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RESTRUCTURING ACTIVITIES
 3 Months Ended
Aug. 31, 2025
Restructuring and Related Activities [Abstract]  
RESTRUCTURING ACTIVITIES
3.
RESTRUCTURING ACTIVITIES

Fiscal 2026 Oracle Restructuring Plan

During the first quarter of fiscal 2026, our management approved, committed to and initiated plans to restructure and further improve efficiencies in our operations due to our acquisitions and certain other operational activities (2026 Restructuring Plan). The total estimated restructuring costs associated with the 2026 Restructuring Plan are up to $1.6 billion and will be recorded to the restructuring expense line item within our condensed consolidated statements of operations as they are incurred through the end of the plan. We recorded $415 million of restructuring expenses in connection with the 2026 Restructuring Plan during the three months ended August 31, 2025. Any changes to the estimates of executing the 2026 Restructuring Plan will be reflected in our future results of operations.

Summary of All Plans

 

 

 

Accrued

 

 

Three Months Ended August 31, 2025

 

 

Accrued

 

 

Total
Costs

 

 

Total
Expected

 

(in millions)

 

May 31,
2025(2)

 

 

Initial
Costs(3)

 

 

Adj. to
Cost(4)

 

 

Cash
Payments

 

 

Others(5)

 

 

August 31,
2025(2)

 

 

Accrued
to Date

 

 

Program
Costs

 

2026 Restructuring Plan(1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cloud and software

 

$

—

 

 

$

119

 

 

$

—

 

 

$

(13

)

 

$

—

 

 

$

106

 

 

$

119

 

 

$

484

 

Hardware

 

 

—

 

 

 

16

 

 

 

—

 

 

 

(1

)

 

 

—

 

 

 

15

 

 

 

16

 

 

 

67

 

Services

 

 

—

 

 

 

36

 

 

 

—

 

 

 

(3

)

 

 

—

 

 

 

33

 

 

 

36

 

 

 

326

 

Other

 

 

—

 

 

 

244

 

 

 

—

 

 

 

(45

)

 

 

—

 

 

 

199

 

 

 

244

 

 

 

737

 

Total 2026 Restructuring Plan

 

$

—

 

 

$

415

 

 

$

—

 

 

$

(62

)

 

$

—

 

 

$

353

 

 

$

415

 

 

$

1,614

 

Total other restructuring plans(6)

 

$

212

 

 

$

—

 

 

$

(13

)

 

$

(55

)

 

$

3

 

 

$

147

 

 

 

 

 

 

 

Total restructuring plans

 

$

212

 

 

$

415

 

 

$

(13

)

 

$

(117

)

 

$

3

 

 

$

500

 

 

 

 

 

 

 

 

(1)
Restructuring costs recorded to each of the operating segments presented primarily related to employee severance costs. Other restructuring costs represented employee severance costs not related to our operating segments and certain other restructuring plan costs.
(2)
As of August 31, 2025, $427 million and $73 million were recorded in other current liabilities and other non-current liabilities, respectively, within our condensed consolidated balance sheets. As of May 31, 2025, substantially all restructuring liabilities have been recorded in other current liabilities within our condensed consolidated balance sheets.
(3)
Costs recorded for the respective restructuring plans during the period presented.
(4)
All plan adjustments were changes in estimates whereby increases and decreases in costs were generally recorded to operating expenses in the period of adjustments.
(5)
Represents foreign currency translation and certain other non-cash adjustments.
(6)
Other restructuring plans presented in the table above included condensed information for other Oracle based plans and other plans associated with certain of our acquisitions whereby we continued to make cash outlays to settle obligations under these plans during the periods presented but for which the periodic impact to our condensed consolidated statements of operations was not significant.