 |
Quarterly Statement Q2 2026 |
Current cloud backlog of €22.9 billion, up 27% and up 26% at constant currencies Cloud revenue up 22% and up 24% at constant currencies Cloud ERP Suite revenue up 25% and up 27% at constant currencies Total revenue up 9% and up 11% at constant currencies IFRS operating profit up 8%, non-IFRS operating profit up 7% and up 9% at constant currencies 2026 non-IFRS operating profit outlook updated to reflect dilutive impact from Dremio and Prior Labs acquisitions Christian Klein, CEO:
We delivered another quarter of strong current cloud backlog growth, up 26% at constant currencies. This performance is underpinned by our Autonomous Enterprise strategy with strong momentum across our Autonomous Suite as well as our Business AI Platform. Customers are choosing SAP to enable accurate and compliant AI outcomes grounded in their most critical business processes and data.
Dominik Asam, CFO:
Q2 was another strong quarter, highlighted by sustained current cloud backlog and free cash flow growth against a volatile macroeconomic backdrop. These results reflect our disciplined execution and our ability to deliver against our operating objectives. As part of that execution, we aggressively drive our own transformation into an Autonomous Enterprise, leveraging AI to boost both effectiveness and efficiency at the same time.
1/23
|
Quarterly Statement Q2 2026 |
Walldorf, Germany – July 23, 2026
SAP SE (NYSE: SAP) announced today its financial results for the second quarter ended June 30, 2026.
Group Results at a Glance
Second quarter 2026
| IFRS | Non-IFRS1 | ||||||
| € million, unless otherwise stated | Q2 2026 | Q2 2025 | ∆ in % | Q2 2026 | Q2 2025 | ∆ in % | ∆ in % const. curr. |
| Current cloud backlog | 22,929 | 18,052 | 27 | 26 | |||
| SaaS/PaaS2 | 6,216 | 5,045 | 23 | 6,216 | 5,045 | 23 | 25 |
| Thereof Cloud ERP Suite2 | 5,525 | 4,422 | 25 | 5,525 | 4,422 | 25 | 27 |
| Thereof Extension Suite2 | 692 | 624 | 11 | 692 | 624 | 11 | 12 |
| IaaS2 | 65 | 85 | –23 | 65 | 85 | –23 | –22 |
| Cloud revenue | 6,281 | 5,130 | 22 | 6,281 | 5,130 | 22 | 24 |
| Software licenses revenue | 131 | 194 | –32 | 131 | 194 | –32 | –32 |
| Software support revenue | 2,439 | 2,642 | –8 | 2,439 | 2,642 | –8 | –7 |
| Cloud and software revenue | 8,851 | 7,966 | 11 | 8,851 | 7,966 | 11 | 13 |
| Services Revenue | 1,027 | 1,061 | –3 | 1,027 | 1,061 | –3 | –2 |
| Total revenue | 9,878 | 9,027 | 9 | 9,878 | 9,027 | 9 | 11 |
| Cloud gross profit | 4,664 | 3,833 | 22 | 4,687 | 3,856 | 22 | 23 |
| Cloud gross margin (in %) | 74.3 | 74.7 | –0.5pp | 74.6 | 75.2 | –0.6pp | –0.7pp |
| Gross profit | 7,228 | 6,620 | 9 | 7,250 | 6,643 | 9 | 11 |
| Gross margin (in %) | 73.2 | 73.3 | –0.2pp | 73.4 | 73.6 | –0.2pp | –0.2pp |
| Operating profit (loss) | 2,643 | 2,456 | 8 | 2,743 | 2,568 | 7 | 9 |
| Operating margin (in %) | 26.8 | 27.2 | –0.5pp | 27.8 | 28.5 | –0.7pp | –0.4pp |
| Profit (loss) after tax | 2,209 | 1,749 | 26 | 1,828 | 1,747 | 5 | |
| Earnings per share - Basic (in €) | 1.89 | 1.45 | 30 | 1.59 | 1.50 | 6 | |
| Net cash flows from operating activities | 3,153 | 2,577 | 22 | ||||
| Free cash flow | 3,002 | 2,357 | 27 | ||||
1 For a breakdown of the individual adjustments see table Non-IFRS Operating Expense Adjustments by Functional Areas in this Quarterly Statement.
2 For a definition of Cloud ERP Suite and Extension Suite, see the Performance Management System chapter in the 2025 Integrated Report. For an Explanation of IaaS, SaaS, and PaaS, see the Notes to the Consolidated Financial Statements of the Integrated Report 2025, Note (A.1).
2/23
|
Quarterly Statement Q2 2026 |
Six months ended June 2026
| IFRS | Non-IFRS1 | ||||||
| € million, unless otherwise stated | Q1–Q2 2026 |
Q1-Q2 2025 |
∆ in % | Q1–Q2 2026 |
Q1-Q2 2025 |
∆ in % | ∆ in % const. curr. |
| Current cloud backlog | 22,929 | 18,052 | 27 | 26 | |||
| SaaS/PaaS2 | 12,112 | 9,935 | 22 | 12,112 | 9,935 | 22 | 27 |
| Thereof Cloud ERP Suite2 | 10,739 | 8,673 | 24 | 10,739 | 8,673 | 24 | 29 |
| Thereof Extension Suite2 | 1,373 | 1,262 | 9 | 1,373 | 1,262 | 9 | 12 |
| IaaS2 | 131 | 188 | –30 | 131 | 188 | –30 | –28 |
| Cloud revenue | 12,244 | 10,124 | 21 | 12,244 | 10,124 | 21 | 26 |
| Software licenses revenue | 247 | 377 | –34 | 247 | 377 | –34 | –33 |
| Software support revenue | 4,908 | 5,403 | –9 | 4,908 | 5,403 | –9 | –6 |
| Cloud and software revenue | 17,399 | 15,904 | 9 | 17,399 | 15,904 | 9 | 13 |
| Services Revenue | 2,033 | 2,136 | –5 | 2,033 | 2,136 | –5 | –2 |
| Total revenue | 19,432 | 18,040 | 8 | 19,432 | 18,040 | 8 | 11 |
| Cloud gross profit | 9,114 | 7,553 | 21 | 9,168 | 7,601 | 21 | 25 |
| Cloud gross margin (in %) | 74.4 | 74.6 | –0.2pp | 74.9 | 75.1 | –0.2pp | –0.4pp |
| Gross profit | 14,201 | 13,226 | 7 | 14,263 | 13,275 | 7 | 11 |
| Gross margin (in %) | 73.1 | 73.3 | –0.2pp | 73.4 | 73.6 | –0.2pp | –0.3pp |
| Operating profit (loss) | 5,383 | 4,789 | 12 | 5,609 | 5,024 | 12 | 16 |
| Operating margin (in %) | 27.7 | 26.5 | 1.2pp | 28.9 | 27.8 | 1.0pp | 1.2pp |
| Profit (loss) after tax | 4,155 | 3,545 | 17 | 3,830 | 3,428 | 12 | |
| Earnings per share - Basic (in €) | 3.55 | 2.98 | 19 | 3.31 | 2.94 | 12 | |
| Net cash flows from operating activities | 6,666 | 6,357 | 5 | ||||
| Free cash flow | 6,250 | 5,939 | 5 | ||||
1 For a breakdown of the individual adjustments see table Non-IFRS Operating Expense Adjustments by Functional Areas in this Quarterly Statement.
2 For a definition of Cloud ERP Suite and Extension Suite, see the Performance Management System chapter in the 2025 Integrated Report. For an Explanation of IaaS, SaaS, and PaaS, see the Notes to the Consolidated Financial Statements of the Integrated Report 2025, Note (A.1).
Supplementary Information1
Financial Results
Current cloud backlog growth benefited from the first-time inclusion of Reltio, which contributed less than 1 percentage point to the constant currencies growth rate.
The sequential decline in both IFRS and non-IFRS operating profit growth is mainly caused by the sequential deceleration of cloud- and total revenue growth, an unusually low stock-based compensation expense in the first quarter, accelerated investments into research and development as well as the dilutive impact of the Reltio acquisition.
IFRS effective tax rate was 26.5% and non-IFRS effective tax rate was 30.8%. The IFRS effective tax rate is lower than the non-IFRS effective tax rate due to tax benefits from tax-exempt income.
Share Repurchase Program
In January 2026, SAP announced a new share repurchase program with an aggregate volume of up to €10 billion and a term until December 31, 2027. As of June 30, 2026, SAP had repurchased 16,280,097 shares at an average price of €161.16 resulting in a purchased volume of approximately €2.6 billion under the program.
1 The Q2 2026 results were also impacted by other effects. For details, please refer to the disclosures on page 22 of this document.
3/23
|
Quarterly Statement Q2 2026 |
Outlook
Financial Outlook
For 2026, SAP is updating its non-IFRS operating profit outlook to reflect the dilutive impact of the Dremio and Prior Labs acquisitions closed in July, which is projected to be in excess of €100 million. SAP now expects:
- €11.8 – 12.2 billion non-IFRS operating profit at constant currencies (2025: €10.42 billion), up 13% to 17% at constant currencies. The previous outlook was €11.9 – 12.3 billion.
SAP continues to expect:
- €25.8 – 26.2 billion cloud revenue at constant currencies (2025: €21.02 billion), up 23% to 25% at constant currencies.
- €36.3 – 36.8 billion cloud and software revenue at constant currencies (2025: €32.54 billion), up 12% to 13% at constant currencies.
- Approximately €10 billion free cash flow at actual currencies (2025: €8.24 billion).
- An effective tax rate (non-IFRS) of approximately 29% (2025: 30.5%)2.
- Constant currencies current cloud backlog growth to slightly decelerate (2025: 25%).
SAP further expects:
- Constant currencies total revenue growth in 2026 to remain at similar levels as in 2025 (10.6%) and to accelerate in 2027.
- Total operating expenses to grow at 80% to 90% of total revenue growth in 2027.
- Constant currencies software support revenue decline rate to accelerate in the coming years as a consequence of an acceleration of customers transforming to the cloud.
SAP’s financial outlook for the full-year 2026 is based on the assumption of a near-term de-escalation of the conflict in the Middle East. Other impacts due to the evolving situation in the Middle East are currently unknown and could potentially subject our business to materially adverse consequences should the situation continue or even further escalate beyond its current scope.
While SAP’s 2026 financial outlook for the income statement parameters is at constant currencies (including an average exchange rate of 1.13 USD per EUR), actual currency reported figures are expected to be impacted by currency exchange rate fluctuations as the company progresses through the year, as reflected in the table below.
Currency Impact Assuming June 30, 2026 Rates Apply for 2026
| In percentage points | Q3 2026 | FY 2026 |
| Cloud revenue growth | 1.5pp | -1.5pp |
| Cloud and software revenue growth | 1.0pp | -1.5pp |
| Operating profit growth (non-IFRS) | 0.0pp | -2.0pp |
This includes an exchange rate of 1.14 USD per EUR.
2 The effective tax rate (non-IFRS) is a non-IFRS financial measure and is presented for supplemental informational purposes only. We do not provide an outlook for the effective tax rate (IFRS) due to the uncertainty and potential variability of gains and losses associated with equity securities, which are reconciling items between the two effective tax rates (non-IFRS and IFRS). These items cannot be provided without unreasonable efforts but could have a significant impact on our future effective tax rate (IFRS).
4/23
|
Quarterly Statement Q2 2026 |
Non-Financial Outlook
For 2026, SAP continues to expect:
- Cloud Customer Satisfaction (Cloud CSAT) to be in a range of 75% to 76% (2025: 75%).
- The Employee Engagement Index to be in a range of 74% to 78% (2025: 76%).
- The Business Health Culture Index (BHCI) to be in a range of 80% to 82% (2025: 81%).
- To steadily decrease carbon emissions across the relevant value chain (2025: 3.6 Mt).
Business Highlights
In the second quarter, customers around the globe continued to choose the “RISE with SAP” journey. These customers included: ACCIONA, AIRBUS, City of Osnabrueck, Electrolux, Eli Lilly, Gilead Sciences, HARTING, Hindustan Zinc, The Humboldt University of Berlin, JET, Ørsted, Samsonite Group, Shell, The Shoprite Group, SIGNAL IDUNA, SPAR (CH), Sun Pharma, Vonovia.
Gooroo Crédito, Modular Data Centers, Parloa, Tarrant County, Techem chose “SAP GROW”.
AMADEUS, BBC, Booking.com, GOL, Oki Electric Industry, PwC, University Hospital Zurich, Vale chose SAP’s AI and data solutions.
Key customer wins across SAP’s solution portfolio included: Birlasoft, Capgemini, Haier Group, KaDeWe.
Döhler, FANUC Europe, Fonterra, Natura Cosméticos, SABESP, TEAG went live on SAP solutions in the second quarter.
In the second quarter, SAP’s cloud revenue performance was particularly strong in APJ and EMEA and solid in the Americas region. Brazil, France, Germany, Italy, India, South Korea and Spain had outstanding performance, while Australia, Singapore and the U.S. were particularly strong.
On April 10, SAP announced that it has extended the contract of Gina Vargiu-Breuer, Chief People Officer of SAP SE, for another three years until January 31, 2030.
On April 22, SAP and Google Cloud announced a new partnership that will help marketers put AI agents to work at scale.
On May 4, SAP and Dremio announced that SAP
has agreed to acquire Dremio, an open, high-performance data lakehouse platform built to accelerate agentic AI and expand SAP Business
Data Cloud’s ability to combine SAP and non-SAP data to more effectively run analytical and AI workloads in real time. The acquisition
was completed on July 6.
In addition, SAP and Prior Labs, the pioneer of Tabular Foundation Models (TFMs), announced that they have entered into a definitive agreement
for SAP to purchase Prior Labs, accelerating SAP’s success in TFMs that started with SAP-RPT-1, and bringing one of the world’s
leading TFM research teams into the SAP family. The acquisition was completed on July 16.
On May 5, SAP held its Annual General Meetings of Shareholders, with all agenda items achieving strong shareholder support.
On May 7, SAP announced that it has completed the acquisition of Reltio, a leading master data management (MDM) software provider.
On May 12, SAP introduced the Autonomous Enterprise to help enhance the world’s most critical business workflows, so that humans and AI work together to meet the accelerating demands of global business profitably, strategically and safely. In addition, SAP also announced strategic partnerships with Anthropic, Amazon Web Services, n8n, NVIDIA, Parloa, Palantir and Accenture.
On May 28, SAP rated A1 (stable) by Moody’s and A+ (stable) by S&P Global, successfully completed a Eurobond transaction with a total volume of €3.5 billion across four tranches with tenors of two, three, five and seven years. The net proceeds from this transaction are used for general corporate purposes, including (re)financing of recently announced acquisitions.
On July 9, SAP announced that it welcomes the European Commission’s decision to conclude its competition investigation into certain aspects of SAP’s on-premise maintenance and support practices through a commitment decision, following a constructive and cooperative dialogue.
5/23
|
Quarterly Statement Q2 2026 |
Additional Information
This quarterly statement and all information therein are preliminary and unaudited. Due to rounding, numbers may not add up precisely. The Q2 2026 Quarterly Statement can be downloaded from: https://www.sap.com/investors/sap-2026-q2-statement.
SAP Performance Measures
For more information about our key growth metrics and performance measures, their calculation, their usefulness, and their limitations, please refer to the following document on our Investor Relations website: https://www.sap.com/investors/en/financial-documents-and-events/reporting-framework.html.
Webcast
SAP senior management will host a financial analyst conference
call on Thursday, July 23rd at 11:00 PM (CEST) / 10:00 PM (BST) / 5:00 PM (EDT) / 2:00 PM (PDT). The conference will be webcast on the
Company’s website at https://www.sap.com/investor
and will be available for replay. Supplementary financial
information pertaining to the first quarter results can be found at https://www.sap.com/investor
About SAP
As a global leader in enterprise applications and business AI, SAP (NYSE: SAP) stands at the nexus of business and technology. For over 50 years, organizations have trusted SAP to bring out their best by uniting business-critical operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit www.sap.com.
For more information, financial community only:
Alexandra Steiger +49 (6227) 7-767336 investor@sap.com, CET
Follow SAP Investor Relations on LinkedIn at SAP Investor Relations.
For more information, press only:
Marcus Winkler +46 (6227) 7-67497 marcus.winkler@sap.com, CET Daniel Reinhardt +49 (6227) 7-40201 daniel.reinhardt@sap.com, CET For customers interested in learning more about SAP products:
| Global Customer Center: | +49 180 534-34-24 |
| United States Only: | +1 (800) 872-1SAP (+1-800-872-1727) |
Note to editors:
To preview and download broadcast-standard stock footage and press photos digitally, please visit www.sap.com/photos. On this platform, you can find high resolution material for your media channels.
This document contains forward-looking statements, which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumptions that are subject to risks and uncertainties that could cause actual results and outcomes to materially differ. Additional information regarding these risks and uncertainties may be found in our filings with the Securities and Exchange Commission, including but not limited to the risk factors section of SAP’s 2025 Annual Report on Form 20-F.
© 2026 SAP SE. All rights reserved.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE in Germany and other countries. Please see https://www.sap.com/copyright for additional trademark information and notices.
6/23
|
Quarterly Statement Q2 2026 |
Contents
| Primary Financial Statements of SAP Group (IFRS) | 8 | |
| (A) | Consolidated Income Statements | 8 |
| (B) | Consolidated Statements of Financial Position | 10 |
| (C) | Consolidated Statements of Cash Flows | 11 |
| Non-IFRS Numbers | 12 | |
| (D) | Basis of Non-IFRS Presentation | 12 |
| (E) | Reconciliation from Non-IFRS Numbers to IFRS Numbers | 12 |
| (F) | Non-IFRS Adjustments – Actuals and Estimates | 16 |
| (G) | Non-IFRS Operating Expense Adjustments by Functional Areas | 16 |
| Disaggregations | 17 | |
| (H) | Segment Reporting | 17 |
| (I) | Revenue by Region (IFRS and Non-IFRS) | 20 |
| (J) | Employees by Region and Functional Areas | 21 |
| Other Disclosures | 22 | |
| (K) | Share-Based Payment Expenses | 22 |
| (L) | Teradata Litigation Matter | 22 |
| (M) | Business Combinations | 22 |
| (N) | 2027 Reporting Changes | 23 |
7/23
|
Quarterly Statement Q2 2026 |
Primary Financial Statements of SAP Group (IFRS)
- Consolidated Income Statements
| (A.1) | Consolidated Income Statements – Quarter |
| € millions, unless otherwise stated | Q2 2026 | Q2 2025 | ∆ in % |
| Cloud | 6,281 | 5,130 | 22 |
| Software licenses | 131 | 194 | –32 |
| Software support | 2,439 | 2,642 | –8 |
| Software licenses and support | 2,570 | 2,835 | –9 |
| Cloud and software | 8,851 | 7,966 | 11 |
| Services | 1,027 | 1,061 | –3 |
| Total revenue | 9,878 | 9,027 | 9 |
| Cost of cloud | –1,617 | –1,297 | 25 |
| Cost of software licenses and support | –263 | –313 | –16 |
| Cost of cloud and software | –1,881 | –1,610 | 17 |
| Cost of services | –769 | –797 | –3 |
| Total cost of revenue | –2,650 | –2,407 | 10 |
| Gross profit | 7,228 | 6,620 | 9 |
| Research and development | –1,844 | –1,618 | 14 |
| Sales and marketing | –2,315 | –2,156 | 7 |
| General and administration | –404 | –361 | 12 |
| Restructuring | –7 | –18 | –59 |
| Other operating income/expense, net | –14 | –11 | 28 |
| Total operating expenses | –7,235 | –6,571 | 10 |
| Operating profit (loss) | 2,643 | 2,456 | 8 |
| Other non-operating income/expense, net | –39 | –3 | >100 |
| Finance income | 726 | 317 | >100 |
| Finance costs | –323 | –268 | 21 |
| Financial income, net | 403 | 49 | >100 |
| Profit (loss) before tax | 3,006 | 2,502 | 20 |
| Income tax expense | –797 | –753 | 6 |
| Profit (loss) after tax | 2,209 | 1,749 | 26 |
| Attributable to owners of parent | 2,180 | 1,697 | 28 |
| Attributable to non-controlling interests | 30 | 52 | –43 |
| Earnings per share, basic (in €)1 | 1.89 | 1.45 | 30 |
| Earnings per share, diluted (in €)1 | 1.88 | 1.44 | 30 |
1 For the three months ended June 30, 2026 and 2025, the weighted average number of shares was 1,153 million (diluted 1,158 million) and 1,166 million (diluted: 1,175 million), respectively (treasury stock excluded).
8/23
|
Quarterly Statement Q2 2026 |
| (A.2) | Consolidated Income Statements – Year-to-Date |
| € millions, unless otherwise stated | Q1–Q2 2026 |
Q1–Q2 2025 |
∆ in % |
| Cloud | 12,244 | 10,124 | 21 |
| Software licenses | 247 | 377 | –34 |
| Software support | 4,908 | 5,403 | –9 |
| Software licenses and support | 5,155 | 5,780 | –11 |
| Cloud and software | 17,399 | 15,904 | 9 |
| Services | 2,033 | 2,136 | –5 |
| Total revenue | 19,432 | 18,040 | 8 |
| Cost of cloud | –3,130 | –2,570 | 22 |
| Cost of software licenses and support | –559 | –605 | –8 |
| Cost of cloud and software | –3,688 | –3,176 | 16 |
| Cost of services | –1,543 | –1,638 | –6 |
| Total cost of revenue | –5,232 | –4,813 | 9 |
| Gross profit | 14,201 | 13,226 | 7 |
| Research and development | –3,546 | –3,291 | 8 |
| Sales and marketing | –4,455 | –4,391 | 1 |
| General and administration | –762 | –719 | 6 |
| Restructuring | –19 | –18 | 8 |
| Other operating income/expense, net | –36 | –19 | 86 |
| Total operating expenses | –14,049 | –13,251 | 6 |
| Operating profit (loss) | 5,383 | 4,789 | 12 |
| Other non-operating income/expense, net | –16 | 7 | N/A |
| Finance income | 1,000 | 722 | 39 |
| Finance costs | –615 | –548 | 12 |
| Financial income, net | 385 | 175 | >100 |
| Profit (loss) before tax | 5,753 | 4,970 | 16 |
| Income tax expense | –1,597 | –1,425 | 12 |
| Profit (loss) after tax | 4,155 | 3,545 | 17 |
| Attributable to owners of parent | 4,112 | 3,477 | 18 |
| Attributable to non-controlling interests | 44 | 68 | –36 |
| Earnings per share, basic (in €)1 | 3.55 | 2.98 | 19 |
| Earnings per share, diluted (in €)1 | 3.54 | 2.96 | 20 |
1 For the first half of 2026 and 2025, the weighted average number of shares was 1,158 million (diluted: 1,163 million) and 1,167 million (diluted: 1,175 million), respectively (treasury stock excluded).
9/23
|
Quarterly Statement Q2 2026 |
- Consolidated Statements of Financial Position
| as at 6/30/2026 and 12/31/2025 | ||
| € millions | 2026 | 2025 |
| Cash and cash equivalents | 10,511 | 8,220 |
| Other financial assets | 1,114 | 1,552 |
| Trade and other receivables | 7,076 | 6,675 |
| Other non-financial assets | 3,267 | 3,212 |
| Tax assets | 680 | 598 |
| Total current assets | 22,649 | 20,256 |
| Goodwill | 30,408 | 29,014 |
| Intangible assets | 2,638 | 2,282 |
| Property, plant, and equipment | 4,504 | 4,497 |
| Other financial assets | 8,123 | 7,269 |
| Trade and other receivables | 149 | 218 |
| Other non-financial assets | 4,450 | 4,419 |
| Tax assets | 307 | 244 |
| Deferred tax assets | 2,381 | 2,163 |
| Total non-current assets | 52,960 | 50,106 |
| Total assets | 75,609 | 70,362 |
| € millions | 2026 | 2025 |
| Trade and other payables | 2,747 | 2,431 |
| Tax liabilities | 1,359 | 968 |
| Financial liabilities | 1,966 | 2,050 |
| Other non-financial liabilities | 3,699 | 4,849 |
| Provisions | 119 | 537 |
| Contract liabilities | 9,843 | 6,581 |
| Total current liabilities | 19,734 | 17,416 |
| Trade and other payables | 1 | 2 |
| Tax liabilities | 670 | 562 |
| Financial liabilities | 8,541 | 6,021 |
| Other non-financial liabilities | 456 | 524 |
| Provisions | 611 | 550 |
| Deferred tax liabilities | 211 | 72 |
| Contract liabilities | 136 | 144 |
| Total non-current liabilities | 10,627 | 7,873 |
| Total liabilities | 30,361 | 25,288 |
| Issued capital | 1,229 | 1,229 |
| Share premium | 2,969 | 2,778 |
| Retained earnings | 48,579 | 47,345 |
| Other components of equity | 1,155 | 182 |
| Treasury shares | –9,190 | –6,948 |
| Equity attributable to owners of parent | 44,742 | 44,586 |
| Non-controlling interests | 505 | 488 |
| Total equity | 45,248 | 45,073 |
| Total equity and liabilities | 75,609 | 70,362 |
10/23
|
Quarterly Statement Q2 2026 |
- Consolidated Statements of Cash Flows
| € millions | Q1–Q2 2026 | Q1–Q2 2025 |
| Profit (loss) after tax | 4,155 | 3,545 |
| Adjustments to reconcile profit (loss) after tax to net cash flows from operating activities: | ||
| Depreciation and amortization | 621 | 668 |
| Share-based payment expense | 753 | 949 |
| Income tax expense | 1,597 | 1,425 |
| Financial income, net | –385 | –175 |
| Increase/decrease in allowances on trade receivables | 31 | 18 |
| Other adjustments for non-cash items | –30 | –11 |
| Increase/decrease in trade and other receivables | –224 | 103 |
| Increase/decrease in other assets | 75 | –154 |
| Increase/decrease in trade payables, provisions, and other liabilities | –1,252 | –1,843 |
| Increase/decrease in contract liabilities | 2,990 | 3,121 |
| Share-based payments | –291 | –378 |
| Income taxes paid, net of refunds | –1,376 | –911 |
| Net cash flows from operating activities | 6,666 | 6,357 |
| Business combinations, net of cash and cash equivalents acquired | –991 | –5 |
| Purchase of intangible assets and property, plant, and equipment | –354 | –358 |
| Proceeds from sales of intangible assets and property, plant, and equipment | 55 | 78 |
| Purchase of equity or debt instruments of other entities | –1,780 | –3,386 |
| Proceeds from sales of equity or debt instruments of other entities | 1,988 | 2,812 |
| Interest received | 161 | 187 |
| Net cash flows from investing activities | –920 | –673 |
| Dividends paid | –2,883 | –2,743 |
| Dividends paid on non-controlling interests | –28 | 0 |
| Purchase of treasury shares | –2,600 | –1,633 |
| Proceeds from borrowings | 4,486 | 2 |
| Repayments of borrowings | –2,100 | –1,850 |
| Payments of lease liabilities | –117 | –138 |
| Interest paid | –302 | –379 |
| Net cash flows from financing activities | –3,545 | –6,742 |
| Effect of foreign currency rates on cash and cash equivalents | 90 | –610 |
| Net increase/decrease in cash and cash equivalents | 2,291 | –1,668 |
| Cash and cash equivalents at the beginning of the period | 8,220 | 9,609 |
| Cash and cash equivalents at the end of the period | 10,511 | 7,942 |
11/23
 |
Quarterly Statement Q2 2026 |
Non-IFRS Numbers
- Basis of Non-IFRS Presentation
We disclose certain financial measures that are not prepared in accordance with IFRS and are therefore considered non-IFRS financial measures. Our non-IFRS financial measures may not correspond to non-IFRS financial measures that other companies report. The non-IFRS financial measures that we report should only be considered in addition to, and not as substitutes for, nor as superior to, our IFRS financial measures.
We believe that the supplemental historical and prospective non-IFRS financial information we disclose is useful information to investors because it is used by our management, in addition to financial data prepared in accordance with IFRS, to gain a more transparent understanding of our past performance and our anticipated future results. For a more detailed description of all of SAP’s non-IFRS measures and their limitations as well as SAP’s constant currency and free cash flow figures, see Explanation of Non-IFRS Measures.
- Reconciliation from Non-IFRS Numbers to IFRS Numbers
| (E.1) | Reconciliation of Non-IFRS Revenue – Quarter |
| € millions, unless otherwise stated | Q2 2026 | Q2 2025 | ∆ in % | |||
| IFRS | Currency |
Non-IFRS |
IFRS | IFRS | Non-IFRS Constant Currency | |
| Revenue Numbers | ||||||
| Cloud | 6,281 | 100 | 6,381 | 5,130 | 22 | 24 |
| Software licenses | 131 | 1 | 131 | 194 | –32 | –32 |
| Software support | 2,439 | 29 | 2,467 | 2,642 | –8 | –7 |
| Software licenses and support | 2,570 | 29 | 2,599 | 2,835 | –9 | –8 |
| Cloud and software | 8,851 | 129 | 8,980 | 7,966 | 11 | 13 |
| Services | 1,027 | 11 | 1,038 | 1,061 | –3 | –2 |
| Total revenue | 9,878 | 140 | 10,018 | 9,027 | 9 | 11 |
12/23
|
Quarterly Statement Q2 2026 |
| (E.2) | Reconciliation of Non-IFRS Operating Expenses – Quarter |
| € millions, unless otherwise stated | Q2 2026 | Q2 2025 | ∆ in % | ||||||||
| IFRS | Adj. | Non-IFRS | Currency Impact |
Non-IFRS Constant Currency |
IFRS | Adj. | Non-IFRS | IFRS | Non-IFRS | Non-IFRS Constant Currency | |
| Operating Expense Numbers | |||||||||||
| Cost of cloud | –1,617 | 23 | –1,595 | –1,297 | 23 | –1,274 | 25 | 25 | |||
| Cost of software licenses and support | –263 | 0 | –263 | –313 | 0 | –313 | –16 | –16 | |||
| Cost of cloud and software | –1,881 | 23 | –1,858 | –1,610 | 23 | –1,587 | 17 | 17 | |||
| Cost of services | –769 | 0 | –769 | –797 | 0 | –797 | –3 | –3 | |||
| Total cost of revenue | –2,650 | 23 | –2,627 | –2,407 | 23 | –2,384 | 10 | 10 | |||
| Gross profit | 7,228 | 23 | 7,250 | 99 | 7,349 | 6,620 | 23 | 6,643 | 9 | 9 | 11 |
| Research and development | –1,844 | 1 | –1,843 | –1,618 | 1 | –1,616 | 14 | 14 | |||
| Sales and marketing | –2,315 | 57 | –2,258 | –2,156 | 68 | –2,088 | 7 | 8 | |||
| General and administration | –404 | 12 | –392 | –361 | 1 | –360 | 12 | 9 | |||
| Restructuring | –7 | 7 | 0 | –18 | 18 | 0 | –59 | N/A | |||
| Other operating income/expense, net | –14 | 0 | –14 | –11 | 0 | –11 | 28 | 28 | |||
| Total operating expenses | –7,235 | 100 | –7,135 | –75 | –7,210 | –6,571 | 112 | –6,459 | 10 | 10 | 12 |
| (E.3) | Reconciliation of Non-IFRS Profit Figures, Income Tax, and Key Ratios – Quarter |
| € millions, unless otherwise stated | Q2 2026 | Q2 2025 | ∆ in % | ||||||||
| IFRS | Adj. | Non-IFRS | Currency Impact |
Non-IFRS Constant Currency |
IFRS | Adj. | Non-IFRS | IFRS | Non-IFRS | Non-IFRS Constant Currency | |
| Profit Numbers | |||||||||||
| Operating profit (loss) | 2,643 | 100 | 2,743 | 66 | 2,808 | 2,456 | 112 | 2,568 | 8 | 7 | 9 |
| Other non-operating income/expense, net | –39 | 0 | –39 | –3 | 0 | –3 | >100 | >100 | |||
| Finance income | 726 | –625 | 101 | 317 | –210 | 107 | >100 | –6 | |||
| Finance costs | –323 | 162 | –161 | –268 | 119 | –149 | 21 | 9 | |||
| Financial income, net | 403 | –463 | –60 | 49 | –91 | –42 | >100 | 45 | |||
| Profit (loss) before tax | 3,006 | –363 | 2,643 | 2,502 | 22 | 2,524 | 20 | 5 | |||
| Income tax expense | –797 | –18 | –815 | –753 | –24 | –776 | 6 | 5 | |||
| Profit (loss) after tax | 2,209 | –381 | 1,828 | 1,749 | –2 | 1,747 | 26 | 5 | |||
| Attributable to owners of parent | 2,180 | –348 | 1,832 | 1,697 | 56 | 1,753 | 28 | 4 | |||
| Attributable to non-controlling interests | 30 | –33 | –4 | 52 | –58 | –6 | –43 | –38 | |||
| Key Ratios | |||||||||||
| Operating margin (in %) | 26.8 | 27.8 | 28.0 | 27.2 | 28.5 | –0.5pp | –0.7pp | –0.4pp | |||
| Effective tax rate (in %)1 | 26.5 | 30.8 | 30.1 | 30.8 | –3.6pp | 0.1pp | |||||
| Earnings per share, basic (in €) | 1.89 | 1.59 | 1.45 | 1.50 | 30 | 6 | |||||
1 In Q2 2026 and Q2 2025 the difference between our IFRS effective tax rate and non-IFRS effective tax rate mainly resulted from tax effects of equity securities.
13/23
|
Quarterly Statement Q2 2026 |
| (E.4) | Reconciliation of Non-IFRS Revenue – Year-to-Date |
| € millions, unless otherwise stated | Q1–Q2 2026 | Q1–Q2 2025 | ∆ in % | |||
| IFRS | Currency Impact |
Non-IFRS Constant Currency |
IFRS | IFRS | Non-IFRS Constant Currency | |
| Revenue Numbers | ||||||
| Cloud | 12,244 | 464 | 12,708 | 10,124 | 21 | 26 |
| Software licenses | 247 | 7 | 254 | 377 | –34 | –33 |
| Software support | 4,908 | 145 | 5,053 | 5,403 | –9 | –6 |
| Software licenses and support | 5,155 | 151 | 5,307 | 5,780 | –11 | –8 |
| Cloud and software | 17,399 | 615 | 18,014 | 15,904 | 9 | 13 |
| Services | 2,033 | 66 | 2,100 | 2,136 | –5 | –2 |
| Total revenue | 19,432 | 681 | 20,114 | 18,040 | 8 | 11 |
| (E.5) | Reconciliation of Non-IFRS Operating Expenses – Year-to-Date |
| € millions, unless otherwise stated | Q1–Q2 2026 | Q1–Q2 2025 | ∆ in % | ||||||||
| IFRS | Adj. | Non-IFRS | Currency Impact |
Non-IFRS Constant Currency |
IFRS | Adj. | Non-IFRS | IFRS | Non-IFRS | Non-IFRS Constant Currency | |
| Operating Expense Numbers | |||||||||||
| Cost of cloud | –3,130 | 54 | –3,076 | –2,570 | 48 | –2,523 | 22 | 22 | |||
| Cost of software licenses and support | –559 | 9 | –550 | –605 | 0 | –605 | –8 | –9 | |||
| Cost of cloud and software | –3,688 | 63 | –3,625 | –3,176 | 48 | –3,128 | 16 | 16 | |||
| Cost of services | –1,543 | 0 | –1,544 | –1,638 | 1 | –1,637 | –6 | –6 | |||
| Total cost of revenue | –5,232 | 63 | –5,169 | –4,813 | 48 | –4,765 | 9 | 8 | |||
| Gross profit | 14,201 | 63 | 14,263 | 482 | 14,746 | 13,226 | 48 | 13,275 | 7 | 7 | 11 |
| Research and development | –3,546 | 2 | –3,543 | –3,291 | 3 | –3,288 | 8 | 8 | |||
| Sales and marketing | –4,455 | 114 | –4,341 | –4,391 | 163 | –4,228 | 1 | 3 | |||
| General and administration | –762 | 28 | –734 | –719 | 2 | –717 | 6 | 2 | |||
| Restructuring | –19 | 19 | 0 | –18 | 18 | 0 | 8 | N/A | |||
| Other operating income/expense, net | –36 | 0 | –36 | –19 | 0 | –19 | 86 | 86 | |||
| Total operating expenses | –14,049 | 226 | –13,823 | –439 | –14,262 | –13,251 | 235 | –13,016 | 6 | 6 | 10 |
14/23
|
Quarterly Statement Q2 2026 |
| (E.6) | Reconciliation of Non-IFRS Profit Figures, Income Tax, and Key Ratios – Year-to-Date |
| € millions, unless otherwise stated | Q1–Q2 2026 | Q1–Q2 2025 | ∆ in % | ||||||||
| IFRS | Adj. | Non-IFRS | Currency Impact |
Non-IFRS Constant Currency |
IFRS | Adj. | Non-IFRS | IFRS | Non-IFRS | Non-IFRS Constant Currency | |
| Profit Numbers | |||||||||||
| Operating profit (loss) | 5,383 | 226 | 5,609 | 242 | 5,852 | 4,789 | 235 | 5,024 | 12 | 12 | 16 |
| Other non-operating income/expense, net | –16 | 0 | –16 | 7 | 0 | 7 | N/A | N/A | |||
| Finance income | 1,000 | –810 | 191 | 722 | –491 | 231 | 39 | –17 | |||
| Finance costs | –615 | 306 | –309 | –548 | 192 | –356 | 12 | –13 | |||
| Financial income, net | 385 | –504 | –119 | 175 | –299 | –125 | >100 | –5 | |||
| Profit (loss) before tax | 5,753 | –277 | 5,475 | 4,970 | –64 | 4,906 | 16 | 12 | |||
| Income tax expense | –1,597 | –48 | –1,645 | –1,425 | –53 | –1,478 | 12 | 11 | |||
| Profit (loss) after tax | 4,155 | –325 | 3,830 | 3,545 | –117 | 3,428 | 17 | 12 | |||
| Attributable to owners of parent | 4,112 | –279 | 3,833 | 3,477 | –45 | 3,432 | 18 | 12 | |||
| Attributable to non-controlling interests | 44 | –46 | –3 | 68 | –72 | –4 | –36 | –36 | |||
| Key Ratios | |||||||||||
| Operating margin (in %) | 27.7 | 28.9 | 29.1 | 26.5 | 27.8 | 1.2pp | 1.0pp | 1.2pp | |||
| Effective tax rate (in %)1 | 27.8 | 30.0 | 28.7 | 30.1 | –0.9pp | –0.1pp | |||||
| Earnings per share, basic (in €) | 3.55 | 3.31 | 2.98 | 2.94 | 19 | 12 | |||||
1 In the first half of 2026 and 2025 the difference between our effective IFRS tax rate and non-IFRS effective tax rate mainly resulted from tax effects of equity securities.
| (E.7) | Reconciliation of Free Cash Flow |
| € millions, unless otherwise stated | Q1-Q2 2026 | Q1-Q2 2025 |
| Net cash flows from operating activities | 6,666 | 6,357 |
| Purchase of intangible assets and property, plant, and equipment | –354 | –358 |
| Proceeds from sales of intangible assets and property, plant, and equipment | 55 | 78 |
| Payments of lease liabilities | –117 | –138 |
| Free cash flow | 6,250 | 5,939 |
| Net cash flows from investing activities | –920 | –673 |
| Net cash flows from financing activities | –3,545 | –6,742 |
15/23
|
Quarterly Statement Q2 2026 |
- Non-IFRS Adjustments – Actuals and Estimates
| € millions, unless otherwise stated | Estimated Amounts for Full Year 2026 |
Q2 2026 | Q1–Q2 2026 | Q2 2025 | Q1–Q2 2025 |
| Profit (loss) before tax (IFRS) | 3,006 | 5,753 | 2,502 | 4,970 | |
| Adjustment for acquisition-related charges | 340–420 | 92 | 177 | 94 | 217 |
| Adjustment for restructuring expenses | 0–20 | 7 | 19 | 18 | 18 |
| Adjustment for the Teradata litigation expenses | 29 | 0 | 29 | 0 | 0 |
| Adjustment for gains and losses from equity securities, net | N/A1 | –463 | –504 | –91 | –299 |
| Profit (loss) before tax (non-IFRS) | 2,643 | 5,475 | 2,524 | 4,906 |
1 Due to the uncertainty and potential variability of gains and losses from equity securities, we cannot provide an estimate for the full year without unreasonable efforts. This item could however have a material impact on our non-IFRS measures below operating profit.
- Non-IFRS Operating Expense Adjustments by Functional Areas
| Q2 2026 | Q2 2025 | |||||||||
| € millions | IFRS | Acquisition- Related |
Restructuring | Teradata litigation |
Non-IFRS | IFRS | Acquisition- Related |
Restructuring | Teradata litigation |
Non-IFRS |
| Cost of cloud | –1,617 | 23 | 0 | 0 | –1,595 | –1,297 | 23 | 0 | 0 | –1,274 |
| Cost of software licenses and support | –263 | 0 | 0 | 0 | –263 | –313 | 0 | 0 | 0 | –313 |
| Cost of services | –769 | 0 | 0 | 0 | –769 | –797 | 0 | 0 | 0 | –797 |
| Research and development | –1,844 | 1 | 0 | 0 | –1,843 | –1,618 | 1 | 0 | 0 | –1,616 |
| Sales and marketing | –2,315 | 57 | 0 | 0 | –2,258 | –2,156 | 68 | 0 | 0 | –2,088 |
| General and administration | –404 | 12 | 0 | 0 | –392 | –361 | 1 | 0 | 0 | –360 |
| Restructuring | –7 | 0 | 7 | 0 | 0 | –18 | 0 | 18 | 0 | 0 |
| Other operating income/expense, net | –14 | 0 | 0 | 0 | –14 | –11 | 0 | 0 | 0 | –11 |
| Total operating expenses | –7,235 | 92 | 7 | 0 | –7,135 | –6,571 | 94 | 18 | 0 | –6,459 |
| € millions | Q1–Q2 2026 | Q1–Q2 2025 | ||||||||
| IFRS | Acquisition- Related |
Restructuring | Teradata litigation | Non-IFRS | IFRS | Acquisition- Related |
Restructuring | Teradata litigation | Non-IFRS | |
| Cost of cloud | –3,130 | 45 | 0 | 9 | –3,076 | –2,570 | 48 | 0 | 0 | –2,523 |
| Cost of software licenses and support | –559 | 0 | 0 | 9 | –550 | –605 | 0 | 0 | 0 | –605 |
| Cost of services | –1,543 | 0 | 0 | 0 | –1,544 | –1,638 | 1 | 0 | 0 | –1,637 |
| Research and development | –3,546 | 2 | 0 | 0 | –3,543 | –3,291 | 3 | 0 | 0 | –3,288 |
| Sales and marketing | –4,455 | 114 | 0 | 0 | –4,341 | –4,391 | 163 | 0 | 0 | –4,228 |
| General and administration | –762 | 17 | 0 | 12 | –734 | –719 | 2 | 0 | 0 | –717 |
| Restructuring | –19 | 0 | 19 | 0 | 0 | –18 | 0 | 18 | 0 | 0 |
| Other operating income/expense, net | –36 | 0 | 0 | 0 | –36 | –19 | 0 | 0 | 0 | –19 |
| Total operating expenses | –14,049 | 177 | 19 | 29 | –13,823 | –13,251 | 217 | 18 | 0 | –13,016 |
16/23
|
Quarterly Statement Q2 2026 |
Disaggregations
- Segment Reporting
| (H.1) | Segment Policies and Changes |
At the end of the first half of 2026, SAP had two operating segments: the Applications, Technology & Support (ATS) segment and the Core Services segment:
The ATS segment represents SAP’s cohesive product portfolio which is holistically steered and commercialized. It primarily generates revenue from cloud subscriptions and from the sale of software licenses and support offerings, and it incurs cost for support, operating our solutions, and the provision of infrastructure. Revenue and the cost of services arise from SAP’s training business, which is highly integrated with SAP’s product portfolio. Reltio, a newly acquired company, is part of the ATS segment, because the intention is for its platform to become a core capability within SAP BDC.
The Core Services segment supports SAP’s product portfolio by enabling customers to transform their business and accelerate the adoption of innovations. Revenues are mainly generated from professional consulting services and premium support services. Cost is incurred primarily for the delivery of those services. The Core Services segment does not reflect the full services business.
| (H.2) | Segment Reporting – Quarter |
Applications, Technology & Support (ATS)
| € millions (non-IFRS) |
Q2 2026 | Q2 2025 | |
| Actual Currency |
Constant
Currency |
Actual Currency | |
| Cloud | 6,281 | 6,381 | 5,130 |
| Software licenses | 131 | 131 | 194 |
| Software support | 2,439 | 2,467 | 2,642 |
| Software licenses and support | 2,570 | 2,599 | 2,835 |
| Cloud and software | 8,851 | 8,980 | 7,966 |
| Services | 61 | 61 | 69 |
| Total segment revenue | 8,912 | 9,041 | 8,034 |
| Cost of cloud | –1,504 | –1,528 | –1,223 |
| Cost of software licenses and support | –255 | –257 | –282 |
| Cost of cloud and software | –1,759 | –1,785 | –1,505 |
| Cost of services | –92 | –92 | –88 |
| Total cost of revenue | –1,851 | –1,878 | –1,593 |
| Segment gross profit | 7,061 | 7,163 | 6,441 |
| Other segment expenses | –3,504 | –3,534 | –3,150 |
| Segment profit (loss) | 3,557 | 3,629 | 3,291 |
17/23
|
Quarterly Statement Q2 2026 |
Core Services
| € millions (non-IFRS) |
Q2 2026 | Q2 2025 | |
| Actual Currency |
Constant
Currency |
Actual Currency | |
| Services | 966 | 977 | 992 |
| Total segment revenue | 966 | 977 | 992 |
| Cost of cloud | –62 | –63 | –27 |
| Cost of software licenses and support | –1 | –1 | –4 |
| Cost of cloud and software | –63 | –64 | –31 |
| Cost of services | –657 | –663 | –687 |
| Total cost of revenue | –720 | –726 | –718 |
| Segment gross profit | 245 | 251 | 274 |
| Other segment expenses | –153 | –154 | –136 |
| Segment profit (loss) | 92 | 97 | 139 |
18/23
|
Quarterly Statement Q2 2026 |
| (H.3) | Segment Reporting – Year-to-Date |
Applications, Technology & Support
| € millions (non-IFRS) |
Q1–Q2 2026 | Q1–Q2 2025 | |
| Actual Currency |
Constant
Currency |
Actual Currency | |
| Cloud | 12,244 | 12,708 | 10,124 |
| Software licenses | 247 | 254 | 377 |
| Software support | 4,908 | 5,053 | 5,403 |
| Software licenses and support | 5,155 | 5,307 | 5,780 |
| Cloud and software | 17,399 | 18,014 | 15,904 |
| Services | 123 | 126 | 147 |
| Total segment revenue | 17,522 | 18,140 | 16,051 |
| Cost of cloud | –2,900 | –3,033 | –2,433 |
| Cost of software licenses and support | –527 | –542 | –561 |
| Cost of cloud and software | –3,426 | –3,576 | –2,994 |
| Cost of services | –190 | –195 | –198 |
| Total cost of revenue | –3,616 | –3,771 | –3,192 |
| Segment gross profit | 13,906 | 14,369 | 12,859 |
| Other segment expenses | –6,768 | –6,963 | –6,428 |
| Segment profit (loss) | 7,137 | 7,407 | 6,431 |
Core Services
| € millions (non-IFRS) |
Q1–Q2 2026 | Q1–Q2 2025 | |
| Actual Currency |
Constant
Currency |
Actual Currency | |
| Services | 1,910 | 1,974 | 1,989 |
| Total segment revenue | 1,910 | 1,974 | 1,989 |
| Cost of cloud | –116 | –119 | –53 |
| Cost of software licenses and support | –2 | –2 | –8 |
| Cost of cloud and software | –118 | –121 | –62 |
| Cost of services | –1,309 | –1,344 | –1,393 |
| Total cost of revenue | –1,427 | –1,465 | –1,455 |
| Segment gross profit | 483 | 509 | 534 |
| Other segment expenses | –296 | –303 | –285 |
| Segment profit (loss) | 187 | 206 | 249 |
19/23
|
Quarterly Statement Q2 2026 |
- Revenue by Region (IFRS and Non-IFRS)
| (I.1) | Revenue by Region (IFRS and Non-IFRS) – Quarter |
| € millions | Q2 2026 | Q2 2025 | ∆ in % | |||
| Actual currency | Currency Impact |
Constant
Currency |
Actual currency | Actual currency | Constant Currency | |
| Cloud Revenue by Region | ||||||
| EMEA | 2,737 | 3 | 2,741 | 2,163 | 27 | 27 |
| Americas | 2,631 | 46 | 2,677 | 2,215 | 19 | 21 |
| APJ | 913 | 50 | 964 | 753 | 21 | 28 |
| Cloud revenue | 6,281 | 100 | 6,381 | 5,130 | 22 | 24 |
| Cloud and Software Revenue by Region | ||||||
| EMEA | 4,128 | 0 | 4,128 | 3,669 | 13 | 13 |
| Americas | 3,453 | 61 | 3,513 | 3,106 | 11 | 13 |
| APJ | 1,270 | 68 | 1,338 | 1,191 | 7 | 12 |
| Cloud and software revenue | 8,851 | 129 | 8,980 | 7,966 | 11 | 13 |
| Total Revenue by Region | ||||||
| Germany | 1,560 | 1 | 1,561 | 1,412 | 10 | 10 |
| Rest of EMEA | 3,043 | –2 | 3,041 | 2,746 | 11 | 11 |
| Total EMEA | 4,603 | –1 | 4,602 | 4,158 | 11 | 11 |
| United States | 3,037 | 76 | 3,113 | 2,829 | 7 | 10 |
| Rest of Americas | 844 | –7 | 837 | 725 | 16 | 15 |
| Total Americas | 3,881 | 69 | 3,950 | 3,554 | 9 | 11 |
| Japan | 384 | 47 | 431 | 392 | –2 | 10 |
| Rest of APJ | 1,009 | 26 | 1,035 | 923 | 9 | 12 |
| Total APJ | 1,394 | 73 | 1,466 | 1,315 | 6 | 11 |
| Total revenue | 9,878 | 140 | 10,018 | 9,027 | 9 | 11 |
| (I.2) | Revenue by Region (IFRS and Non-IFRS) – Year-to-Date |
| € millions | Q1-Q2 2026 | Q1-Q2 2025 | ∆ in % | |||
| Actual Currency | Currency Impact |
Constant
Currency |
Actual Currency | Actual Currency | Constant Currency | |
| Cloud Revenue by Region | ||||||
| EMEA | 5,321 | 44 | 5,366 | 4,195 | 27 | 28 |
| Americas | 5,147 | 284 | 5,431 | 4,446 | 16 | 22 |
| APJ | 1,775 | 136 | 1,911 | 1,483 | 20 | 29 |
| Cloud revenue | 12,244 | 464 | 12,708 | 10,124 | 21 | 26 |
| Cloud and Software Revenue by Region | ||||||
| EMEA | 8,119 | 45 | 8,165 | 7,208 | 13 | 13 |
| Americas | 6,765 | 379 | 7,143 | 6,315 | 7 | 13 |
| APJ | 2,515 | 191 | 2,706 | 2,382 | 6 | 14 |
| Cloud and software revenue | 17,399 | 615 | 18,014 | 15,904 | 9 | 13 |
| Total Revenue by Region | ||||||
| Germany | 3,086 | 3 | 3,089 | 2,791 | 11 | 11 |
| Rest of EMEA | 5,996 | 46 | 6,042 | 5,400 | 11 | 12 |
| Total EMEA | 9,082 | 49 | 9,131 | 8,191 | 11 | 11 |
| United States | 5,968 | 388 | 6,356 | 5,781 | 3 | 10 |
| Rest of Americas | 1,629 | 39 | 1,668 | 1,437 | 13 | 16 |
| Total Americas | 7,597 | 427 | 8,024 | 7,219 | 5 | 11 |
| Japan | 773 | 101 | 873 | 789 | –2 | 11 |
| Rest of APJ | 1,980 | 105 | 2,085 | 1,841 | 8 | 13 |
| Total APJ | 2,753 | 206 | 2,959 | 2,630 | 5 | 12 |
| Total revenue | 19,432 | 681 | 20,114 | 18,040 | 8 | 11 |
20/23
|
Quarterly Statement Q2 2026 |
- Employees by Region and Functional Areas
| Full-time equivalents | 6/30/2026 | 6/30/2025 | ||||||
| EMEA | Americas | APJ | Total | EMEA | Americas | APJ | Total | |
| Cloud and software | 4,684 | 4,573 | 5,496 | 14,752 | 4,553 | 4,486 | 5,109 | 14,148 |
| Services | 8,298 | 4,600 | 5,842 | 18,741 | 8,237 | 4,681 | 5,814 | 18,732 |
| Research and development | 18,741 | 5,883 | 13,685 | 38,309 | 18,063 | 5,761 | 13,349 | 37,174 |
| Sales and marketing | 12,315 | 10,050 | 5,017 | 27,382 | 11,694 | 9,793 | 4,981 | 26,467 |
| General and administration | 4,098 | 1,952 | 1,365 | 7,415 | 3,903 | 1,910 | 1,343 | 7,157 |
| Infrastructure | 3,208 | 1,138 | 1,073 | 5,419 | 3,123 | 1,152 | 976 | 5,252 |
| SAP Group (6/30) | 51,345 | 28,195 | 32,479 | 112,019 | 49,574 | 27,783 | 31,573 | 108,929 |
| Thereof acquisitions1 | 83 | 226 | 194 | 503 | 0 | 0 | 0 | 0 |
| SAP Group (six months’ end average) | 51,072 | 27,886 | 32,205 | 111,163 | 49,038 | 27,695 | 31,264 | 107,997 |
1 Acquisitions closed between January 1 and June 30 of the respective year.
21/23
|
Quarterly Statement Q2 2026 |
Other Disclosures
- Share-Based Payment Expenses
SAP’s share-based payment expenses included in SAPs non-IFRS operating expenses break down as follows:
| € millions | Q2 2026 | Q1–Q2 2026 | Q2 2025 | Q1–Q2 2025 |
| Cost of cloud | –32 | –53 | –33 | –59 |
| Cost of software licenses and support | –8 | –13 | –9 | –16 |
| Cost of services | –64 | –108 | –72 | –133 |
| Research and development | –202 | –325 | –190 | –326 |
| Sales and marketing | –135 | –225 | –180 | –331 |
| General and administration | –27 | –29 | –45 | –84 |
| Share-based payment expenses | –468 | –753 | –529 | –949 |
The decrease in share-based payment expenses is mainly due to a reduction in the SAP share price of around €75 in the first half of 2026, as compared to an increase in the first half of 2025 of around €20.
For more information about share-based payment expenses, see the Notes to the Consolidated Half-Year Financial Statements 2026, Note (B.3).
- Teradata Litigation Matter
The Teradata litigation claims had been pending in the U.S. federal court since 2018 when Teradata Corporation, Teradata US, Inc. and Teradata Operations, Inc. (collectively “Teradata”) filed a civil lawsuit against SAP SE, SAP America, Inc. and SAP Labs, LLC. A provision of €387 million for a potential settlement amount and related legal fees had been recognized as of December 31, 2025. End of February 2026, SAP and Teradata settled the legal dispute and agreed to withdraw all pending lawsuits. As a result of the settlement, an additional expense of €29 million (Q1 2025: €0 million) was recorded. SAP paid the full settlement amount of US$480 million (€408 million) in March 2026.
For more information about the Teradata litigation, see the Notes to the Consolidated Half-Year Financial Statements 2026, Note (G.1).
- Business Combinations
On March 27, 2026, SAP announced its intention to acquire 100% of Reltio Inc. (“Reltio”), a leading master data management software provider, to help customers make their SAP and non-SAP enterprise data AI-ready. The transaction closed on May 7, 2026, following satisfaction of customary closing conditions and regulatory approvals. The consideration transferred amounted to US$1,259 million (€1,076 million) and the majority was paid in cash.
The acquisition is expected to help SAP to strengthen SAP Business Data Cloud (SAP BDC) and accelerate the evolution of SAP BDC to a fully interoperable enterprise data platform for enterprise-wide agentic AI and accelerate its customers’ ability to govern and expose master data as trusted and context-rich data products across multiple sources that serve both traditional analytics workloads and AI agents.
Given that the Reltio acquisition closed only recently, we are still in the process of identifying and measuring the Reltio assets and liabilities. Thus, the accounting for the Reltio acquisition is preliminary. This primarily relates to intangible assets and tax assets and liabilities, but also to certain acquisition accounting related matters such as the consideration transferred and certain accounting alignments.
In the second quarter of 2026, the contribution of Reltio to revenue was approximately €25 million, to operating profit (IFRS) approximately €-13 million and operating profit (non-IFRS) approximately €-8 million.
For more information about the Reltio acquisition, see the Notes to the Consolidated Half-Year Financial Statements 2026, Note (D.1).
22/23
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Quarterly Statement Q2 2026 |
- 2027 Reporting Changes
The following changes will be effective as of 2027.
IFRS 18 “Presentation and Disclosure in Financial Statements” will become effective and replace IAS 1 “Presentation of Financial Statements” on January 1, 2027. The new standard will affect the presentation of our Consolidated Income Statements, introduce additional disclosure requirements, and further specify aggregation and disaggregation of information in our Notes to the Consolidated Financial Statements. For more information, see the Notes to the Consolidated Half-Year Financial Statements 2026, Note (IN.1).
As a consequence of implementing IFRS 18, starting in 2027 SAP has decided to introduce two new non-IFRS adjustments.
| (N.1) | Foreign Currency-Related Effects |
Starting in 2027, SAP will exclude foreign currency-related effects from its non-IFRS results. This adjustment will include realized and unrealized foreign currency effects arising mainly from balance sheet revaluations, as well as hedging of foreign exchange balance sheet exposure, hedging of foreign exchange cash flows, and other similar effects.
We will exclude foreign currency-related effects to ensure overall consistent treatment in our non-IFRS figures at constant currency. We believe this adjustment will improve period-over-period comparability by reducing the volatility that results from foreign exchange rate fluctuation, which is beyond our control, and making it easier to compare SAP’s operating performance with that of our US peers.
| (N.2) | Interest Related to Taxes |
Starting in 2027, SAP will exclude interest related to taxes from its non-IFRS operating profit results. This adjustment will include interest income and interest expense related to income taxes and other taxes.
We will exclude interest related to taxes from our operating expense (non-IFRS) as these effects are not indicative of SAP’s core operating activities.
In addition to operating profit (non-IFRS), the adjustments mentioned in (N.1) and (N.2) will also impact our profit before tax (non-IFRS), profit after tax (non-IFRS), and our non-IFRS key ratios such as operating margin, effective tax rate, and basic earnings per share.
23/23