cost efficiencies, changes in sales mix, price adjustments, or a combination of these factors.
Overall, the data indicates that Oracle's gross profit margin experienced a sustained period of stability and high margins until around mid-2022, followed by a substantial decline that persisted into early 2024. The recent significant rebound in 2025 suggests a potential strategic shift, operational improvements, or market conditions positively impacting gross margins.
Peer comparison
May 31, 2025