SAP SE

SAP

Equity

ISIN DE0007164600 / Valor 345952

Xetra (2025-04-01)

EUR 250.15+2.35%

SAP SE
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About company

SAP SE is a global leader in enterprise application software, providing a comprehensive suite of applications and services to businesses of all sizes across various industries. The company specializes in ERP (Enterprise Resource Planning) solutions, aiming to create networks of intelligent enterprises that enhance transparency, resiliency, and sustainability within supply chains. With its headquarters in Walldorf, Germany, SAP operates worldwide, boasting over 105,000 employees from more than 157 countries and a network of over 24,000 partner companies. In the fiscal year 2022, SAP reported total revenue of €29.52 billion and has a cloud user base exceeding 280 million subscribers. The company's offerings enable customers to run their operations profitably, adapt to market changes continuously, and make a significant impact globally. SAP's commitment to innovation is evident in its development of cutting-edge technologies, including the SAP HANA in-memory computing platform, which aims to redefine IT and business practices.

Summarized from source with an LLMView SourceSector: Technology

Cloud Revenue Growth

In the fourth quarter of 2024, SAP SE reported a significant increase in cloud revenue, which rose by 27% to €4.71 billion. This growth was driven by the Cloud ERP Suite, which saw a 35% increase to €3.95 billion. For the full year 2024, cloud revenue was up 25% to €17.14 billion, reflecting SAP's strong performance in its cloud offerings.

Operating Profit and Margin

SAP SE's IFRS operating profit for Q4 2024 increased by 6% to €2.02 billion, although the IFRS operating margin decreased by 1.0 percentage points to 21.5%. For the full year, IFRS operating profit was down 20% to €4.66 billion, primarily due to restructuring expenses. However, non-IFRS operating profit increased by 25% to €8.15 billion, with a non-IFRS operating margin increase of 3.0 percentage points to 23.9%.

Earnings Per Share

In Q4 2024, SAP SE's IFRS earnings per share (basic) increased by 31% to €1.37, while non-IFRS earnings per share (basic) rose by 24% to €1.40. For the full year, IFRS earnings per share decreased by 14% to €2.68, whereas non-IFRS earnings per share increased by 22% to €4.53, indicating strong underlying performance despite restructuring impacts.

Free Cash Flow

SAP SE's free cash flow for Q4 2024 was negative at –€0.92 billion, a decline from €1.67 billion in Q4 2023. This decrease was mainly due to a €1.7 billion payout under the 2024 transformation program. For the full year, free cash flow was €4.11 billion, down from €5.09 billion in 2023, reflecting the impact of the transformation program.

Revenue and Backlog

For the full year 2024, SAP SE's total revenue increased by 10% to €34.18 billion. The total cloud backlog grew by 43% to €63.29 billion, demonstrating strong demand for SAP's cloud solutions. The share of more predictable revenue also increased by 3 percentage points to 83%, highlighting the stability and growth potential of SAP's business model.

Summarized from source with an LLMView Source

Key figures

38.6%1Y

151%3Y

155%5Y

Performance

23.7%1Y

22.8%3Y

26.9%5Y

Volatility