SAP[1] has reported strong financial results in the second quarter of 2018 and has raised the firm's financial outlook for the year.
SAP announced its financial results for the second quarter and half-year results ending 30 June 2018 on Thursday (statement[2]).
In Q2 2018, total revenue was reported as €5.99 billion ($6.95bn), or €6.014bn non-IFRS, up four percent year-over-year or 10 percent non-IFRS at constant currencies.
SAP reported earnings per share of €0.60 IFRS, an increase of eight percent year-over-year, or €0.98 non-IFRS.
SAP beat Wall Street earning expectations[3] of €5.86 billion.
TechRepublic: SAP revamps its pricing model to account for indirect access: Here's what you need to know[4]
Net profit reached €720 million ($835 million) or €1.173 bn ($1.361 million) non-IFRS at constant currencies. SAP reported net profit of €666 million last year.
Operating profit based on IFRS rose 13 percent to 1.04 billion euros in comparison to 926 million in Q2 2017. Non-IFRS results were reported as 1.64 billion euros. New cloud bookings grew by 24 percent -- or 29 percent at constant currencies -- in Q2 2015, resulting in financial results of €421 million.
Cloud subscriptions and support revenue grew 30 percent year-over-year to €1.213 billion, or €1.227 billion, up 40 percent non-IFRS.
Cloud and software revenue reached 4.944 billion euros, an increase of four percent on 4.757bn euros year-over-year, or 4.959 billion euros non-IFRS.
SAP announced the expectation of positive impact on revenue from the adoption of IFRS 15 this year. In Q2, SAP enjoyed an increased reported operating profit of approximately €54 million due to IFRS 15.
In the six months ending 30 June