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SEGMENT INFORMATION (Tables)

12 Months Ended

May 31, 2021

	Year Ended May 31,
(in millions)	2021		2020		2019
Cloud and license:
Revenues⁽¹⁾	$	34,101	$	32,523	$	32,582
Cloud services and license support expenses		4,133		3,803		3,597
Sales and marketing expenses		6,799		7,159		7,398
Margin⁽²⁾	$	23,169	$	21,561	$	21,587
Hardware:
Revenues	$	3,359	$	3,443	$	3,704
Hardware products and support expenses		945		1,084		1,327
Sales and marketing expenses		388		456		520
Margin⁽²⁾	$	2,026	$	1,903	$	1,857
Services:
Revenues	$	3,021	$	3,106	$	3,240
Services expenses		2,393		2,656		2,703
Margin⁽²⁾	$	628	$	450	$	537
Totals:
Revenues⁽¹⁾	$	40,481	$	39,072	$	39,526
Expenses		14,658		15,158		15,545
Margin⁽²⁾	$	25,823	$	23,914	$	23,981

⁽¹⁾

Cloud and license revenues presented for management reporting included revenues related to cloud and license obligations that would have otherwise been recorded by the acquired businesses as independent entities but were not recognized in our consolidated statements of operations for the periods presented due to business combination accounting requirements. The table below provides a reconciliation of our total operating segment revenues to our total consolidated revenues as reported in our consolidated statements of operations.

⁽²⁾

The margins reported reflect only the direct controllable costs of each line of business and do not include allocations of product 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 non-operating income, net. Refer to the table below for a reconciliation of our total margin for operating segments to our income before provision for income taxes as reported per our consolidated statements of operations.

Reconciliation of Total Operating Segment Revenues to Total Revenues

	Year Ended May 31,
(in millions)	2021			2020			2019
Total revenues for operating segments	$	40,481		$	39,072		$	39,526
Cloud and license revenues⁽¹⁾		(2	)		(4	)		(20	)
Total revenues	$	40,479		$	39,068		$	39,506

Reconciliation of Total Operating Segment Margin to Income before Provision for Income Taxes

Total margin for operating segments	$	25,823		$	23,914		$	23,981
Cloud and license revenues⁽¹⁾		(2	)		(4	)		(20	)
Research and development		(6,527	)		(6,067	)		(6,026	)
General and administrative		(1,254	)		(1,181	)		(1,265	)
Amortization of intangible assets		(1,379	)		(1,586	)		(1,689	)
Acquisition related and other		(138	)		(56	)		(44	)
Restructuring		(431	)		(250	)		(443	)
Stock-based compensation for operating segments		(513	)		(436	)		(518	)
Expense allocations and other, net		(366	)		(438	)		(441	)
Interest expense		(2,496	)		(1,995	)		(2,082	)
Non-operating income, net		282			162			815
Income before benefit from (provision for) income taxes	$	12,999		$	12,063		$	12,268

⁽¹⁾

Cloud and license revenues presented for management reporting included revenues related to cloud and license obligations that would have otherwise been recorded by the acquired businesses as independent entities but were not recognized in our consolidated statements of operations for the periods presented due to business combination accounting requirements. This table provides a reconciliation of our total operating segment revenues to our total revenues as reported in our consolidated statements of operations.

Disaggregation of Revenue by Geography and Ecosystem

	Year Ended May 31,
(in millions)	2021		2020		2019
Americas	$	21,828	$	21,563	$	21,856
EMEA⁽¹⁾		11,894		11,035		11,270
Asia Pacific		6,757		6,470		6,380
Total revenues	$	40,479	$	39,068	$	39,506

⁽¹⁾	Comprised of Europe, the Middle East and Africa

	Year Ended May 31,
(in millions)	2021		2020		2019
Applications cloud services and license support	$	11,712	$	11,015	$	10,553
Infrastructure cloud services and license support		16,988		16,377		16,154
Total cloud services and license support revenues	$	28,700	$	27,392	$	26,707

Geographic Information

	As of and for the Year Ended May 31,
	2021				2020				2019
(in millions)	Revenues		Long-Lived Assets⁽¹⁾		Revenues		Long-Lived Assets⁽¹⁾		Revenues		Long-Lived Assets⁽¹⁾
United States	$	18,734	$	6,826	$	18,428	$	6,012	$	18,596	$	5,318
United Kingdom		2,110		685		1,904		472		2,054		423
Japan		1,988		650		1,977		655		1,848		422
Germany		1,744		561		1,510		418		1,583		263
Canada		1,281		199		1,162		169		1,166		87
Other countries		14,622		2,464		14,087		1,977		14,259		1,356
Total	$	40,479	$	11,385	$	39,068	$	9,703	$	39,506	$	7,869

⁽¹⁾	Long-lived assets exclude goodwill, intangible assets, equity investments and deferred taxes, which are not allocated to specific geographic locations as it is impracticable to do so.