Core Insights - Microsoft reported disappointing revenue numbers for its cloud division, which caused concern among investors [1] Company Summary - The results from Microsoft were released a day after the company reported its cloud division's revenue, which was perceived as mediocre by the market [1]

Financial Data and Key Metrics Changes - Total revenue for the full year approached EUR 37 billion, up 11% year-on-year [33] - Cloud revenue grew 26% year-on-year, primarily driven by the strong performance of Cloud ERP Suite, which increased by 32% [32][33] - Non-IFRS basic earnings per share increased by 36% to €6.15 [37] - Free cash flow for the full year was EUR 8.2 billion, at the high end of the revised outlook range [36] Business Line Data and Key Metrics Changes - Cloud ERP Suite accounted for 86% of total cloud revenue for the year, highlighting its importance as a growth engine [33] - Software licenses revenue decreased by 27%, indicating a shift in focus towards cloud solutions [33] - The current cloud backlog reached EUR 21 billion, up 25%, while total cloud backlog grew 30% to a record EUR 77 billion [31][32] Market Data and Key Metrics Changes - The public cloud business grew five times faster than the private cloud business, showcasing a significant shift in customer preferences [5] - The company reported its best bookings result in Q4, contributing to a strong finish for the year [3][10] Company Strategy and Development Direction - The company emphasizes AI and the Business Data Cloud as core components of its transformation strategy, aiming to enhance customer decision-making and deal activity [30] - The strategy includes a focus on large-scale enterprises and high-growth mid-sized companies undergoing complex transformations [30] - The company plans to further develop its SAP Sovereign Cloud Infrastructure to meet growing demand for sovereign software solutions [40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate geopolitical tensions and emphasized the importance of operational discipline [29][39] - The outlook for 2026 includes expectations for total revenue growth to accelerate, supported by the foundation built in 2025 [38] - Management acknowledged the challenges faced in 2025 but highlighted the resilience demonstrated in cloud revenue performance [51] Other Important Information - The company announced a new two-year share repurchase program of up to EUR 10 billion, reflecting confidence in sustainable business strengths [36][37] - The company is committed to reskilling its workforce to adapt to the changing landscape influenced by AI [25] Q&A Session Questions and Answers Question: Are there hurdles in the U.S. due to growing tensions between countries? - Management noted that the U.S. public sector performed well in Q4, with customers less concerned about the origin of the software as long as regulatory standards are met [42][43] Question: Are solutions intended to diversify or replace offerings from non-European providers? - Management clarified that the focus is on competitiveness rather than replacing non-European offerings, emphasizing the need for stronger AI capabilities [44] Question: How do geopolitical tensions impact the business outlook? - Management indicated that the 2025 environment is considered the new normal, with resilience shown despite geopolitical challenges [51][52] Question: What is the rationale behind the share buyback program? - Management explained that share buybacks are part of a balanced approach to capital returns, alongside potential future M&A for technological advancements [60][62]

Core Insights - Shares in SAP, Europe's largest software maker, experienced a significant decline of over 10%, marking the steepest daily fall since October 2020 [1] - This decline has resulted in a market value loss of approximately $150 billion [1] Company Performance - The recent results released by SAP did not meet market expectations, contributing to the stock's sharp drop [1] - The failure to stabilize the stock price indicates ongoing challenges within the company [1]

Core Viewpoint - SAP's shares experienced a significant decline due to slower-than-expected backlog growth in Q4 and a forecast indicating slight deceleration for the current year [1] Group 1 - SAP reported slower backlog growth than anticipated in the fourth quarter [1] - The company provided guidance for a slight deceleration in growth for the upcoming year [1]

Core Viewpoint - SAP experienced a significant decline in stock price, dropping as much as 11% after reporting weaker-than-expected growth in its cloud contract backlog for the fourth quarter, marking its largest daily fall since October 2020 [1]. Group 1: Stock Performance - The stock is on track to close at its lowest price since mid-2024, with shares last trading down 9.7% [1]. - This decline follows a previous drop of 22% in October 2020 due to disappointing third-quarter results [1]. Group 2: Cloud Backlog Performance - SAP's current cloud backlog increased by 16% in the fourth quarter, reaching 21.1 billion euros (approximately $25.3 billion) [2]. - The company's CEO, Christian Klein, had previously set a target for 26% growth in this area [2].

每经AI快讯，1月29日，德国软件巨头SAP股价下跌11%。 ...

Core Insights - SAP achieved its best bookings result in Q4, with lower churn and stable discounting, indicating a successful quarter amidst ongoing transformation efforts [1][3] - The company met its 2025 outlook for cloud and software despite challenges in the first half of the year, attributing strong performance to cost discipline and AI integration [2][3] Financial Performance - Cloud revenue increased by 26%, with the Cloud ERP Suite growing by 32%, contributing to a full-year non-IFRS operating profit of €10.4 billion [4][16] - Total cloud backlog reached a record €77 billion, up 30%, while current cloud backlog grew by 25%, reflecting a shift towards larger public-sector deals [5][16] - Free cash flow for 2025 was approximately €8.2 billion, with a new €10 billion share repurchase program announced [15][17] AI and Product Strategy - AI is driving significant deal momentum, with over two-thirds of Q4 cloud orders including Business AI, and 90% of the largest deals incorporating AI or SAP Business Data Cloud [6][11] - The Business Data Cloud generated over €2 billion in order entry since its launch, emphasizing its strategic importance for integrating SAP and non-SAP data [9] - SAP's product strategy focuses on a unified platform for business transformation, enhancing user experience and embedding AI into core workflows [10][12] Market Position and Growth - The mid-market segment is now the fastest-growing area for SAP, with several thousand new customers acquired in recent years [7] - SAP's public cloud business grew five times faster than its private cloud business in 2025, indicating strong market demand [7] - The company expects to accelerate total revenue growth and achieve record free cash flow of approximately €10 billion in 2026 [17] Geopolitical and Market Considerations - SAP's performance in the U.S. public sector remained strong, with customers focusing on regulatory compliance rather than vendor origin [18] - Management acknowledged the impact of geopolitical tensions on deal closures but remains optimistic about future growth [2][18]

业务结构方面，随着云转型的深入，公司收入质量持续改善，可预测收入占总收入的比例已从去年同期 的83%提升至86%。更值得关注的是人工智能对业务的深度渗透，首席执行官Christian Klein明确表示， SAP Business AI已成为核心驱动力，在第四季度签署的云订单中，约有三分之二涉及AI功能，这标志着 智能化转型正从概念阶段全面进入商业变现阶段。 在股东回报方面，非IFRS基本每股收益达到1.62欧元，同比增长16%，显著高于分析师平均预期的1.51 欧元;基于此优异表现，SAP宣布启动一项总额高达100亿欧元的新的两年期股票回购计划，预计将于 2026年2月开始执行并持续至2027年底。 SAP SE(SAP.US)于美东时间2026年1月29日发布了2025财年第四季度及全年业绩报告。财报显示，该公 司Q4总营收达到96.8亿欧元，按固定汇率计算增长9%。非IFRS基本每股收益为1.62欧元，同比增长 16%，高于分析师预期的1.51欧元。非IFRS运营利润同比增长16%，达到28.3亿欧元，非IFRS运营利润 率提升3.2个百分点至29.2%。尤其值得关注的是，公司全年自由现金流翻倍至82. ...

Core Insights - SAP's cloud transformation strategy has entered a performance realization phase, with significant profit growth in Q4 driven by customers migrating from traditional on-premise systems to the cloud [1] - The company has raised its cloud revenue growth forecast for the year, expecting cloud revenue to reach €21.7 billion in 2025, exceeding analyst expectations [1][2] Group 1: Financial Performance - In Q4, SAP reported an adjusted operating profit increase of 27% year-on-year to €2.83 billion [1] - The company's cloud revenue for the full year 2025 is projected to be €21.7 billion at constant currency, surpassing analyst forecasts [1][2] - SAP's cloud backlog, reflecting sales to be recognized over the next 12 months, grew by 16% to €21.1 billion in Q4, with a 25% increase at constant currency [6] Group 2: AI Business Growth - SAP Business AI has become a key growth driver, with two-thirds of cloud orders in Q4 including AI business, and strong adoption rates within the ERP suite [1][6] - The rise in demand for AI technology has led SAP to focus on AI applications that require less human intervention, successfully converting AI into a growth engine [6] Group 3: Cloud Migration Strategy - SAP has set a timeline to accelerate customer migration to the cloud, planning to cease support for most of its major on-premise product lines by the end of 2027 [7] - The company announced a stock buyback plan of up to €10 billion by the end of 2027, signaling confidence in the long-term value of its cloud transformation strategy [7] Group 4: Business Model Transition - SAP is at a critical juncture in its business model transition, with traditional on-premise software support revenues declining while cloud subscription and AI revenues are rapidly increasing [8]

Financial Data and Key Metrics Changes - The total cloud backlog reached EUR 77 billion, up 30% year-on-year, indicating strong underlying business momentum [7][26] - Cloud revenue grew 26% year-on-year, primarily driven by the strong performance of the Cloud ERP Suite, which increased by 32% [27][29] - Total revenue for the full year approached EUR 37 billion, up 11% [29] Business Line Data and Key Metrics Changes - The Cloud ERP Suite accounted for 86% of total cloud revenue for the year, highlighting its role as a key growth engine [27] - The number of customers using the AI copilot tool grew ninefold over the year, with over 60% of existing cloud customers actively using AI [6][56] Market Data and Key Metrics Changes - Strong performances were noted in Brazil, France, Germany, India, Italy, South Korea, and Spain, while China, Japan, Saudi Arabia, the UK, and the US also showed significant strength [28] - The company outperformed the cloud market by 10 percentage points in 2025 [15] Company Strategy and Development Direction - The ongoing transformation of SAP's operating model, combined with AI integration, is expected to drive future growth and revenue acceleration through 2027 [14][22] - The company is focusing on a Partner-First approach for the mid-market and expanding its sovereign cloud capabilities [12][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged geopolitical uncertainty and macroeconomic volatility but emphasized the increasing demand for AI solutions among customers [4][24] - The company expects a record free cash flow of approximately EUR 10 billion in 2026, supported by continued efficiency improvements [32] Other Important Information - The non-IFRS cloud gross margin for the full year expanded by 1.6 percentage points to 75%, driving cloud gross profit up by 29% [28] - A new two-year share repurchase program of up to EUR 10 billion is set to start in February, reflecting confidence in the business's sustainable strengths [30] Q&A Session Summary Question: Insights on CCB and pipeline for Q1 - Management noted that the CCB ended at 25%, with larger deals contributing to longer ramp periods and some slippage, but overall bookings performance was ahead of plan [39][41] Question: AI-driven cost savings and R&D focus - The company aims to achieve EUR 2 billion in cost efficiencies through business growth and AI integration, with no current restructuring plans [46][48] Question: AI adoption among existing customers - Approximately 60% of existing cloud customers are actively using AI, with significant revenue uplift observed from early adopters [56][60] Question: Dynamics of TCB growth and BDC momentum - Management acknowledged a deceleration in TCB growth but emphasized a strong pipeline and the expected contribution from the Business Data Cloud in 2026 [72]