Software SAP with a clear plus

SDA

28.1.2025 - 07:44

The business model is working again: SAP increases sales and profits. (archive image)
The business model is working again: SAP increases sales and profits. (archive image)
Keystone

Europe's largest software manufacturer SAP also benefited from its customers' switch to cloud software in the final quarter of 2024.

Keystone-SDA

Sales rose by 11 percent year-on-year to 9.4 billion euros, as the DAX heavyweight announced on Tuesday. The Walldorf-based company once again recorded a strong increase, particularly in subscription contracts for its core software. Net profit rose by 35 percent to 1.62 billion euros.

For this year, SAP is once again aiming for a large increase in profits following the major job cuts in the previous year. Adjusted for currency effects, the operating result is expected to increase by 26 to 30 percent. With license software and cloud contracts, the management headed by Christian Klein is aiming for growth of 11 to 13 percent.

In 2024 as a whole, SAP was able to increase revenue from continuing operations by 10 percent to 34.2 billion euros. However, at 3.15 billion euros, the bottom line was only around half of the previous year's profit. SAP incurred several billion euros in one-off costs in 2024 to cut thousands of jobs.