Growth in cloud revenue was again the focus of SAP’s latest financial results, for the second quarter and first half ended 30 June 2015.
New cloud bookings increased 162 per cent in the second quarter to €203 million, and non-IFRS cloud subscriptions and support revenue grew 129 per cent year-over-year to €555 million.
Looking at the company as a whole, growth was more muted but still strong, with non-IFRS total revenue growing 20 per cent to €4.97 billion (8 per cent at constant currencies). This reflects the overall shift from in-premise software to the cloud, with non-IFRS software license revenue growing only 2 per cent to €979 million (a decrease of 7 per cent at constant currencies).
Non-IFRS operating profit for the second quarter was €1.39 billion, an increase of 13 per cent (1 per cent at constant currencies), and across the first half, non-IFRS operating profit was €2.45 billion, an increase of 14 per cent (flat at constant currencies).
SAP CFO Luka Mucic said the company’s strategy is beginning to be reflected in its performance.
“Our second quarter growth in new cloud bookings was significantly higher than in the first quarter. This momentum showed across our entire cloud and business network portfolio,” said SAP CFO Luka Mucic. “Our operating profit performance is beginning to reflect the business transformation we initiated to make SAP ready for the future. We are on track to achieve our full year business outlook.”
SAP reported strong growth of 87 per cent in customer numbers for SuccessFactors Employee Central, to 730 from around 390 a year ago, while the number of HANA customers has growth to 7200 from 3600 12 months ago. The SAP Business Network also grew 194 per cent year over year, with total revenue at €400 million.
On a regional basis, the APJ region was also singled out as an outstanding performer, with non-IFRS cloud subscriptions and support revenue growing by 138 per cent, and non-IFRS cloud and software revenue up 19 per cent.
SAP has also announced it will be holding a global Mid-Year Partner update, to provide information on the state of the SAP partner business and new opportunities.
Rodolpho Cardenuto, president of SAP Global Partner Operations, and Darren Bibby, vice president of channels and alliance research, IDC, will present on the live webinar, in which SAP will detail its vision to drive business in the second half of 2015.
