Oracle turned in a stellar quarterly report, driven largely by massive AI-driven demand for its cloud infrastructure.

When discussing the cloud market, much of the conversation centers around the Big Three: AWS, Microsoft, and Google. Oracle has been quietly making moves, however, and the company’s latest quarterly results show just how much ground the company is gaining.

When compared to the year-ago quarter, Oracle’s revenue was up 7%, coming in at $13.3 billion. Net income was almost $2.4 billion, a 27% increase. Earnings per share were up 16%, hitting $1.41.

Cloud infrastructure growth was the main factor in the company’s results. In fact, the company apparently can’t keep up with demand.

“Large new cloud infrastructure contracts signed in Q3 drove Oracle’s total Remaining Performance Obligations up 29% to over $80 billion—an all-time record,“ said Oracle CEO, Safra Catz. “We expect to continue receiving large contracts reserving cloud infrastructure capacity because the demand for our Gen2 AI infrastructure substantially exceeds supply—despite the fact we are opening new and expanding existing cloud datacenters very, very rapidly. We expect that 43% of our current $80 billion of Remaining Performance Obligations will be recognized as revenue over the next four quarters, and that our Gen2 Cloud Infrastructure business will remain in a hypergrowth phase—up 53% in Q3—for the foreseeable future.”

Going into Q4, the company plans to deliver its AI-driven health services, which will likely drive growth further.

“In Q3, Oracle finished moving the majority of Cerner customers to Oracle’s Gen2 Cloud Infrastructure,” said Oracle Chairman and CTO, Larry Ellison. “In Q4, Oracle will start delivering its completely new Ambulatory Clinic Cloud Application Suite to these same customers. This new AI- driven system features an integrated voice interface called the Clinical Digital Assistant that automatically generates doctors’ notes and updates Electronic Health Records—saving precious time and improving health data accuracy. The delivery of this revolutionary new healthcare technology will enable the rapid modernization of our customers’ health systems over the coming year, and transform Cerner and Oracle Health into a high-growth business for years to come.”

Oracle has been the dark horse of the cloud market, quietly leveraging its legacy business to build its cloud presence. The company is one of the few solutions that provide a full turnkey solution. Ellison has also touted Oracle’s reliability, saying “it never ever goes down. We can’t say that about any of the other clouds. We think this is a critical differentiator.”

It would appear customers appreciate the Oracle difference.