When the largest German software company reports nice figures, I naturally want to pass them on to you straight away... $SAP (+1,25%) 🇩🇪
- Cloud turnover: Increase of 19 % to 5.96 billion euros (expected: EUR 5.85 billion) / +27% adjusted for currency effects. 🟢
- Cloud ERP Suite sales: Growth of 23% to 5.21 billion euros (expected: EUR 5.10 billion) / +30% adjusted for currency effects. 🟢
- Cloud order backlog (current cloud backlog): Climbed by 20% to 21.9 billion euros (expected: EUR 21.5 billion) / +25% adjusted for currency effects. 🟢
- Total sales: Increased by 6% to 9.56 billion euros (expected: EUR 9.45 billion) / +12% adjusted for currency effects. 🟢
- Operating result (non-IFRS): Increased by 17% to 2.87 billion euros (expected: EUR 2.78 billion) / +24% adjusted for currency effects. 🟢
- Share buyback: In the 1st quarter, a tranche in the amount of 2.6 billion euros was completed in the first quarter (in line with previous announcements and market expectations).
Expectations & forecast (full year 2026)
Despite the complex geopolitical and macroeconomic environment, SAP confirms its optimistic outlook, which is in line with or slightly ahead of market consensus estimates:
- Cloud revenue: Company forecast is 25.8 to 26.2 billion euros (market expectation was around EUR 25.9 billion in advance).
- Cloud and software revenue: Forecast at 36.3 to 36.8 billion euros (market expectation: approx. 36.4 billion euros).
- Operating result (non-IFRS): Target at 11.9 to 12.3 billion euros (market expectation: EUR 12.0 billion).
- Free cash flow: The company anticipates around 10 billion euros (market expectation: EUR 9.8 to 10.0 billion).
- Dividend: Proposed dividend 2.50 euros per share for the past financial year 2025 (market expectation was EUR 2.45 to 2.50).
