Business software major SAP said its revenue grew 8 percent to €6.02 billion, profit fell 2 percent €974 million and operating profit declined 6 percent to €1.24 billion in the third quarter ended September 30, 2018.
“SAP is the fastest growing cloud company at scale in the enterprise software applications industry,” Bill McDermott, CEO of SAP.
SAP said cloud bookings growth was 36 percent. SAP’s cloud subscriptions and support revenue grew 39 percent to €1.3 billion. Software revenue fell 9 percent to €937 million. SAP’s cloud and software revenue grew 7 percent to €5.01 billion.
While SAP had a strong software revenue performance in APJ and Greater China, customers in the Americas and parts of EMEA were moving faster than expected to cloud and hybrid models.
SAP said the total of cloud subscriptions & support revenue and software support revenue as a percentage of total revenue grew three percentage points to 68 percent in the third quarter.
S/4HANA adoption grew to approximately 9,500 customers, up 37 percent year over year. In the third quarter, approximately 50 percent of the additional S/4HANA customers were net new.
Wipro, Bombardier, McKesson, OSRAM Continental, Delivery Hero, Shanghai Fosun Pharmaceutical and Shell are some of the customers of S/4HANA in the third quarter.
SAP SuccessFactors Employee Central, the flagship of SAP’s HCM offering, added more than 200 customers and has now more than 2,800 customers. Skechers, Atos and Air Arabia and American Airlines are some of the customers of SAP SuccessFactors Employee Central in the third quarter.
Deloitte and Chint Group are some of the new customers of SAP Leonardo solutions in the third quarter.
Grupo Energia Bogota is one of the new customers for SAP’s Digital Platform solutions in the third quarter.
SAP’s C/4HANA customer experience solutions achieved triple-digit growth in new cloud bookings and cloud subscription revenue. Segment revenue in Customer Experience was up 54 percent to €232 million.
Giorgio Armani, Dubai Expo 2020, Colgate-Palmolive, HP, and Dohler chose SAP’s C/4HANA solutions.
SAP Business Network revenue rose 22 percent to €675 million. SAP Business Network is the largest commerce platform with approximately $2.6 trillion in global commerce annually transacted in more than 180 countries.
SAP said Public Works of Canada, United States Department of Defense, Nationwide, and Commonwealth Bank of Australia chose SAP’s Business Network solutions.
