Mark Hurd CEO October 25, 2018

Oracle OpenWorld 2018 Financial Analyst Meeting Applications Business Update

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. Safe Harbor Statement Statements in this presentation relating to Oracle’s future plans, expectations, beliefs, intentions and prospects, are “forward-looking statements” and are subject to material risks and uncertainties. Many factors could affect our current expectations and our actual results, and could cause actual results to differ materially. A detailed discussion of these factors and other risks that affect our business is contained in our U.S. Securities and Exchange Commission (SEC) filings, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading “Risk Factors.” Copies of these filings are available online from the SEC or by contacting Oracle’s Investor Relations Department at (650) 506-4073 or by clicking on SEC Filings on Oracle’s Investor Relations website at https://www.oracle.com/investor. All information set forth in this presentation is current as of October 25, 2018. Oracle undertakes no duty to update any statement in light of new information or future events.

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. Non-GAAP Financial Measures To supplement our financial results presented on a GAAP basis, we use non-GAAP measures, which exclude certain business combination accounting entries and expenses related to acquisitions and other significant expenses including stock based compensation, that we believe are helpful in understanding our past financial performance and our future results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Today’s discussion includes certain non-GAAP financial measures, and a GAAP to non-GAAP reconciliation can be viewed at the end of this presentation.

$8.9B

+ 11%

FY14 FY15 FY16 FY17 FY18

Amounts and growth rates are in GAAP USD. Results prior to FY17 do NOT reflect ASC606; FY17 and FY18 results based on ASC606 accounting. Applications ecosystem revenues represent the sum of applications related cloud services and license support revenues; and applications licenses revenues.

Fusion Fusion Fusion Fusion Fusion Fusion Fusion Fusion R1|R2 R3|R4|R5 R6|R7 R8|R9 R10 R11 R12|R13 R18A-18D

Cloud CRM, HCM & CX: CPQ EPM Data Cloud Adaptive IOT AI Apps+ Launch ERP G.A. Simplified ERP: Revenue Mgmt CX: Commerce Intelligent Apps Applications IOT Apps+ CX: Service, & Mobile UX SCM: Transportation, SCM: Manufacturing Blockchain Apps Social Global Trade Mgmt, Order Mgmt ERP: Subscription Mgmt Product Value Chain CX: Unity CX: Marketing

2011 2012 2013 2014 2015 2016 2017 2018

Fusion Fusion Fusion Fusion Fusion Fusion Fusion Fusion R1|R2 R3|R4|R5 R6|R7 R8|R9 R10 R11 R12|R13 R18A-18D

2011 2012 2013 2014 2015 2016 2017 2018

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 7 Changed Go-to-Market Model • Focus – Aligned by buyer . . . by product . . . by competitor • Reach – Built Global Network of Sales Hubs • Structure – Altered mix between inside and outside sales – Renewals Team . . . Customer Satisfaction Teams Double 2014 HC • Investment – Expanded sales organization inside and outside – Applications Sales HC up ~60% since FY14 – ERP-HCM Sales HC up ~100% since FY14 – Best of Oracle sales organization supplemented by college recruiting “Class of” program FY14 FY15 FY16 FY17 FY18 Back-Office Sales Rep Headcount

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 8 9 Copyright © 2018, Oracle and/or its affiliates. All rights reserved. Customer Motivations to Migrate to Cloud • Faster Pace of Innovation – 2-4 new releases each year with thousands of new feature & functionalities – New UX (User Experience) – ML/AI (Chatbots/Digital Assistants) – Embedded Analytics

• Lower Cost – Lower Cost of Implementation . . . up & running in months, not years – Lower Cost of Operation . . . automation drives lower labor cost – Cost of Upgrades Built In . . . faster and less complicated upgrades • Stronger Security – Security patches implemented sooner – Autonomous Database . .. Gen 2 Infrastructure

Front Office Back Office • Contact Center • Enterprise Asset Management • Customer Service • Enterprise Performance Management • Digital Commerce • Financials • Marketing Campaign • Human Capital Management Management Front Office • Inventory Management • Sales Force Productivity TTM • Logistics & Management $42B • Order Management Growing $17B Back Office • Payroll Accounting 2013H2-2018H1 TTM • Procurement $74B • Production Planning Growing $22B • Project & Portfolio Management 2013H2-2018H1

Source: 2018H1 IDC WW Semiannual Software Tracker Trailing Twelve Month revenue , including pure-play cloud companies. Dollar growth over 2013H2-2018H1 time period. Amounts are in constant revenue.

• Currently >50% of Oracle Applications Ecosystem Revenue

• Back-Office will be a key driver to Applications Ecosystem Growth

• Back-Office Growth Opportunities – Conversion of installed base from on-premise to SaaS – Addition of new customers from weaker on-premise vendors

Gartner, Magic Quadrant for Cloud Core Financial Management Suites for Midsize, Large and Global Enterprises, John Van Decker | Robert Anderson | Mike Guay, 29 May 2018. These graphics were published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Oracle. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner’s research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including Copyrightany warranties © 2018, of Oracle merchantability and/or its affiliates. or fitness All rightsfor a particularreserved. purpose. NetSuite – Increased Investment in Product & Distribution • Reach – New Country Localizations - Germany, France, China, Japan, Brazil, India and Mexico – Leverage Oracle field office to accelerate NetSuite distribution • Volume – SuiteSuccess delivers faster time to value . . . opens up new market segments – Strong upsell opportunities w/ Planning/Budgeting, SuiteCommerce, & SuitePeople – Added over 3,000 new customers in the last twelve months NetSuite ERP Growth 26% • Industries & Verticals 22% – 12 Industry Cloud Solutions leveraging SuiteSuccess – Targeted market initiatives to specific verticals 16% – Delivering the Suite – 15,000+ Strong Install Base with high retention rate

Q3 FY18 Q4 FY18 Q1 FY19 Amounts and growth rates are non-GAAP USD.

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 14 Opportunity #1 – Conversion of Installed Base $6.5B On-Premise Application Business, Converted to SaaS, At 3X Revenue Multiplier, Application Ecosystem Doubles!

(2) $11B  $22B SaaS SaaS (1) Software Support Triples Software Software +$11B Apps Ecosystem Doubles Licenses Support

Current Opportunity #1 Sources: Internal analysis. (1) $11B Applications Ecosystem incremental revenue opportunity represents scenario where 100% of license support revenues are converted to SaaS revenues at a 3 times revenue multiplier. (2) $11B to $22B Revenue Opportunity presents scenario where 100% of on-premise support revenue is converted to SaaS revenues at a 3 times revenue multiplier. The above scenarios are not intended as guidance. Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 15 Opportunity #2 – Adding New Back Office Customers

Microsoft Lawson

r GT Nexus o

Infor f n I SSA Global Sage GEAC Epicor Software Oracle 21% TOTVS Unit4 Deltek Yonyou Network Tyler Other 52% Technologies

SAP 27% Smaller Vendors

Microsoft SAP Oracle Infor Sage Epicor Software TOTVS Unit4 Deltek Yonyou Network Tyler Technologies Smaller Vendors

Source: IDC Worldwide Enterprise Resource Planning Software Market Shares, 2017: Enterprises Journey to the Cloud.

Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 16 Opportunity #2 – Adding New Back Office Customers $35B Back-Office, On-Premise revenue not with Oracle or SAP - 20% conversion from other vendors to Oracle - 3X Revenue Multiplier $21B incremental revenue

(2) Other Apps $11B to $42B Incremental Revenue Opportunity Win Percentage against Other On-Premise Vendors B/O SaaS

(1) 10% 20% 30% 40% Other Apps +$21B $11B $21B $32B $42B B/O SaaS B/O On-Prem B/O On-Prem

Current Opportunity #2

Sources: Internal analysis. (1) $21B revenue uplift represents scenario where 20% of competitor back-office, on-premise revenue (excluding SAP and Microsoft) is converted to SaaS revenue at a 3 times revenue multiplier. Other remaining revenue for Applications Ecosystem is held constant in this analysis. (2) $11B to $42B Incremental Revenue Opportunity presents various scenarios where portions of competitor revenue is converted to SaaS revenues at a 3 times revenue multiplier. Other remaining revenue for Applications Ecosystem is held constant in this analysis. The above scenarios are not intended as guidance. Copyright © 2018, Oracle and/or its affiliates. All rights reserved. 17 Summary • Back-Office (ERP and HCM) market nearly 2X size of Front-Office

• ERP & HCM ecosystems growing faster than Apps Ecosystem

• Applications Ecosystem grows from $11B to $43B if: – Conversion of installed base to SaaS - $11B incremental revenue opportunity – Addition of new customers - $21B incremental revenue opportunity – Does not consider the addition of any current SAP customers – Does not consider growth in SaaS outside of Back-Office

Slide 14 Q3 FY18 Q4 FY18 Q1 FY19 NetSuite ERP GAAP Growth Rates (in United States dollar) 75% 54% 41% Business Combination Accounting Adjustments (59%) (32%) (15%) Non-GAAP Growth Rates (in United States dollar) 16% 22% 26%

Note 1