Oracle falls on report of razor-thin gross profit margins in cloud business

** Shares of AI cloud firm Oracle ORCL down 5.7% at $275

** Internal documents show Oracle's fast-growing cloud business has razor-thin gross profit margins in the past year or so, the Information reports

** In some cases, Oracle is losing considerable sums of money on rentals of small quantities of newer and older versions of Nvidia chips, the report said

** Oracle did not immediately respond to a Reuters request for comment

** In the three months that ended in August, Oracle generated around $900 million from rentals of servers powered by Nvidia chips and recorded a gross profit of $125 million—equal to 14 cents for every $1 of sales, according to the report

** Including session moves, ORCL up 67% YTD