SEGMENT INFORMATION (Tables)
|
9 Months Ended |
Feb. 28, 2026 |
|---|
| Segment Reporting [Abstract] |
|
| Summary of Businesses Results |
The following table presents summary results for each of our three businesses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
February 28, |
|
|
Nine Months Ended
February 28, |
|
(in millions) |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Cloud and software: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
$ |
15,033 |
|
|
$ |
12,136 |
|
|
$ |
41,793 |
|
|
$ |
35,525 |
|
Cloud and software expenses |
|
|
4,574 |
|
|
|
2,690 |
|
|
|
11,799 |
|
|
|
7,667 |
|
Sales and marketing expenses |
|
|
1,752 |
|
|
|
1,817 |
|
|
|
5,420 |
|
|
|
5,477 |
|
Margin(1) |
|
$ |
8,707 |
|
|
$ |
7,629 |
|
|
$ |
24,574 |
|
|
$ |
22,381 |
|
Hardware: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
$ |
714 |
|
|
$ |
703 |
|
|
$ |
2,160 |
|
|
$ |
2,086 |
|
Hardware products and support expenses |
|
|
172 |
|
|
|
187 |
|
|
|
546 |
|
|
|
499 |
|
Sales and marketing expenses |
|
|
57 |
|
|
|
66 |
|
|
|
170 |
|
|
|
201 |
|
Margin(1) |
|
$ |
485 |
|
|
$ |
450 |
|
|
$ |
1,444 |
|
|
$ |
1,386 |
|
Services: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
$ |
1,443 |
|
|
$ |
1,291 |
|
|
$ |
4,220 |
|
|
$ |
3,885 |
|
Services expenses |
|
|
1,043 |
|
|
|
1,029 |
|
|
|
3,143 |
|
|
|
3,174 |
|
Margin(1) |
|
$ |
400 |
|
|
$ |
262 |
|
|
$ |
1,077 |
|
|
$ |
711 |
|
Totals: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues |
|
$ |
17,190 |
|
|
$ |
14,130 |
|
|
$ |
48,173 |
|
|
$ |
41,496 |
|
Expenses |
|
|
7,598 |
|
|
|
5,789 |
|
|
|
21,078 |
|
|
|
17,018 |
|
Margin(1) |
|
$ |
9,592 |
|
|
$ |
8,341 |
|
|
$ |
27,095 |
|
|
$ |
24,478 |
|
(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 income (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.
|
| Reconciliation of Total Margin for Operating Segment to Income before Income Taxes |
The following table reconciles total margin for operating segments to income before income taxes:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
February 28, |
|
|
Nine Months Ended
February 28, |
|
(in millions) |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Total margin for operating segments |
|
$ |
9,592 |
|
|
$ |
8,341 |
|
|
$ |
27,095 |
|
|
$ |
24,478 |
|
Research and development |
|
|
(2,607 |
) |
|
|
(2,429 |
) |
|
|
(7,658 |
) |
|
|
(7,206 |
) |
General and administrative |
|
|
(389 |
) |
|
|
(390 |
) |
|
|
(1,174 |
) |
|
|
(1,135 |
) |
Amortization of intangible assets |
|
|
(413 |
) |
|
|
(548 |
) |
|
|
(1,239 |
) |
|
|
(1,763 |
) |
Acquisition related and other |
|
|
(20 |
) |
|
|
(28 |
) |
|
|
(55 |
) |
|
|
(72 |
) |
Restructuring |
|
|
(153 |
) |
|
|
(63 |
) |
|
|
(961 |
) |
|
|
(220 |
) |
Stock-based compensation for operating segments |
|
|
(449 |
) |
|
|
(422 |
) |
|
|
(1,231 |
) |
|
|
(1,186 |
) |
Expense allocations and other, net |
|
|
(97 |
) |
|
|
(103 |
) |
|
|
(304 |
) |
|
|
(327 |
) |
Interest expense |
|
|
(1,180 |
) |
|
|
(892 |
) |
|
|
(3,160 |
) |
|
|
(2,600 |
) |
Non-operating income (expenses), net |
|
|
132 |
|
|
|
(18 |
) |
|
|
2,872 |
|
|
|
39 |
|
Income before income taxes |
|
$ |
4,416 |
|
|
$ |
3,448 |
|
|
$ |
14,185 |
|
|
$ |
10,008 |
|
|
| Disaggregation of Revenue by Geography |
The following table is a summary of our total revenues by geographic region:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
February 28, |
|
|
Nine Months Ended
February 28, |
|
(in millions) |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Americas |
|
$ |
11,361 |
|
|
$ |
9,000 |
|
|
$ |
31,490 |
|
|
$ |
26,305 |
|
EMEA(1) |
|
|
3,964 |
|
|
|
3,421 |
|
|
|
11,204 |
|
|
|
10,029 |
|
Asia Pacific |
|
|
1,865 |
|
|
|
1,709 |
|
|
|
5,479 |
|
|
|
5,162 |
|
Total revenues |
|
$ |
17,190 |
|
|
$ |
14,130 |
|
|
$ |
48,173 |
|
|
$ |
41,496 |
|
(1)Comprised of Europe, the Middle East and Africa The following table presents our software revenues by offerings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
February 28, |
|
|
Nine Months Ended
February 28, |
|
(in millions) |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Software license |
|
$ |
1,150 |
|
|
$ |
1,129 |
|
|
$ |
2,856 |
|
|
$ |
3,194 |
|
Software support |
|
|
4,969 |
|
|
|
4,797 |
|
|
|
14,861 |
|
|
|
14,562 |
|
Total software revenues |
|
$ |
6,119 |
|
|
$ |
5,926 |
|
|
$ |
17,717 |
|
|
$ |
17,756 |
|
The following table presents our cloud revenues by offerings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
February 28, |
|
|
Nine Months Ended
February 28, |
|
(in millions) |
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
Cloud applications |
|
$ |
4,026 |
|
|
$ |
3,558 |
|
|
$ |
11,762 |
|
|
$ |
10,529 |
|
Cloud infrastructure |
|
|
4,888 |
|
|
|
2,652 |
|
|
|
12,314 |
|
|
|
7,240 |
|
Total cloud revenues |
|
$ |
8,914 |
|
|
$ |
6,210 |
|
|
$ |
24,076 |
|
|
$ |
17,769 |
|
|