Sap Se Stock Price, News & Analysis

SAP SE reported strong third-quarter results, with a 38% increase in cloud revenue to €3.29 billion, driven by significant growth in cloud backlog and SaaS offerings. The current cloud backlog rose 38% to €11.27 billion. However, operating profit fell 1% to €1.24 billion, and EPS dropped 52% to €0.57. The company anticipates free cash flow of approximately €4.5 billion for 2022, reflecting a 38% decrease year-over-year. SAP continues to face challenges from the war in Ukraine, potentially impacting revenues by around €250 million.

SAP SE has announced enhancements to its SuccessFactors Human Experience Management (HXM) Suite during the SuccessConnect event on Sept. 13, 2022. Key features include a skills ontology for continuous skill identification, a growth portfolio for employee attributes, and the introduction of dynamic teams for improved collaboration. These innovations aim to align talent with organizational needs and foster a sense of belonging through features like chosen names and personal pronouns. The updates will be available in Q4 2022.

SAP SE has appointed Dominik Asam as its new CFO and Executive Board member, effective March 7, 2023. Previously CFO at Airbus, Asam brings extensive experience from roles at Goldman Sachs, Siemens, and Infineon Technologies. He will succeed Luka Mucic, who will continue to serve on the Executive Board until March 31, 2023. The Chairman of SAP's Supervisory Board, Hasso Plattner, commended Asam's capability to advance SAP's cloud transformation goals.

SAP SE has announced a definitive agreement with Francisco Partners for the acquisition of SAP Litmos, an established leader in the learning management system market. The transaction, expected to close in Q4 2022, will allow Litmos to operate as an independent company, enhancing its focus on growth and innovation. SAP's ongoing portfolio review indicated an overlap between its SuccessFactors Learning and Litmos solutions, leading to this divestment. Financial terms were not disclosed, but Francisco Partners brings extensive technology investment experience.

SAP SE (NYSE: SAP) has announced a new share repurchase program of up to €500 million, set to run from August 1 to December 31, 2022. This initiative, authorized at the Annual General Meeting on May 17, 2018, will primarily support employee share-based compensation plans. This follows a previous buyback of 14 million shares for approximately €1.5 billion in 2020 and another 10 million shares for about €1 billion in the first half of 2022. The program aims to enhance shareholder value and maintain confidence in the company's future.

SAP SE reported strong cloud revenue growth of 34% in Q2 2022, making it the largest revenue stream for the company. The current cloud backlog exceeded €10 billion, up 34%. However, IFRS operating profit fell 32% due to the impact of the war in Ukraine, leading to a 75% drop in basic earnings per share. Despite challenges, SAP reaffirmed its 2022 revenue outlook of €11.55 billion to €11.85 billion for cloud revenue, maintaining confidence in its cloud transition strategy.

New research by Oxford Economics and SAP reveals significant barriers to corporate sustainability efforts, including poor communication and siloed technologies. Despite this, 63% of executives reported having a formal sustainability plan. The study highlights that sustainability can enhance efficiency (58%), brand reputation (46%), and customer satisfaction (44%). Only 9% of executives are identified as 'sustainability leaders,' effectively engaging stakeholders and integrating technology. Key challenges for improvement include executive sponsorship, consistent communication, integrated technologies, and leveraging data.

SAP SE has announced new innovations at the Sapphire conference in Orlando, focusing on digital transformation in four key areas: supply chain resilience, sustainability, business process transformation, and no-code application development. A survey indicates that while 80% of companies seek digital solutions, only 30% achieve true transformation. Highlights include new apps for supply chain management and enhanced solutions for sustainability management, aimed at empowering customers in their transformation journeys.