SAP Turns To Profit In Q1; Maintains FY20 Outlook - Quick Facts

(RTTNews) - German software major SAP SE (SAP) reported Tuesday a first-quarter profit after tax of 811 million euros, compared to last year's loss of 108 million euros. Basic earnings per share were 0.68 euro, compared to loss of 0.10 euro a year ago.

Non-IFRS profit was 1.02 billion euros, compared to 1.08 billion euros last year. Non-IFRS earnings per share were 0.85 euro, compared to 0.90 euro a year ago.

Total revenue for the quarter grew 7 percent to 6.52 billion euros from last year's 6.09 billion euros.

The company noted that business activity in the first two months of the quarter was healthy, while COVID-19 crisis rapidly intensified towards the end of the quarter. The company noted that a significant amount of new business was postponed, resulting in significant year over year decrease in software licenses revenue.

Further, the company said it does not plan to conduct further share buybacks in 2020, and the dividend proposal of 1.58 euros per share was unchanged.

Looking ahead for fiscal 2020, SAP continues to expect non-IFRS cloud revenue in a range of 8.3 billion euros to 8.7 billion euros at constant currencies, up 18 percent to 24 percent at constant currencies.

Non-IFRS total revenue is still expected to be in a range of 27.8 billion euros to 28.5 billion euros at constant currencies, up 1 percent to 3 percent at constant currencies.

Non-IFRS operating profit is still expected to be in a range of 8.1 billion euros to 8.7 billion euros at constant currencies, down 1 percent to up 6 percent at constant currencies.