Thread regarding Oracle Corp. layoffs

OCI is still eating money

https://seekingalpha.com/news/3916450-oracle-rises-analysts-praise-revenue-growth-highlight-concerns-free-cash-flow?mailingid=29965456&messageid=2900&serial=29965456.6220&utm_campaign=rta-stock-news&utm_content=link-1&utm_medium=email&utm_source=seeking_alpha&utm_term=29965456.6220

However, the continued increase in spending for the cloud infrastructure business is something that hit free cash flow growth and something that investors should pay attention to.

"Further ramping capex spend in service of the [Oracle Cloud Infrastructure] business continues to exert pressure on Oracle's free cash flow despite a strong Q2 revenue and bookings result," Weiss wrote in a note to clients.

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| 2151 views | | 4 replies (last December 16, 2022) | Reply
Post ID: @OP+1kb3vggc

4 replies (most recent on top)

Even with no active projects, it still consumes too much money?

Electricity, HVAC, taxes, salaries, gear replacement/upgrades all cost money. Plus you need to recoup your initial investment.

So, yes.

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Post ID: @2mfs+1kb3vggc

I suspect you will have to invest in your cloud platform regardless to avoid falling to mercy of direct competition in terms of hosting and tech stack control.

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Post ID: @guc+1kb3vggc

Even with no active projects, it still consumes too much money?

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Post ID: @qqg+1kb3vggc

Too much spent on attracting talent away from the competition!

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Post ID: @kfx+1kb3vggc

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