Oracle: Contracted Revenue

Metric

RPO · Whole company

Contracted balance

$664B, +46% year over year

Denominator

Fiscal 2026 total revenues of $67.4bn for the year ended May 31, 2026, plus first quarter fiscal 2027 total revenues of $19,345m, less first quarter fiscal 2026 total revenues of $14,926m. Both quarterly figures are from the condensed consolidated statements of operations in the Q1 fiscal 2027 filing.

Coverage

9.25x (scopes match)

Duration

Oracle gave a recognition schedule for the first time in this filing, which is the number the previous row said was missing. The 10-Q for the quarter ended August 31, 2026 says the company expects to recognize about 13% of the balance as revenue over the next twelve months, 37% over months 13 to 36, 34% over months 37 to 60 and the remainder after that. No weighted average duration is published, but the bands put roughly half the balance beyond three years. The 24-month cell stays empty because Oracle's second band starts at month 13 and runs to month 36, so the share falling inside two years cannot be read off it.

Concentration · largest customer OpenAI

Oracle still publishes no customer concentration figure and no ex largest customer growth rate. The 10-Q attributes the year-over-year increase to "certain significant cloud contracts that were entered into during the period" without naming a counterparty. Oracle's backlog is widely reported to be dominated by a roughly $300bn OpenAI compute contract, which the company has neither confirmed nor sized.

Notes

Still the widest gap between contracted revenue and current revenue in the table, and now the first one with a published schedule behind it. The balance grew $209bn in twelve months to $664bn, but only $26bn of that came in this quarter against $85bn in the quarter before, so the run of very large signings slowed. The 13% recognition band is the figure to carry: 13% of $664bn is about $86bn of revenue expected in the twelve months to August 2027, against $71.8bn of trailing revenue. The press release and the 10-Q agree on the balance and on the $455bn year-ago comparison. Oracle also took $11.4bn of customer prepayments carrying a significant financing component during the quarter, so on part of this backlog the cash lands well before the revenue does.

Sources: company filing or release · company filing or release · company filing or release

Metric

RPO · Whole company

Contracted balance

$638B, +363% year over year

Denominator

Fiscal 2026 total revenues of $67.4bn for the twelve months ended May 31, 2026, as reported. The period end is a fiscal year end, so the reported annual figure is the trailing twelve months with no arithmetic applied.

Coverage

9.47x (scopes match)

Duration

Oracle published neither a weighted average duration nor a 12-month recognition split with the Q4 result. On the largest backlog in the table relative to revenue, that omission is the single most important missing number in this dataset.

Concentration · largest customer OpenAI

Oracle has not published an ex largest customer growth rate. Its backlog is widely reported to be dominated by a roughly $300bn OpenAI compute contract, which would be close to half the total, and the company has not disclosed a figure either way.

Notes

The widest gap between contracted revenue and current revenue of any large company on record: $638bn signed against $67.4bn of annual sales. Oracle added $85bn sequentially and grew the balance 363% in a year. Two qualifiers travel with it. Most of the Q3 and Q4 increase came from large AI contracts where the customer prepaid for GPUs or supplied the hardware itself, with the prepaid and customer supplied portions totalling about $75bn, so part of this backlog converts at a very different margin from Oracle's software revenue. And with no duration disclosed, a reader cannot tell whether 9.5 years of coverage means five years of doubled revenue or fifteen years of a slow drip.

Sources: company filing or release · company filing or release