Estimated reading time: 1 minute, 23 seconds
ASIA PACIFIC DAMPENS SAP RESULTS
Management changes in the Asia Pacific region tripped up SAP for the first quarter ended March 31. But the giant software company still saw a double-digit increase in net income and what was described as its best first-quarter ever.. After-tax profit rose to about $706 million, a 17-percent increase over last year’s corresponding period. Revenue rose to roughly $4.7 billion, a 7-pecent rise. There were three management changes in Asian countries coupled with a slowdown in purchases in China. However, Co-CEO Bill McDermott said the company had confidence in the top management in the region.
”Everybody has a bad quarter,” he said. But I’d bet you don’t get two in a row at this company. The region saw revenue drop by 7 percent in constant currencies. The Americas kept on a fast growth pace with strong cloud subscription and support revenue growth in North America. Software and cloud subscription revenue in the United States hit about $1.06 billion, an increase of 17 percent with revenue in the rest of the Americas rising by 20 percent. Overall, the company said cloud revenue was roughly $293.6 million with the annual run rate approaching 900 million euro (about $1.18 billion). Despite the focus on cloud growth there was no information offered upfront of the once front-and-center Business ByDesign. An analyst’s question about that cloud product drew that company has had a great deal of success in its unbundling of the product’s architecture. SAP reported it had had “some nice wins against NetSuite” according to Lars Dalgaard, CEO of SuccessFactors, one of SAP’s subsidiaries. SAP continued to hammer at the success of its Hana in-memory database technology. Hana reached about $112.6 million, three times the year-ago level.
Most Read
-
-
May 22 2017
-
Written by mark
-
-
-
May 22 2017
-
Written by BobWScott
-
-
-
May 19 2021
-
Written by BobWScott
-
-
-
May 25 2016
-
Written by mark
-