SEGMENT INFORMATION (Tables)
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9 Months Ended |
Feb. 29, 2024 |
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| Segment Reporting [Abstract] |
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| Summary of Businesses Results |
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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February 29,
2024 |
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February 28,
2023 |
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February 29,
2024 |
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February 28,
2023 |
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Cloud and license: |
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Revenues |
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$ |
11,219 |
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|
$ |
10,211 |
|
|
$ |
32,392 |
|
|
$ |
29,565 |
|
Cloud services and license support expenses |
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|
2,288 |
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|
|
1,842 |
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|
|
6,433 |
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|
|
5,209 |
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Sales and marketing expenses |
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|
1,758 |
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|
1,874 |
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|
|
5,339 |
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|
|
5,738 |
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Margin(1) |
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$ |
7,173 |
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$ |
6,495 |
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|
$ |
20,620 |
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|
$ |
18,618 |
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Hardware: |
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Revenues |
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$ |
754 |
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$ |
811 |
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$ |
2,224 |
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$ |
2,424 |
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Hardware products and support expenses |
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|
208 |
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|
236 |
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|
623 |
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|
758 |
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Sales and marketing expenses |
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|
72 |
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|
81 |
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|
220 |
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|
|
243 |
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Margin(1) |
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$ |
474 |
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|
$ |
494 |
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|
$ |
1,381 |
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$ |
1,423 |
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Services: |
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Revenues |
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$ |
1,307 |
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$ |
1,376 |
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$ |
4,058 |
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$ |
4,129 |
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Services expenses |
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|
1,120 |
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|
|
1,147 |
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|
3,431 |
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|
3,265 |
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Margin(1) |
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$ |
187 |
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$ |
229 |
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$ |
627 |
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$ |
864 |
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Totals: |
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Revenues |
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$ |
13,280 |
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$ |
12,398 |
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$ |
38,674 |
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$ |
36,118 |
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Expenses |
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|
5,446 |
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|
5,180 |
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16,046 |
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15,213 |
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Margin(1) |
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$ |
7,834 |
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$ |
7,218 |
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$ |
22,628 |
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$ |
20,905 |
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(1)The margins reported reflect only the direct controllable costs of each line of business and do not include allocations of research and development, general and administrative and certain other allocable expenses, net. Additionally, the margins reported above do not reflect amortization of intangible assets, acquisition related and other expenses, restructuring expenses, stock-based compensation, interest expense or certain other non-operating expenses, net. Refer to the table below for a reconciliation of our total margin for operating segments to our income before income taxes as reported per our condensed consolidated statements of operations.
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| Reconciliation of Total Operating Segment Margin to Income before Income Taxes |
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
|
February 29,
2024 |
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|
February 28,
2023 |
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February 29,
2024 |
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|
February 28,
2023 |
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Total margin for operating segments |
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$ |
7,834 |
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$ |
7,218 |
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$ |
22,628 |
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$ |
20,905 |
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Research and development |
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(2,248 |
) |
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(2,146 |
) |
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(6,689 |
) |
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(6,397 |
) |
General and administrative |
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(377 |
) |
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(402 |
) |
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(1,146 |
) |
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(1,179 |
) |
Amortization of intangible assets |
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(749 |
) |
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(886 |
) |
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(2,267 |
) |
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(2,712 |
) |
Acquisition related and other |
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(155 |
) |
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(37 |
) |
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(214 |
) |
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(140 |
) |
Restructuring |
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(90 |
) |
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(78 |
) |
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(311 |
) |
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(359 |
) |
Stock-based compensation for operating segments |
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(368 |
) |
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(316 |
) |
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(1,014 |
) |
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(864 |
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Expense allocations and other, net |
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(97 |
) |
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(93 |
) |
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(320 |
) |
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(301 |
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Interest expense |
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(876 |
) |
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(908 |
) |
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(2,636 |
) |
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(2,550 |
) |
Non-operating expenses, net |
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(9 |
) |
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(134 |
) |
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(72 |
) |
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(386 |
) |
Income before income taxes |
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$ |
2,865 |
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$ |
2,218 |
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$ |
7,959 |
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$ |
6,017 |
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| Disaggregation of Revenue by Geography and Ecosystem |
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Three Months Ended |
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Nine Months Ended |
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(in millions) |
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February 29,
2024 |
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February 28,
2023 |
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February 29,
2024 |
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February 28,
2023 |
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Americas |
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$ |
8,270 |
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$ |
7,671 |
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$ |
24,177 |
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$ |
22,649 |
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EMEA(1) |
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|
3,316 |
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3,067 |
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|
9,491 |
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|
8,653 |
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Asia Pacific |
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|
1,694 |
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|
1,660 |
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|
5,006 |
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|
4,816 |
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Total revenues |
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$ |
13,280 |
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$ |
12,398 |
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$ |
38,674 |
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$ |
36,118 |
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(1)Comprised of Europe, the Middle East and Africa
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Three Months Ended |
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Nine Months Ended |
|
(in millions) |
|
February 29,
2024 |
|
|
February 28,
2023 |
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|
February 29,
2024 |
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|
February 28,
2023 |
|
Cloud services |
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$ |
5,054 |
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$ |
4,053 |
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$ |
14,464 |
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$ |
11,445 |
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License support |
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|
4,909 |
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|
4,870 |
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|
14,685 |
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|
14,493 |
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Total cloud services and license support revenues |
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$ |
9,963 |
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|
$ |
8,923 |
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$ |
29,149 |
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$ |
25,938 |
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Three Months Ended |
|
|
Nine Months Ended |
|
(in millions) |
|
February 29,
2024 |
|
|
February 28,
2023 |
|
|
February 29,
2024 |
|
|
February 28,
2023 |
|
Applications cloud services and license support |
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$ |
4,584 |
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|
$ |
4,166 |
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$ |
13,529 |
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$ |
12,262 |
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Infrastructure cloud services and license support |
|
|
5,379 |
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|
|
4,757 |
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|
15,620 |
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|
|
13,676 |
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Total cloud services and license support revenues |
|
$ |
9,963 |
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|
$ |
8,923 |
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$ |
29,149 |
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$ |
25,938 |
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