SAP reported a 19% enhance in its cloud income for the fourth quarter of 2025 (This fall 2025) to €5.61bn ($6.69bn), in comparison with €4.71bn ($5.61bn) in the identical interval of final 12 months.
This development contributed to a complete income enhance of three% for the reported quarter ended 31 December, reaching €9.68bn, in comparison with €9.37bn in This fall 2024.
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SAP’s web earnings for This fall 2025 rose by 17% to €1.89bn, up from €1.61bn in the identical interval the earlier 12 months.
For the total 12 months, SAP’s monetary efficiency confirmed a major enhance, with web earnings greater than doubling from €3.15bn in 2024 to €7.49bn in 2025. The IFRS working revenue elevated by 111% to €9.83bn, whereas whole income climbed by 8% to €36.8bn, in comparison with €34.18bn in 2024.
As of 31 December 2025, SAP reported a 22% enhance in whole cloud backlog, reaching €77.29bn, with a 30% rise when adjusted for fixed currencies.
For the total 12 months, cloud income elevated by 23% to €21.02bn, or 26% at fixed currencies.
The Cloud ERP Suite noticed a 28% development, amounting to €18.12bn, and a 32% enhance at fixed currencies.
Subscription income rose by 22% to €21.33bn, with a 26% enhance at fixed currencies. Conversely, software program licenses income declined by 29% to €990m, or 27% at fixed currencies.
Cloud and software program income elevated by 9% to €32.54bn, or 12% at fixed currencies. Nonetheless, SAP’s Companies income decreased by 2% to €4.26bn, although it confirmed a 1% enhance at fixed currencies.
Wanting forward, SAP initiatives cloud income development of 23% to 25% for 2026, with expectations to succeed in €25.8 to €26.2bn.
SAP CEO Christian Klein stated: “The numerous Present Cloud Backlog development in This fall has laid a powerful basis for accelerating Whole Income development by 2027. SAP Enterprise AI has turn into a essential driver for development because it was included in two thirds of our This fall cloud order entry, mixed with sturdy AI adoption throughout the ERP Suite.”
Within the fourth quarter, SAP’s “RISE with SAP” initiative attracted international prospects equivalent to adidas, BioNTech, and Toyota, specializing in complete enterprise transformations.
Corporations like Lockheed Martin and Rolls-Royce SMR applied SAP S/4HANA Cloud, whereas others like KPMG and Snowflake opted for “GROW with SAP” to swiftly undertake cloud ERP.
Key buyer wins through the reported quarter included Deutsche Bundesbank and Mondelez Worldwide. SAP’s cloud income excelled in areas like APJ and EMEA, with notable performances in Brazil, Germany, and the UK.
Collaborations with Snowflake and France’s AI sector have been introduced, alongside the launch of the EU AI Cloud for enhanced digital sovereignty.
In August 2025, SAP introduced the acquisition of SmartRecruiters, a expertise acquisition software program supplier, for €753m. The deal, which closed within the following month, enhances SAP’s SuccessFactors HCM suite with AI-driven insights.
In 2025, SmartRecruiters contributed €26m to SAP’s income and impacted working revenue negatively.
In different disclosures, SAP recorded a provision of €174m associated to the Teradata litigation as of 31 December 2025.
SAP CFO Dominik Asam stated: “We closed 2025 on a excessive be aware, delivering sturdy working revenue and free money movement forward of our expectations. This efficiency displays centered execution, monetary self-discipline, and the continued belief our prospects place in us because the North Star for his or her digital transformation.
“As evidenced by continued sturdy development nicely forward of the market in SaaS and PaaS, and our potential to deliver such development right down to the underside line and Free Money Circulate, we’re assured that our technique and operational self-discipline will proceed to drive long-term worth creation.”
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