SAP Announces First Quarter 2015 Results
Cloud Revenue up 131%, SAP Business Network Revenue up 207%
HANA Soars, Driving Cloud and Software Revenue up 24%
WALLDORF, Germany, April 21, 2015 /PRNewswire/ --
- Strong Growth in New Cloud Bookings: Up 121%
- Strong Topline Performance: Non-IFRS Cloud and Software Revenue Increased 24% to €3.66 Billion – All Regions Show Double-Digit Growth
- Fast Start for SAP S/4HANA: Over 370 Customers Already
- Non-IFRS Operating Profit Increased 15% to €1.06 Billion
- Reiterates Full Year 2015 Outlook
SAP SE (NYSE: SAP) today announced its financial results for the first quarter ending March 31, 2015.
BUSINESS HIGHLIGHTS IN THE FIRST QUARTER 2015
SAP again delivered exceptionally strong growth in the cloud. First quarter non-IFRS cloud subscriptions and support revenue grew 131% year-over-year (95% at constant currencies).[1] New cloud bookings, the key measure for SAP's sales success in the cloud, increased 121% in the first quarter to €120 million.[2]
The Company had a very strong cloud and software revenue performance with 24% growth in non-IFRS cloud and software revenue (12% at constant currencies) to €3.66 billion.
Non-IFRS operating profit increased 15% (decrease of 2% at constant currencies) to €1.06 billion.
"We are pleased to report triple-digit growth in both cloud and our business network segment which started on a high note," said Bill McDermott, CEO of SAP. "SAP S/4HANA saw robust early traction and is catalyzing momentum across SAP. We are a strong growth company with every region growing in double digits in cloud and software revenue this quarter. We remain ever focused on seamless execution of our consistent, customer-driven strategy."
"SAP's customer centricity and commitment to investing in innovation are paying off," said Luka Mucic, CFO of SAP. "We grew our cloud and software revenue by 24% and increased our operating profit by 15% surpassing €1 billion in a first quarter for the first time as currency shifted to a tailwind."
SAP HANA continues to be a major growth driver for the Company. This quarter the number of HANA customers surpassed 6,400, almost doubling from just one year ago. SAP S/4HANA's robust early traction – more than 370 SAP S/4HANA customers year-to-date – was a major catalyst in HANA's broader market adoption across all industries and regions.
SAP HANA also continues to evolve as a development platform. The HANA Cloud Platform, our Platform as a Service offering, enables organizations to extend and customize SAP applications quickly and easily in the cloud. This new offering is building significant momentum and has already attracted approximately 1,400 customers in a short period of time.
SAP Business Network is the world's largest network of its kind. Total revenue in the SAP Business Network segment was €368 million (€308 million at constant currencies) in the first quarter, a year-over-year increase of 207% (157% at constant currencies). 1.8 million connected companies trade over $750 billion of frictionless commerce[3] on this network. SAP Business Network brings together Ariba, Concur and Fieldglass into one operating unit which is reported as a separate business segment.
First Quarter 2015 Regional Revenue
SAP showed a strong performance in the EMEA region in both the core and the cloud business. Cloud traction was exceptional with cloud subscriptions and support revenue growing by 114% driven by a very strong performance in the UK. As expected the macro and political environment continued to weigh on SAP's business in Russia and Ukraine but double-digit software licenses revenue growth in Germany pushed EMEA to a 13% increase in non-IFRS cloud and software revenue.
In the Americas region, non-IFRS cloud subscriptions and support revenue grew by 136%. Non-IFRS cloud and software revenue increased 34% year-over-year, driven by triple-digit growth in cloud subscriptions and support revenue in the United States. Brazil bounced back with strong double-digit software license revenue growth.
The Company had an exceptional quarter in APJ. Non-IFRS cloud subscriptions and support revenue grew by 137% driven by a very strong quarter in India. Non-IFRS cloud and software revenue increased by 38%. Japan stood out with strong double-digit growth in software licenses revenue.
FINANCIAL RESULTS IN DETAIL
|
FINANCIAL HIGHLIGHTS – First Quarter 2015 |
|
First Quarter 20151) | |||||||
|
IFRS |
Non-IFRS2) |
||||||
|
€ million, unless otherwise stated |
Q1 2015 |
Q1 2014 |
% change |
Q1 2015 |
Q1 2014 |
% change |
% change const. curr. |
|
Cloud subscriptions and support |
503 |
219 |
129 |
509 |
221 |
131 |
95 |
|
Software licenses |
696 |
623 |
12 |
696 |
623 |
12 |
1 |
|
Software support |
2,454 |
2,097 |
17 |
2,454 |
2,098 |
17 |
7 |
|
Software licenses and support |
3,150 |
2,720 |
16 |
3,150 |
2,722 |
16 |
5 |
|
Cloud and software |
3,653 |
2,939 |
24 |
3,659 |
2,942 |
24 |
12 |
|
Total revenue |
4,497 |
3,698 |
22 |
4,502 |
3,701 |
22 |
10 |
|
Total operating expenses |
–3,859 |
–2,975 |
30 |
–3,446 |
–2,782 |
24 |
13 |
|
Operating profit |
638 |
723 |
–12 |
1,056 |
919 |
15 |
–2 |
|
Operating margin (%) |
14.2 |
19.5 |
–5.4pp |
23.5 |
24.8 |
–1.4pp |
–2.6pp |
|
Profit after tax |
413 |
534 |
–23 |
697 |
667 |
5 |
|
|
Basic earnings per share (€) |
0.35 |
0.45 |
–23 |
0.58 |
0.56 |
5 |
|
|
Number of employees (FTE) |
74,551 |
66,750 |
12 |
N/A |
N/A |
N/A |
N/A |
|
1) All figures are unaudited. |
|
2) For a detailed description of SAP's non-IFRS measures see Explanation of Non-IFRS Measures online. For a breakdown of the individual adjustments see page F5 in the appendix to this press release. |
IFRS cloud subscriptions and support revenue was €503 million (2014: €219 million), an increase of 129%. Non-IFRS cloud subscriptions and support revenue was €509 million (2014: €221 million), an increase of 131% (95% at constant currencies). IFRS software licenses and support revenue was €3.15 billion (2014: €2.72 billion), an increase of 16%. Non-IFRS software licenses and support revenue was €3.15 billion (2014: €2.72 billion), an increase of 16% (5% at constant currencies). IFRS cloud and software revenue was €3.65 billion (2014: €2.94 billion), an increase of 24%. Non-IFRS cloud and software revenue was €3.66 billion (2014: €2.94 billion), an increase of 24% (12% at constant currencies). IFRS total revenue was €4.50 billion (2014: €3.70 billion), an increase of 22%. Non-IFRS total revenue was €4.50 billion (2014: €3.70 billion), an increase of 22% (10% at constant currencies).
IFRS operating profit was €638 million (2014: €723 million), a decrease of 12%. Non-IFRS operating profit was €1.06 billion (2014: €919 million), an increase of 15% (a decrease of 2% at constant currencies). IFRS operating margin was 14.2% (2014: 19.5%), a decrease of 5.4 percentage points. Non-IFRS operating margin was 23.5% (2014: 24.8%), a decrease of 1.4 percentage points (2.6 percentage points at constant currencies).
IFRS profit after tax was €413 million (2014: €534 million), a decrease of 23%. Non-IFRS profit after tax was €697 million (2014: €667 million), an increase of 5%. IFRS basic earnings per share was €0.35 (2014: €0.45), a decrease of 23%. Non-IFRS basic earnings per share was €0.58 (2014: €0.56), an increase of 5%. The IFRS and non-IFRS effective tax rates in the first quarter of 2015 were 13.6% (2014: 24.1%) and 22.3% (2014: 25.9%), respectively.
Cash Flow – Three Months 2015
Operating cash flow was €2.37 billion (2014: €2.35 billion), an increase of 1% year-over-year. Free cash flow increased slightly year-over-year to €2.23 billion (2014: €2.22 billion). Free cash flow was 50% of total revenue (2014: 60%). At March 31, 2015, SAP had a total group liquidity of €5.33 billion (December 31, 2014: €3.42 billion), which includes cash and cash equivalents and short term investments. Net liquidity at March 31, 2015 was -€5.19 billion compared to -€7.67 billion at December 31, 2014.
BUSINESS OUTLOOK 2015
The Company reiterates the following 2015 outlook:
- Based on the strong momentum in SAP's cloud business the Company expects full-year 2015 non-IFRS cloud subscriptions and support revenue to be in a range of €1.95 - €2.05 billion at constant currencies (2014: €1.10 billion). The upper end of this range represents a growth rate of 86% at constant currencies. Concur and Fieldglass are expected to contribute approximately 50 percentage points to this growth.
- The Company expects full year 2015 non-IFRS cloud and software revenue to increase by 8% - 10% at constant currencies (2014: €14.33 billion).
- The Company expects full-year 2015 non-IFRS operating profit to be in a range of €5.6 billion - €5.9 billion at constant currencies (2014: €5.64 billion).
While the Company's full-year 2015 business outlook is at constant currencies, actual currency reported figures are expected to continue to be impacted by currency exchange rate fluctuations. If exchange rates remain at the March 2015 average rates for the rest of the year, the Company expects its non-IFRS cloud and software revenue growth rate to experience a currency benefit in a range of 8 to 11 percentage points for the full-year 2015 (10 to 13 percentage points for the second quarter 2015) and its non-IFRS operating profit growth rate at actual currencies to experience a currency benefit in a range of 10 to 13 percentage points for the full-year 2015 (12 to 15 percentage points for the second quarter 2015).
Additional Information
2015 revenue and profit figures include the full revenue and profit from Concur and Fieldglass. The comparative numbers for 2014 include Concur and Fieldglass starting December 4 and May 2, respectively.
For a more detailed description of all of SAP's non-IFRS measures and their limitations as well as our constant currency and free cash flow figures see Explanation of Non-IFRS Measures online.
First Quarter 2015 Interim Report
SAP's first quarter 2015 Interim Report was published today and is available for download at www.sap.com/investor.
Webcast
SAP senior management will host a conference call for financial analysts on Tuesday, April 21st at 2:00 PM (CEST) / 1:00 PM (GMT) / 8:00 AM (EDT) / 5:00 AM (PDT). The conference call will be web cast live on the Company's website at www.sap.com/investor and will be available for replay.
About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 291,000 customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.
Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.
© 2015 SAP SE. All rights reserved.
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Follow SAP Investor Relations on Twitter at @sapinvestor. | ||
1 For the first quarter 2015, Fieldglass contributed €19 million and Concur contributed €128 million to SAP's Non-IFRS cloud subscriptions and support revenue at constant currencies.
2 New cloud bookings consist of all order entry of a given period that is expected to be classified as cloud subscription and support revenue and results from purchases by new customers and from incremental purchases by existing customers. The order amount must be contractually committed (i.e. variable amounts from pay-per-use and similar arrangements are not included). Consequently, due to their uncommitted pay-per-use nature Ariba and Fieldglass network transaction fees are not reflected in the new cloud bookings metric. Amounts included in the measure are annualized. Concur contributed €35 million to SAP's new cloud bookings in the first quarter.
3 Network spend volume is the total value of purchase orders transacted on the Ariba, Concur and Fieldglass Networks in the trailing 12 months.
Appendix – Financial Information to Follow
|
FINANCIAL INFORMATION | ||
|
FOR THE FIRST QUARTER 2015 | ||
|
(Condensed and Unaudited) | ||
|
Page | ||
|
Financial Statements (IFRS, Unaudited) |
||
|
Consolidated Income Statements |
F1 | |
|
Consolidated Statements of Financial Position |
F2 | |
|
Consolidated Statements of Cash Flows |
F3 | |
|
Supplementary Financial Information (Unaudited) |
||
|
Reconciliation from Non-IFRS Numbers to IFRS Numbers |
F4 | |
|
Explanation of Non-IFRS Adjustments |
F5 | |
|
Revenue by Region |
F6 | |
|
Financial Statements (IFRS, Unaudited) | ||||
|
CONSOLIDATED INCOME STATEMENTS OF SAP GROUP – QUARTER | ||||
|
For the three months ended March 31 | ||||
|
€ millions, unless otherwise stated |
2015 |
2014 |
Change in % | |
|
Cloud subscriptions and support |
503 |
219 |
>100 | |
|
Software licenses |
696 |
623 |
12 | |
|
Software support |
2,454 |
2,097 |
17 | |
|
Software licenses and support |
3,150 |
2,720 |
16 | |
|
Cloud and software |
3,653 |
2,939 |
24 | |
|
Services |
844 |
759 |
11 | |
|
Total revenue |
4,497 |
3,698 |
22 | |
|
Cost of cloud subscriptions and support |
–197 |
–84 |
>100 | |
|
Cost of software licenses and support |
–543 |
–499 |
9 | |
|
Cost of cloud and software |
–740 |
–583 |
27 | |
|
Cost of services |
–819 |
–654 |
25 | |
|
Total cost of revenue |
–1,559 |
–1,236 |
26 | |
|
Gross profit |
2,937 |
2,462 |
19 | |
|
Research and development |
–724 |
–549 |
32 | |
|
Sales and marketing |
–1,253 |
–968 |
30 | |
|
General and administration |
–272 |
–205 |
33 | |
|
Restructuring |
–51 |
–15 |
>100 | |
|
TomorrowNow and Versata litigation |
0 |
–1 |
<-100 | |
|
Other operating income/expense, net |
–1 |
–2 |
–47 | |
|
Total operating expenses |
–3,859 |
–2,975 |
30 | |
|
Operating profit |
638 |
723 |
–12 | |
|
Other non-operating income/expense, net |
–148 |
–11 |
>100 | |
|
Finance income |
48 |
22 |
>100 | |
|
Finance costs |
–59 |
–31 |
92 | |
|
Financial income, net |
–11 |
–9 |
26 | |
|
Profit before tax |
478 |
704 |
–32 | |
|
Income tax expense |
–65 |
–170 |
–62 | |
|
Profit after tax |
413 |
534 |
–23 | |
|
attributable to owners of parent |
414 |
534 |
–23 | |
|
attributable to non-controlling interests |
0 |
0 |
24 | |
|
Earnings per share, basic (in €)* |
0.35 |
0.45 |
–23 | |
|
Earnings per share, diluted (in €)* |
0.35 |
0.45 |
–23 | |
|
* For the three months ended March 31, 2015 and 2014, the weighted average number of shares was 1,195 million (diluted 1,198 million) and 1,194 million (diluted: 1,196 million), respectively (treasury stock excluded). | ||||
|
Due to rounding, numbers may not add up precisely. | ||||
|
F1 | ||||
|
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION OF SAP GROUP | |||
|
as at March 31, 2015 and December 31, 2014 | |||
|
€ millions |
2015 |
2014 | |
|
Cash and cash equivalents |
4,635 |
3,328 | |
|
Other financial assets |
959 |
678 | |
|
Trade and other receivables |
5,536 |
4,330 | |
|
Other non-financial assets |
485 |
431 | |
|
Tax assets |
241 |
214 | |
|
Total current assets |
11,855 |
8,980 | |
|
Goodwill |
22,838 |
20,945 | |
|
Intangible assets |
4,895 |
4,608 | |
|
Property, plant, and equipment |
2,184 |
2,102 | |
|
Other financial assets |
1,217 |
1,021 | |
|
Trade and other receivables |
90 |
100 | |
|
Other non-financial assets |
168 |
164 | |
|
Tax assets |
261 |
231 | |
|
Deferred tax assets |
422 |
355 | |
|
Total non-current assets |
32,076 |
29,527 | |
|
Total assets |
43,931 |
38,507 | |
|
as at March 31, 2015 and December 31, 2014 | |||
|
€ millions |
2015 |
2014 | |
|
Trade and other payables |
956 |
1,007 | |
|
Tax liabilities |
164 |
339 | |
|
Financial liabilities |
1,883 |
2,561 | |
|
Other non-financial liabilities |
2,201 |
2,807 | |
|
Provision TomorrowNow and Versata litigation |
0 |
1 | |
|
Other provisions |
215 |
149 | |
|
Provisions |
216 |
150 | |
|
Deferred income |
5,534 |
1,681 | |
|
Total current liabilities |
10,954 |
8,544 | |
|
Trade and other payables |
60 |
55 | |
|
Tax liabilities |
409 |
371 | |
|
Financial liabilities |
9,282 |
8,980 | |
|
Other non-financial liabilities |
244 |
219 | |
|
Provisions |
182 |
149 | |
|
Deferred tax liabilities |
431 |
513 | |
|
Deferred income |
68 |
78 | |
|
Total non-current liabilities |
10,676 |
10,366 | |
|
Total liabilities |
21,629 |
18,909 | |
|
Issued capital |
1,229 |
1,229 | |
|
Share premium |
639 |
614 | |
|
Retained earnings |
18,722 |
18,317 | |
|
Other components of equity |
2,839 |
568 | |
|
Treasury shares |
–1,220 |
–1,224 | |
|
Equity attributable to owners of parent |
22,209 |
19,504 | |
|
Non-controlling interests |
93 |
94 | |
|
Total equity |
22,302 |
19,598 | |
|
Total equity and liabilities |
43,931 |
38,507 | |
|
Due to rounding, numbers may not add up precisely. | |||
|
F2 | |||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS OF SAP GROUP | ||
|
For the three months ended March 31 | ||
|
€ millions |
2015 |
2014 |
|
Profit after tax |
413 |
534 |
|
Adjustments to reconcile profit after taxes to net cash provided by operating activities: |
||
|
Depreciation and amortization |
321 |
235 |
|
Income tax expense |
65 |
170 |
|
Financial income, net |
11 |
9 |
|
Decrease/increase in sales and bad debt allowances on trade receivables |
18 |
15 |
|
Other adjustments for non-cash items |
–2 |
24 |
|
Decrease/increase in trade and other receivables |
–890 |
–17 |
|
Decrease/increase in other assets |
–145 |
–86 |
|
Decrease/increase in trade payables, provisions, and other liabilities |
–567 |
–827 |
|
Decrease/increase in deferred income |
3,556 |
2,727 |
|
Interest paid |
–32 |
–17 |
|
Interest received |
23 |
12 |
|
Income taxes paid, net of refunds |
–405 |
–427 |
|
Net cash flows from operating activities |
2,366 |
2,352 |
|
Business combinations, net of cash and cash equivalents acquired |
–10 |
–3 |
|
Cash receipts from derivative financial instruments related to business combinations |
266 |
0 |
|
Total cashflows for business combinations, net of cash and cash equivalents acquired |
256 |
–3 |
|
Purchase of intangible assets and property, plant, and equipment |
–139 |
–130 |
|
Proceeds from sales of intangible assets or property, plant, and equipment |
16 |
14 |
|
Purchase of equity or debt instruments of other entities |
–755 |
–562 |
|
Proceeds from sales of equity or debt instruments of other entities |
122 |
85 |
|
Net cash flows from investing activities |
–500 |
–596 |
|
Proceeds from reissuance of treasury shares |
6 |
5 |
|
Proceeds from borrowings |
2 |
0 |
|
Repayments of borrowings |
–770 |
0 |
|
Net cash flows from financing activities |
–762 |
5 |
|
Effect of foreign currency rates on cash and cash equivalents |
203 |
4 |
|
Net decrease/increase in cash and cash equivalents |
1,307 |
1,765 |
|
Cash and cash equivalents at the beginning of the period |
3,328 |
2,748 |
|
Cash and cash equivalents at the end of the period |
4,635 |
4,513 |
|
Due to rounding, numbers may not add up precisely. | ||
|
F3 | ||
|
Supplementary Financial Information (Unaudited) | |||||||||||
|
RECONCILIATION FROM NON-IFRS NUMBERS TO IFRS NUMBERS | |||||||||||
|
The following tables present a reconciliation from our non-IFRS numbers (including our non-IFRS at constant currency numbers) to the respective most comparable IFRS numbers. Note: Our non-IFRS numbers are not prepared under a comprehensive set of accounting rules or principles. | |||||||||||
|
For the three months ended March 31 | |||||||||||
|
€ millions, unless otherwise stated |
2015 |
2014 |
Change in % | ||||||||
|
IFRS |
Adj.* |
Non-IFRS* |
Currency Impact** |
Non-IFRS Constant Currency** |
IFRS |
Adj.* |
Non-IFRS* |
IFRS |
Non-IFRS* |
Non-IFRS Constant Currency** | |
|
Revenue Numbers |
|||||||||||
|
Cloud subscriptions and support |
503 |
6 |
509 |
–78 |
430 |
219 |
1 |
221 |
129 |
131 |
95 |
|
Software licenses |
696 |
0 |
696 |
–70 |
626 |
623 |
0 |
623 |
12 |
12 |
1 |
|
Software support |
2,454 |
0 |
2,454 |
–217 |
2,237 |
2,097 |
2 |
2,098 |
17 |
17 |
7 |
|
Software licenses and support |
3,150 |
0 |
3,150 |
–287 |
2,863 |
2,720 |
2 |
2,722 |
16 |
16 |
5 |
|
Cloud and software |
3,653 |
6 |
3,659 |
–365 |
3,294 |
2,939 |
3 |
2,942 |
24 |
24 |
12 |
|
Services |
844 |
0 |
844 |
–84 |
760 |
759 |
0 |
759 |
11 |
11 |
0 |
|
Total revenue |
4,497 |
6 |
4,502 |
–449 |
4,054 |
3,698 |
3 |
3,701 |
22 |
22 |
10 |
|
Operating Expense Numbers |
|||||||||||
|
Cost of cloud subscriptions and support |
–197 |
22 |
–175 |
–84 |
19 |
–65 |
>100 |
>100 |
|||
|
Cost of software licenses and support |
–543 |
73 |
–470 |
–499 |
60 |
–439 |
9 |
7 |
|||
|
Cost of cloud and software |
–740 |
96 |
–644 |
–583 |
79 |
–504 |
27 |
28 |
|||
|
Cost of services |
–819 |
51 |
–768 |
–654 |
26 |
–628 |
25 |
22 |
|||
|
Total cost of revenue |
–1,559 |
147 |
–1,412 |
–1,236 |
105 |
–1,132 |
26 |
25 |
|||
|
Gross profit |
2,937 |
152 |
3,090 |
2,462 |
108 |
2,570 |
19 |
20 |
|||
|
Research and development |
–724 |
81 |
–643 |
–549 |
23 |
–526 |
32 |
22 |
|||
|
Sales and marketing |
–1,253 |
93 |
–1,160 |
–968 |
34 |
–934 |
30 |
24 |
|||
|
General and administration |
–272 |
42 |
–229 |
–205 |
15 |
–189 |
33 |
21 |
|||
|
Restructuring |
–51 |
51 |
0 |
–15 |
15 |
0 |
>100 |
0 |
|||
|
TomorrowNow and Versata litigation |
0 |
0 |
0 |
–1 |
1 |
0 |
<-100 |
0 |
|||
|
Other operating income/expense, net |
–1 |
0 |
–1 |
–2 |
0 |
–2 |
–47 |
–47 |
|||
|
Total operating expenses |
–3,859 |
413 |
–3,446 |
294 |
–3,152 |
–2,975 |
193 |
–2,782 |
30 |
24 |
13 |
|
Profit Numbers |
|||||||||||
|
Operating profit |
638 |
419 |
1,056 |
–155 |
902 |
723 |
196 |
919 |
–12 |
15 |
–2 |
|
Other non-operating income/expense, net |
–148 |
0 |
–148 |
–11 |
0 |
–11 |
>100 |
>100 |
|||
|
Finance income |
48 |
0 |
48 |
22 |
0 |
22 |
>100 |
>100 |
|||
|
Finance costs |
–59 |
0 |
–59 |
–31 |
0 |
–31 |
92 |
92 |
|||
|
Financial income, net |
–11 |
0 |
–11 |
–9 |
0 |
–9 |
26 |
26 |
|||
|
Profit before tax |
478 |
419 |
897 |
704 |
196 |
900 |
–32 |
0 |
|||
|
Income tax expense |
–65 |
–135 |
–200 |
–170 |
–64 |
–233 |
–62 |
–14 |
|||
|
Profit after tax |
413 |
284 |
697 |
534 |
133 |
667 |
–23 |
5 |
|||
|
attributable to owners of parent |
414 |
284 |
698 |
534 |
133 |
667 |
–23 |
5 |
|||
|
attributable to non-controlling interests |
0 |
0 |
0 |
0 |
0 |
0 |
24 |
24 |
|||
|
Key Ratios |
|||||||||||
|
Operating margin (in %) |
14.2 |
23.5 |
22.2 |
19.5 |
24.8 |
–5.4pp |
–1.4pp |
–2.6pp | |||
|
Effective tax rate (in %) |
13.6 |
22.3 |
24.1 |
25.9 |
–10.5pp |
–3.6pp |
|||||
|
Earnings per share, basic (in €) |
0.35 |
0.58 |
0.45 |
0.56 |
–23 |
5 |
|||||
|
* Adjustments in the revenue line items are for software support revenue, cloud subscriptions and support revenue, and other similarly recurring revenues that entities acquired by SAP would have recognized had they remained stand-alone entities but that SAP is not permitted to recognize as revenue under IFRS as a result of business combination accounting rules. Adjustments in the operating expense line items are for acquisition-related charges, share-based payment expenses, restructuring expenses, as well as the TomorrowNow and Versata litigation expenses. | |||||||||||
|
** Constant currency revenue and operating income figures are calculated by translating revenue and operating income of the current period using the average exchange rates from the previous year's respective period instead of the current period. Constant currency period-over-period changes are calculated by comparing the current year's non-IFRS constant currency numbers with the non-IFRS number of the previous year's respective period. | |||||||||||
|
For a more detailed description of these adjustments and their limitations as well as our constant currency figures, see our Web site www.sap.com/corporate-en/investors/newsandreports/reporting-framework.epx under "Non-IFRS Measures and Estimates". | |||||||||||
|
Due to rounding, numbers may not add up precisely. | |||||||||||
|
F4 | |||||||||||
|
EXPLANATION OF NON-IFRS ADJUSTMENTS | ||
|
€ millions, unless otherwise stated |
Q1 2015 |
Q1 2014 |
|
Operating profit (IFRS) |
638 |
723 |
|
Revenue adjustments |
6 |
3 |
|
Adjustment for acquisition-related charges |
183 |
130 |
|
Adjustment for share-based payment expenses |
179 |
48 |
|
Adjustment for restructuring |
51 |
15 |
|
Adjustment for TomorrowNow and Versata litigation |
0 |
1 |
|
Operating expense adjustments |
413 |
193 |
|
Operating profit adjustments |
419 |
196 |
|
Operating profit (Non-IFRS) |
1,056 |
919 |
|
Due to rounding, numbers may not add up precisely. | ||
|
F5 | ||
|
REVENUE BY REGION | |||||||||||
|
The following tables present our IFRS and non-IFRS revenue by region based on customer location. The tables also present a reconciliation from our non-IFRS revenue (including our non-IFRS revenue at constant currency) to the respective most comparable IFRS revenue. | |||||||||||
|
Note: Our non-IFRS revenues are not prepared under a comprehensive set of accounting rules or principles. | |||||||||||
|
For the three months ended March 31 | |||||||||||
|
€ millions |
2015 |
2014 |
Change in % | ||||||||
|
IFRS |
Adj.* |
Non-IFRS* |
Currency Impact** |
Non-IFRS Constant Currency** |
IFRS |
Adj.* |
Non-IFRS* |
IFRS |
Non-IFRS* |
Non-IFRS Constant Currency** | |
|
Cloud subscriptions and support revenue by region |
|||||||||||
|
EMEA |
115 |
1 |
116 |
–11 |
105 |
54 |
0 |
54 |
113 |
114 |
93 |
|
Americas |
344 |
5 |
348 |
–61 |
287 |
147 |
1 |
148 |
134 |
136 |
94 |
|
APJ |
44 |
0 |
44 |
–6 |
38 |
19 |
0 |
19 |
136 |
137 |
105 |
|
Cloud subscriptions and support revenue |
503 |
6 |
509 |
–78 |
430 |
219 |
1 |
221 |
129 |
131 |
95 |
|
Cloud and software revenue by region |
|||||||||||
|
EMEA |
1,570 |
1 |
1,571 |
–36 |
1,535 |
1,393 |
1 |
1,394 |
13 |
13 |
10 |
|
Americas |
1,509 |
5 |
1,514 |
–264 |
1,250 |
1,131 |
2 |
1,133 |
33 |
34 |
10 |
|
APJ |
574 |
0 |
574 |
–65 |
509 |
416 |
0 |
416 |
38 |
38 |
23 |
|
Cloud and software revenue |
3,653 |
6 |
3,659 |
–365 |
3,294 |
2,939 |
3 |
2,942 |
24 |
24 |
12 |
|
Total revenue by region |
|||||||||||
|
Germany |
558 |
0 |
558 |
–1 |
557 |
535 |
0 |
535 |
4 |
4 |
4 |
|
Rest of EMEA |
1,383 |
1 |
1,384 |
–46 |
1,337 |
1,233 |
1 |
1,234 |
12 |
12 |
8 |
|
Total EMEA |
1,941 |
1 |
1,942 |
–48 |
1,894 |
1,768 |
1 |
1,769 |
10 |
10 |
7 |
|
United States |
1,455 |
5 |
1,460 |
–266 |
1,194 |
1,064 |
1 |
1,065 |
37 |
37 |
12 |
|
Rest of Americas |
399 |
0 |
399 |
–56 |
343 |
356 |
0 |
356 |
12 |
12 |
–4 |
|
Total Americas |
1,855 |
5 |
1,859 |
–322 |
1,538 |
1,419 |
2 |
1,421 |
31 |
31 |
8 |
|
Japan |
154 |
0 |
154 |
–8 |
146 |
129 |
0 |
129 |
19 |
19 |
13 |
|
Rest of APJ |
547 |
0 |
547 |
–71 |
476 |
382 |
0 |
382 |
43 |
43 |
25 |
|
Total APJ |
701 |
0 |
701 |
–80 |
622 |
511 |
0 |
511 |
37 |
37 |
22 |
|
Total revenue |
4,497 |
6 |
4,502 |
–449 |
4,054 |
3,698 |
3 |
3,701 |
22 |
22 |
10 |
|
* Adjustments in the revenue line items are for software support revenue, cloud subscriptions and support revenue, and other similarly recurring revenues that entities acquired by SAP would have recognized had they remained stand-alone entities but that SAP is not permitted to recognize as revenue under IFRS as a result of business combination accounting rules. | |||||||||||
|
** Constant currency revenue figures are calculated by translating revenue of the current period using the average exchange rates from the previous year's respective period instead of the current period. Constant currency period-over-period changes are calculated by comparing the current year's non-IFRS constant currency numbers with the non-IFRS number of the previous year's respective period. | |||||||||||
|
For a more detailed description of these adjustments and their limitations as well as our constant currency figures, see our Web site www.sap.com/corporate-en/investors/newsandreports/reporting-framework.epx under "Non-IFRS Measures and Estimates". | |||||||||||
|
Due to rounding, numbers may not add up precisely. | |||||||||||
|
F6 | |||||||||||
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SOURCE SAP SE
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