Overview
- SAP reported Q3 revenue of about €9.08–€9.1 billion, up 7% year over year but below analyst expectations.
- Cloud revenue grew 22% from a year earlier, marking the slowest pace since the fourth quarter of 2023.
- The company now expects 2025 cloud revenue at the lower end of €21.6–€21.9 billion, with operating profit guided toward the top of €10.3–€10.6 billion and free cash flow raised to €8–€8.2 billion.
- Current cloud backlog reached roughly $21.8 billion (about €18.8 billion), up 23% reported and 27% at constant currency, which some analysts viewed as a supportive sign for future growth.
- Shares were volatile following the update, with U.S.-listed stock down about 3% in extended trading and European shares off roughly 2% in early dealings.