Oracle Corp. (NYSE:ORCL)

Net Fixed Asset Turnover

The net fixed asset turnover ratio demonstrates a clear downward trend over the observed periods. Beginning at 6.13 in August 2020, the ratio steadily declines throughout the timeline, reaching 1.11 by August 2025. This continuous reduction suggests that the company is generating decreasing sales revenue per unit of net fixed assets over time, indicating either increased investment in fixed assets without a proportional increase in sales or diminished efficiency in asset utilization.

Total Asset Turnover

The total asset turnover ratio remains relatively stable across the quarters, fluctuating within a narrow range from 0.31 to 0.39 during the timeline. Starting at 0.35 in August 2020, the ratio experiences minor variations, peaking near 0.39 across several periods, and gradually decreasing slightly to around 0.33 by August 2025. This stability suggests the company maintains a consistent ability to generate revenue from its total asset base, although the modest decline towards the end may warrant monitoring for efficiency changes.

Equity Turnover

The equity turnover ratio shows substantial fluctuations, with data missing in several periods in the earlier and middle phases. Where available, the ratio starts at 4.13 in August 2020, peaks at 7.73 in May 2021, and then information is absent for a series of subsequent periods. Later periods reveal a notable surge, with exceptionally high values such as 46.56 in August 2023, followed by a sharp decline in later periods down to 2.44 by August 2025. Such volatility may indicate significant changes in equity or sales figures, large one-time events, or restatements affecting the equity base, which considerably impact this ratio’s consistency and interpretability.

Revenues

The revenue figures exhibit an overall upward trend across the reported quarters, with fluctuations in certain periods. Starting at approximately $9.37 billion in August 2020, revenues experienced gradual growth, with intermittent dips such as in August 2021 and August 2022. From November 2022 onward, revenue increased more significantly, peaking near $15.9 billion in May 2025 before declining slightly to around $14.9 billion in August 2025. This indicates generally strong sales performance with periods of volatility likely influenced by market or operational factors.

Property, Plant and Equipment, Net

The net value of property, plant, and equipment demonstrated consistent and substantial growth throughout the timeline. Beginning at roughly $6.4 billion in August 2020, the asset base expanded steadily each quarter, reaching over $53 billion by August 2025. The growth accelerated markedly after May 2022, suggesting significant investments or acquisitions in fixed assets. This upward trajectory points to an expansion strategy or the buildup of resources to support future growth or operational needs.

Net Fixed Asset Turnover Ratio

The net fixed asset turnover ratio declined markedly over the periods analyzed, dropping from about 6.13 in August 2020 to 1.11 in August 2025. This ratio measures how effectively the company generates revenues from its fixed assets. The steady decline suggests that revenue growth has not kept pace with the rapid increase in fixed asset investment. The sharp decrease could imply diminishing efficiency in asset utilization or a lag between capital expenditures and realized revenue benefits.

Summary and Insights

While revenue exhibited general growth, the asset base expanded at a much faster rate, leading to a significant reduction in fixed asset turnover efficiency. The data indicates heavy investment in long-term assets, which may be part of a strategic effort to scale operations or enhance production capacity. However, the declining turnover ratio highlights a potential risk related to asset productivity that the company might need to address to ensure these investments translate into proportional revenue increases. Monitoring this trend and evaluating the returns on capital expenditures will be critical for sustaining financial performance.

The analysis of the quarterly financial data reveals several notable trends regarding revenues, total assets, and total asset turnover over the observed period.

Revenues

Revenues demonstrate an overall upward trend with some fluctuations throughout the quarters. Starting at approximately $9,367 million in August 2020, revenues increased steadily, reaching a peak of about $15,903 million in August 2025. Despite periodic dips, such as the decline noted around August 2021 and a minor decrease in some subsequent quarters, the general trajectory indicates consistent growth and expansion in sales or service income.

Total assets

Total assets exhibit a rising trend, increasing from about $113,546 million in August 2020 to approximately $180,449 million by August 2025. The asset base shows some variability, including a dip during the second half of 2020 and early 2021, followed by a recovery and steady growth. This suggests ongoing investment and accumulation of assets, contributing to the company's expanding operational scale.

Total asset turnover

The total asset turnover ratio fluctuates moderately within a range of 0.31 to 0.39 throughout the period. Initially at 0.35 in August 2020, it dips to a low of 0.31 in May 2021 but recovers to consistently hover around 0.37 to 0.39 until mid-2024, after which it gradually declines toward 0.33 by August 2025. The initial downward movement followed by a rebound suggests efficiency improvements in utilizing assets to generate revenues, though the recent decline may indicate a slight reduction in asset utilization efficiency or increased asset base relative to revenue growth.

In summary, the financial data display a positive growth in revenues and asset base, while the asset turnover ratio reflects some volatility but generally remains stable with a mild downward tendency toward the end of the period. This pattern may imply that while the company is expanding its assets and generating higher revenues, the efficiency of asset utilization is experiencing slight pressure, warranting closer monitoring for future potential impacts on profitability.

The quarterly financial data reflects several notable trends regarding revenue, stockholders’ equity, and equity turnover over the observed periods.

Revenues

Revenues exhibited an overall upward trajectory from August 2020 to August 2025. The figures increased from approximately 9,367 million USD in August 2020 to a peak of around 15,903 million USD in May 2025, before slightly declining to about 14,926 million USD in August 2025. The data shows consistent growth with occasional fluctuations, particularly noticeable increases between May 2021 and May 2022, and again from February 2024 through May 2025.

Stockholders’ Equity

Stockholders’ equity displayed significant volatility in the early part of the timeline, with values falling into negative territory from August 2021 to February 2023. After peaking positively at 9,491 million USD in August 2020, equity declined sharply, reaching its lowest point of -10,101 million USD in November 2021. From May 2023 forward, equity showed a robust recovery, steadily increasing to more than 24,000 million USD by August 2025. This recovery suggests strong financial restructuring or improved profitability impacting net asset value positively.

Equity Turnover

Equity turnover ratios are incomplete for several quarters; however, available data suggests extreme variability. Initial ratios ranged mostly between four and eight, with a sharp peak reaching 46.56 at one point in May 2023, followed by a declining trend to approximately 2.44 by August 2025. This notable peak followed by reduction indicates exceptional revenue generation relative to equity for a short period, before normalizing over subsequent quarters. This fluctuation may correspond to the significant changes in equity and revenues during the same timeframe.

In summary, the company's revenues consistently improved over the years, reflecting growth and expansion. The stockholders’ equity experienced a period of decline into negative values but then rebounded strongly, implying significant financial recovery efforts or operational improvements. Meanwhile, the equity turnover ratio's volatility suggests notable shifts in how effectively the company generated revenues from equity, particularly around mid-2023 with a subsequent normalization.