Overview
- Current Cloud Backlog rose about 25% year over year on a currency-adjusted basis, below SAP’s at-least-26% aim and with management guiding to slower backlog growth in 2026.
- SAP projects 2026 cloud revenue growth of 23% to 25%, a tempered outlook that added to concerns about near-term subscription momentum.
- Full-year 2025 results showed €36.8 billion in revenue, roughly €10.4 billion in adjusted operating profit, and €7.5 billion net income, with a weak dollar shaving about three percentage points from reported growth.
- CEO Christian Klein said SAP is not losing orders because of AI, while CFO Dominik Asam cited longer implementations for large deals and delayed inclusion of some public-sector contracts as reasons for the booking softness.
- The drop dragged the DAX lower and cleared the way for Siemens to become the index’s most valuable company even as SAP announced a two-year share repurchase of up to €10 billion.