SAP Reports Strong Q3 2024 Results, Raises Outlook Amid AI Integration
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SAP Announces Q3 2024 Results By Investing.com
, CEO: Q3 was another strong quarter for SAP, and we are confidently raising our 2024 financial outlook. Cloud revenue growth developed remarkably well in the quarter, especially for our Cloud ERP Suite. Even more importantly, we are making strong progress on Business AI with groundbreaking innovations such as SAP Knowledge Graph. A significant part of our cloud deals in Q3 included AI use cases. , CFO: We are very pleased with our third quarter performance. The 2024 transformation program has already started to yield efficiency improvements. This allowed us to deliver a strong operating profit and free cash flow, while retaining our topline momentum. We're now focused on carrying that momentum into Q4 to safeguard the achievement of our 2025 ambition amidst a highly volatile environment. In the third quarter, SAP's strong business momentum continued. Current cloud backlog grew by 25% to €15.38 billion and was up 29% at constant currencies. The acquisition of WalkMe contributed approximately 1 percentage point to that growth rate. Cloud revenue was up 25% to €4.35 billion and up 27% at constant currencies, fueled by Cloud ERP Suite revenue, which was up 34% to €3.64 billion and up 36% at constant currencies. Software licenses revenue decreased by 15% to €0.28 billion and was down 14% at constant currencies. Cloud and software revenue was up 11% to €7.43 billion and up 12% at constant currencies. Services revenue was down 2% to €1.04 billion and down 2% at constant currencies. Total revenue was up 9% to €8.47 billion and up 10% at constant currencies. The share of more predictable revenue increased by 2 percentage points to 84% in the third quarter. IFRS cloud gross profit was up 26% to €3.18 billion. Non-IFRS cloud gross profit was up 27% to €3.21 billion and was up 28% at constant currencies. IFRS operating profit in the third quarter was up 29% to €2.21 billion. Non-IFRS operating profit was up 27% to €2.24 billion and was up 28% at constant currencies. Operating profit growth was mainly driven by strong revenue growth as well as disciplined execution of the 2024 transformation program. IFRS earnings per share (basic) increased 15% to €1.25. Non-IFRS earnings per share (basic) increased 6% to €1.23. IFRS effective tax rate was 33.0% (Q3/2023: 27.8%) and non-IFRS effective tax rate was 33.4% (Q3/2023: 27.1%). Both year-over-year increases mainly resulted from a temporary inability to offset withholding taxes in due to tax losses in 2024 resulting from restructuring. Free cash flow in the third quarter increased by 44% to €1.25 billion. While around €0.3 billion was paid out for restructuring, the positive development was primarily attributable to increased profitability and lower tax payments. For the first nine months, free cash flow was up 47% to €5.03 billion. Share Repurchase Program In , SAP announced a share repurchase program with an aggregate volume of up to €5 billion and a term until . As of , SAP had repurchased 16,709,250 shares at an average price of €157.09 resulting in a purchased volume of approximately €2.62 billion under the program. 2024 Transformation Program: Focus on scalability of operations and key strategic growth areas In 2024, SAP is further increasing its focus on key strategic growth areas, in particular business AI. It is transforming its operational setup to capture organizational synergies and AI-driven efficiencies, and to prepare the company for highly scalable future revenue growth. To this end, as announced in January, SAP is executing a company-wide restructuring program which is anticipated to conclude in early 2025. The restructuring is intended to ensure that SAP's skillset and resources continue to meet future business needs and is currently expected to affect 9,000 to 10,000 positions, a majority of which will be covered by voluntary leave programs and internal re-skilling measures. Reflecting re-investments into strategic growth areas and the acquisition of WalkMe, SAP now expects to exit 2024 at a headcount slightly ahead of year-end 2023. While restructuring expenses recorded in the first nine months of 2024 total €2.8 billion, the overall expenses associated with the program are estimated to be approximately €3 billion. Restructuring payouts in the third quarter and first nine months of 2024 amounted to €0.3 billion and €0.8 billion respectively. Overall payouts associated with the program are currently expected at approximately €3 billion, of which a mid-triple-digit million amount is expected to occur in 2025. On , SAP announced that the SAP Supervisory Board reached a mutual agreement with Chief Technology Officer and Executive Board Member Dr.-Ing. to leave the company's Executive Board, effective . SAP's financial outlook 2024 is based on SAP's updated non-IFRS definition of profit measures which, beginning in 2024, include share-based compensation expenses and exclude gains and losses from equity securities, net. For more details, please refer to the Reporting Framework section on our Investor Relations website: https://www.sap.com/investors/en/reports/reporting-framework.html. For 2024, SAP is updating its cloud and software revenue, operating profit and free cash flow outlook and now expects: SAP continues to expect: While SAP's 2024 financial outlook is at constant currencies, actual currency reported figures are expected to be impacted by currency exchange rate fluctuations as the company progresses through the year, as reflected in the table below. This press release and all information therein is preliminary and unaudited. Due to rounding, numbers may not add up precisely. The full Q3 2024 Quarterly Statement can be downloaded from: https://www.sap.com/investors/sap-2024-q3-statement. SAP Performance Measures For more information about our key growth metrics and performance measures, their calculation, their usefulness, and their limitations, please refer to the following document on our Investor Relations website: https://www.sap.com/investors/performance-measures Webcast SAP senior management will host a financial analyst conference call on at / / / . The conference will be webcast on the Company's website at https://www.sap.com/investor and will be available for replay. Supplementary financial information pertaining to the third quarter results can be found at https://www.sap.com/investor About SAP As¯a global leader in enterprise applications and business AI, SAP (NYSE: SAP)¯stands at the¯nexus¯of business and technology. For over 50 years, organizations have trusted SAP¯to bring out their best by uniting business-critical¯operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit¯www.sap.com. This document contains forward-looking statements, which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumptions that are subject to risks and uncertainties that could cause actual results and outcomes to materially differ. Additional information regarding these risks and uncertainties may be found in our filings with the Securities and Exchange Commission, including but not limited to the risk factors section of SAP's 2023 Annual Report on Form 20-F. © 2024 SAP SE. All rights reserved. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE in and other countries. Please see https://www.sap.com/copyright for additional trademark information and notices The Q3 2024 results were also impacted by other effects. For details, please refer to the disclosures on page 25 of this document. The effective tax rate (non-IFRS) is a non-IFRS financial measure and is presented for supplemental informational purposes only. We do not provide an outlook for the effective tax rate (IFRS) due to the uncertainty and potential variability of gains and losses associated with equity securities, which are reconciling items between the two effective tax rates (non-IFRS and IFRS). These items cannot be provided without unreasonable efforts but could have a significant impact on our future effective tax rate (IFRS).
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SAP Announces Q3 2024 Results - SAP (NYSE:SAP)
Current cloud backlog of €15.4 billion, up 25% and up 29% at constant currenciesCloud revenue up 25% and up 27% at constant currenciesCloud ERP Suite revenue up 34% and up 36% at constant currenciesTotal revenue up 9% and up 10% at constant currenciesIFRS cloud gross profit up 26%, non-IFRS cloud gross profit up 27% and up 28% at constant currenciesIFRS operating profit up 29%, non-IFRS operating profit up 27% and up 28% at constant currenciesSAP raises its 2024 outlook for cloud and software revenue, operating profit and free cash flow WALLDORF, Germany, Oct. 21, 2024 /PRNewswire/ -- SAP SE SAP announced today its financial results for the third quarter ended September 30, 2024. Christian Klein, CEO: Q3 was another strong quarter for SAP, and we are confidently raising our 2024 financial outlook. Cloud revenue growth developed remarkably well in the quarter, especially for our Cloud ERP Suite. Even more importantly, we are making strong progress on Business AI with groundbreaking innovations such as SAP Knowledge Graph. A significant part of our cloud deals in Q3 included AI use cases. Dominik Asam, CFO: We are very pleased with our third quarter performance. The 2024 transformation program has already started to yield efficiency improvements. This allowed us to deliver a strong operating profit and free cash flow, while retaining our topline momentum. We're now focused on carrying that momentum into Q4 to safeguard the achievement of our 2025 ambition amidst a highly volatile environment. Financial Performance Group results at a glance - Third quarter 2024 IFRS Non-IFRS1 € million, unless otherwise stated Q3 2024 Q3 2023 ∆ in % Q3 2024 Q3 2023 ∆ in % ∆ in % const. curr. SaaS/PaaS 4,234 3,291 29 4,234 3,291 29 30 Thereof Cloud ERP Suite2 3,636 2,711 34 3,636 2,711 34 36 Thereof Extension Suite3 597 581 3 597 581 3 4 IaaS4 117 180 -35 117 180 -35 -34 Cloud revenue 4,351 3,472 25 4,351 3,472 25 27 Cloud and software revenue 7,429 6,679 11 7,429 6,679 11 12 Total revenue 8,470 7,744 9 8,470 7,744 9 10 Share of more predictable revenue (in %) 84 82 2pp 84 82 2pp Cloud gross profit 3,184 2,525 26 3,209 2,535 27 28 Gross profit 6,212 5,637 10 6,236 5,651 10 11 Operating profit (loss) 2,214 1,723 29 2,244 1,767 27 28 Profit (loss) after tax from continuing operations 1,441 1,272 13 1,437 1,352 6 Profit (loss) after tax5 1,441 1,272 13 1,437 1,352 6 Earnings per share - Basic (in €) from continuing operations 1.25 1.09 15 1.23 1.16 6 Earnings per share - Basic (in €)5 1.25 1.09 15 1.23 1.16 6 Net cash flows from operating activities from continuing operations 1,475 1,124 31 Free cash flow 1,248 865 44 1 For a breakdown of the individual adjustments see table "Non-IFRS Operating Expense Adjustments by Functional Areas" in this Quarterly Statement. 2 Cloud ERP Suite references the portfolio of strategic Software-as-a-Service (SaaS) and Platform-as-a-Service (PaaS) solutions that are tightly integrated with our core ERP solutions and are included in key commercial packages, such as RISE with SAP. The following offerings contribute to Cloud ERP Suite revenue: SAP S/4HANA Cloud, SAP Business Technology Platform, and core solutions for HR and payroll, spend management, commerce, customer data solutions, business process transformation, and working capital management. For additional information and historical data on Cloud ERP Suite, see SAP's Reporting Framework. 3 Extension Suite references SAP's remaining SaaS and PaaS solutions that supplement and extend the functional coverage of the Cloud ERP Suite. 4 Infrastructure as a service (IaaS): The major portion of IaaS comes from SAP HANA Enterprise Cloud. 5 From continuing and discontinued operations. Group results at a glance - Nine months ended September 2024 IFRS Non-IFRS1 € million, unless otherwise stated Q1-Q3 2024 Q1-Q3 2023 ∆ in % Q1-Q3 2024 Q1-Q3 2023 ∆ in % ∆ in % const. curr. SaaS/PaaS 12,016 9,401 28 12,016 9,401 28 29 Thereof Cloud ERP Suite revenue2 10,217 7,695 33 10,217 7,695 33 34 Thereof Extension Suite revenue3 1,799 1,706 5 1,799 1,706 5 6 IaaS4 417 564 -26 417 564 -26 -25 Cloud revenue 12,433 9,965 25 12,433 9,965 25 26 Cloud and software revenue 21,563 19,542 10 21,563 19,542 10 11 Total revenue 24,798 22,739 9 24,798 22,739 9 10 Share of more predictable revenue (in %) 84 82 2pp 84 82 2pp Cloud gross profit 9,052 7,121 27 9,101 7,152 27 28 Gross profit 17,990 16,330 10 18,039 16,388 10 11 Operating profit (loss) 2,648 3,897 -32 5,717 4,546 26 27 Profit (loss) after tax from continuing operations 1,534 2,399 -36 3,660 3,019 21 Profit (loss) after tax5 1,534 4,763 -68 3,660 4,801 -24 Earnings per share - Basic (in €) from continuing operations 1.31 2.07 -37 3.13 2.59 21 Earnings per share - Basic (in €)5 1.31 4.21 -69 3.13 4.39 -29 Net cash flows from operating activities from continuing operations 5,772 4,284 35 Free cash flow 5,031 3,423 47 1 For a breakdown of the individual adjustments see table "Non-IFRS Operating Expense Adjustments by Functional Areas" in this Quarterly Statement. 2 Cloud ERP Suite references the portfolio of strategic Software-as-a-Service (SaaS) and Platform-as-a-Service (PaaS) solutions that are tightly integrated with our core ERP solutions and are included in key commercial packages, such as RISE with SAP. The following offerings contribute to Cloud ERP Suite revenue: SAP S/4HANA Cloud, SAP Business Technology Platform, and core solutions for HR and payroll, spend management, commerce, customer data solutions, business process transformation, and working capital management. For additional information and historical data on Cloud ERP Suite, see SAP's Reporting Framework. 3 Extension Suite references SAP's remaining SaaS and PaaS solutions that supplement and extend the functional coverage of the Cloud ERP Suite. 4 Infrastructure as a service (IaaS): The major portion of IaaS comes from SAP HANA Enterprise Cloud. 5 From continuing and discontinued operations. Financial Highlights1 Third Quarter 2024 In the third quarter, SAP's strong business momentum continued. Current cloud backlog grew by 25% to €15.38 billion and was up 29% at constant currencies. The acquisition of WalkMe contributed approximately 1 percentage point to that growth rate. Cloud revenue was up 25% to €4.35 billion and up 27% at constant currencies, fueled by Cloud ERP Suite revenue, which was up 34% to €3.64 billion and up 36% at constant currencies. Software licenses revenue decreased by 15% to €0.28 billion and was down 14% at constant currencies. Cloud and software revenue was up 11% to €7.43 billion and up 12% at constant currencies. Services revenue was down 2% to €1.04 billion and down 2% at constant currencies. Total revenue was up 9% to €8.47 billion and up 10% at constant currencies. The share of more predictable revenue increased by 2 percentage points to 84% in the third quarter. IFRS cloud gross profit was up 26% to €3.18 billion. Non-IFRS cloud gross profit was up 27% to €3.21 billion and was up 28% at constant currencies. IFRS operating profit in the third quarter was up 29% to €2.21 billion. Non-IFRS operating profit was up 27% to €2.24 billion and was up 28% at constant currencies. Operating profit growth was mainly driven by strong revenue growth as well as disciplined execution of the 2024 transformation program. IFRS earnings per share (basic) increased 15% to €1.25. Non-IFRS earnings per share (basic) increased 6% to €1.23. IFRS effective tax rate was 33.0% (Q3/2023: 27.8%) and non-IFRS effective tax rate was 33.4% (Q3/2023: 27.1%). Both year-over-year increases mainly resulted from a temporary inability to offset withholding taxes in Germany due to tax losses in 2024 resulting from restructuring. Free cash flow in the third quarter increased by 44% to €1.25 billion. While around €0.3 billion was paid out for restructuring, the positive development was primarily attributable to increased profitability and lower tax payments. For the first nine months, free cash flow was up 47% to €5.03 billion. Share Repurchase Program In May 2023, SAP announced a share repurchase program with an aggregate volume of up to €5 billion and a term until December 31, 2025. As of September 30, 2024, SAP had repurchased 16,709,250 shares at an average price of €157.09 resulting in a purchased volume of approximately €2.62 billion under the program. 2024 Transformation Program: Focus on scalability of operations and key strategic growth areas In 2024, SAP is further increasing its focus on key strategic growth areas, in particular business AI. It is transforming its operational setup to capture organizational synergies and AI-driven efficiencies, and to prepare the company for highly scalable future revenue growth. To this end, as announced in January, SAP is executing a company-wide restructuring program which is anticipated to conclude in early 2025. The restructuring is intended to ensure that SAP's skillset and resources continue to meet future business needs and is currently expected to affect 9,000 to 10,000 positions, a majority of which will be covered by voluntary leave programs and internal re-skilling measures. Reflecting re-investments into strategic growth areas and the acquisition of WalkMe, SAP now expects to exit 2024 at a headcount slightly ahead of year-end 2023. While restructuring expenses recorded in the first nine months of 2024 total €2.8 billion, the overall expenses associated with the program are estimated to be approximately €3 billion. Restructuring payouts in the third quarter and first nine months of 2024 amounted to €0.3 billion and €0.8 billion respectively. Overall payouts associated with the program are currently expected at approximately €3 billion, of which a mid-triple-digit million amount is expected to occur in 2025. Business Highlights In the third quarter, customers around the globe continued to choose "RISE with SAP" to drive their end-to-end business transformations. These customers included: B3, CAF - the Development Bank of Latin America and the Caribbean, Chalhoub Group, Cochlear, Dakota Provisions, E.ON, eBay, Energy Queensland, Equinor, FairPrice Group, Gestamp Servicios, JAPAN AIRLINES, Lands' End, Mercado Libre, Mondelez International, OLAM Global Agri, Roche, Rolls-Royce Power Systems, Schwarz Group, Siemens Healthineers, Southern Glazer's Wine & Spirits, SRAM, Tetra Pak, ZEON Corporation, and Zwilling. Clorox, CPKC Railways, J.M. VOITH, KAESER KOMPRESSOREN, Nvidia, Panasonic Energy of North America, and VistaPrint went live on SAP S/4HANA Cloud in the third quarter. Dawn Foods, DXC Technology, Gainsight, L'OCCITANE Group, Mistral AI, Palmer Candy, The Pool Tile Company, and SCHURTER Holding chose "GROW with SAP", an offering helping customers adopt cloud ERP with speed, predictability, and continuous innovation. Key customer wins across SAP's solution portfolio included: AAK, Aramark, Bosideng, BY-HEALTH, Continental Automotive Technologies, Duni Group, Hamburg Commercial Bank, HR Campus, Kruger Services, Manchester City Council, Merck KGaA, PayPal, pfm medical, RWE, and VP Bank. Breakthru Beverage Group, Cox Automotive Australia, and Heartland Dental went live on SAP solutions. In the third quarter, SAP's cloud revenue performance was particularly strong in APJ and EMEA and robust in the Americas region. Brazil, Chile, Germany, Italy, India, Japan and Spain had outstanding performances in cloud revenue growth while China, Saudi Arabia and the U.S. were particularly strong. On July 30, SAP announced that the SAP Supervisory Board reached a mutual agreement with Executive Board Members Scott Russell and Julia White to leave the company's Executive Board, effective August 31. On September 3, SAP announced that the SAP Supervisory Board reached a mutual agreement with Chief Technology Officer and Executive Board Member Dr.-Ing. Juergen Mueller to leave the company's Executive Board, effective September 30, 2024. On September 12, SAP announced that it successfully completed its acquisition of WalkMe Ltd., a leading digital adoption platform company. Financial Outlook 2024 SAP's financial outlook 2024 is based on SAP's updated non-IFRS definition of profit measures which, beginning in 2024, include share-based compensation expenses and exclude gains and losses from equity securities, net. For more details, please refer to the Reporting Framework section on our Investor Relations website: https://www.sap.com/investors/en/reports/reporting-framework.html. For 2024, SAP is updating its cloud and software revenue, operating profit and free cash flow outlook and now expects: €29.5 - 29.8 billion cloud and software revenue at constant currencies (2023: €26.92 billion), up 10% to 11% at constant currencies, raising the midpoint by €400 million. The previous range was €29.0 - 29.5 billion at constant currencies.€7.8 - 8.0 billion non-IFRS operating profit at constant currencies (2023: €6.51 billion), up 20% to 23% at constant currencies, raising the midpoint by €150 million. The previous range was €7.6 - 7.9 billion at constant currencies.€3.5 - 4.0 billion free cash flow (2023: €5.09 billion). The previous outlook was approximately €3.5 billion. SAP continues to expect: €17.0 - 17.3 billion cloud revenue at constant currencies (2023: €13.66 billion), up 24% to 27% at constant currencies.An effective tax rate (non-IFRS) of approximately 32% (2023: 30.3%)2. While SAP's 2024 financial outlook is at constant currencies, actual currency reported figures are expected to be impacted by currency exchange rate fluctuations as the company progresses through the year, as reflected in the table below. Currency Impact Assuming September 30, 2024 Rates Apply for 2024 In percentage points Q4 2024 FY 2024 Cloud revenue growth -3.0pp -1.0pp Cloud and software revenue growth -2.0pp -1.0pp Operating profit growth (non-IFRS) -2.0pp -2.0pp Non-Financial Outlook 2024 In 2024, SAP continues to expect: The Employee Engagement Index to be in a range of 70% to 74%.A Customer Net Promoter Score of 9 to 13.To steadily decrease carbon emissions across the relevant value chain, in line with our target of achieving Net Zero carbon emissions by 2030. To steadily increase the number of women in executive roles in line with our end of year 2027 target to achieve 25%. Additional Information This press release and all information therein is preliminary and unaudited. Due to rounding, numbers may not add up precisely. The full Q3 2024 Quarterly Statement can be downloaded from: https://www.sap.com/investors/sap-2024-q3-statement. SAP Performance Measures For more information about our key growth metrics and performance measures, their calculation, their usefulness, and their limitations, please refer to the following document on our Investor Relations website: https://www.sap.com/investors/performance-measures Webcast SAP senior management will host a financial analyst conference call on Monday, October 21st at 11:00 PM (CEST) / 10:00 PM (BST) / 5:00 PM (EDT) / 2:00 PM (PDT). The conference will be webcast on the Company's website at https://www.sap.com/investor and will be available for replay. Supplementary financial information pertaining to the third quarter results can be found at https://www.sap.com/investor About SAP As a global leader in enterprise applications and business AI, SAP SAP stands at the nexus of business and technology. For over 50 years, organizations have trusted SAP to bring out their best by uniting business-critical operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit www.sap.com. For customers interested in learning more about SAP products: Global Customer Center: +49 180 534-34-24 United States Only: +1 (800) 872-1SAP (+1-800-872-1727) This document contains forward-looking statements, which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumptions that are subject to risks and uncertainties that could cause actual results and outcomes to materially differ. Additional information regarding these risks and uncertainties may be found in our filings with the Securities and Exchange Commission, including but not limited to the risk factors section of SAP's 2023 Annual Report on Form 20-F. © 2024 SAP SE. All rights reserved. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE in Germany and other countries. Please see https://www.sap.com/copyright for additional trademark information and notices 1The Q3 2024 results were also impacted by other effects. For details, please refer to the disclosures on page 25 of this document. 2 The effective tax rate (non-IFRS) is a non-IFRS financial measure and is presented for supplemental informational purposes only. We do not provide an outlook for the effective tax rate (IFRS) due to the uncertainty and potential variability of gains and losses associated with equity securities, which are reconciling items between the two effective tax rates (non-IFRS and IFRS). These items cannot be provided without unreasonable efforts but could have a significant impact on our future effective tax rate (IFRS). 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SAP announces robust Q3 2024 financial results, highlighting significant cloud revenue growth and progress in Business AI integration. The company raises its 2024 financial outlook and continues its transformation program.
SAP's Q3 2024 Performance Highlights
SAP SE has reported strong financial results for the third quarter of 2024, demonstrating significant growth in cloud revenue and progress in AI integration. The company's CEO, Christian Klein, expressed confidence in raising the 2024 financial outlook, citing remarkable development in cloud revenue growth, particularly for the Cloud ERP Suite
1
.Key financial highlights for Q3 2024 include:
- Current cloud backlog grew by 25% to €15.7 billion (29% at constant currencies)
- Cloud revenue increased by 25% to €4.35 billion (27% at constant currencies)
- Cloud ERP Suite revenue rose by 34% to €3.64 billion (36% at constant currencies)
- Total revenue was up 9% to €8.47 billion (10% at constant currencies)
- IFRS operating profit increased by 29% to €2.21 billion
- Non-IFRS operating profit grew by 27% to €2.24 billion (28% at constant currencies)
The share of more predictable revenue increased by 2 percentage points to 84% in the third quarter
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.AI Integration and Business Innovations
SAP reported significant progress in Business AI, with groundbreaking innovations such as the SAP Knowledge Graph. The company noted that a substantial portion of cloud deals in Q3 included AI use cases, indicating growing adoption of AI technologies among its customers
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.2024 Transformation Program
SAP's CFO, Dominik Asam, highlighted that the 2024 transformation program has already begun to yield efficiency improvements. This has allowed the company to deliver strong operating profit and free cash flow while maintaining topline momentum
2
.The transformation program, announced in January, aims to increase focus on key strategic growth areas, particularly business AI. It involves a company-wide restructuring expected to affect 9,000 to 10,000 positions, with a majority covered by voluntary leave programs and internal re-skilling measures
1
.Related Stories
Financial Outlook and Share Repurchase Program
SAP has raised its 2024 outlook for cloud and software revenue, operating profit, and free cash flow. The company continues to execute its share repurchase program, which was announced in September 2022 with an aggregate volume of up to €5 billion. As of September 30, 2024, SAP had repurchased 16,709,250 shares at an average price of €157.94, resulting in a purchased volume of approximately €2.64 billion
1
.Executive Board Changes
On October 19, 2024, SAP announced that Chief Technology Officer and Executive Board Member Dr. Juergen Mueller would leave the company's Executive Board, effective October 31, 2024
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.As SAP continues to focus on AI integration and cloud services, these Q3 results demonstrate the company's strong position in the enterprise software market and its commitment to innovation in the face of a rapidly evolving technological landscape.
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