WALLDORF — SAP SE has released its financial performance for the fourth quarter and the full fiscal year ending December 31, 2025, showcasing robust growth across its cloud offerings and overall revenue.
The company has successfully met its revenue targets and exceeded its non-IFRS operating profit and free cash flow expectations for the fiscal year. Notably, SAP reported a 22% increase in total cloud backlog, which surged to a record 77 billion euros, bolstered further by a 30% rise when measured at constant currencies. The current cloud backlog also saw an impressive growth of 16%, or 25% at constant currencies.
In terms of revenue, SAP’s cloud segment experienced a 23% increase, climbing to 26% when adjusted for constant currencies. The Cloud ERP Suite revenue reported an even more remarkable growth of 28%, and 32% at constant currencies. Overall, total revenue increased by 8%, and by 11% at constant currencies for FY2025.
On the profitability front, SAP’s IFRS operating profit saw an extraordinary 111% growth, while the non-IFRS operating profit rose by 28% and by 31% at constant currencies.
Echoing the company’s strong performance, CEO Christian Klein commented on the quarter’s impressive cloud results, emphasizing that the substantial growth in cloud bookings is foundational for ongoing revenue acceleration through 2027. He acknowledged that SAP Business AI has significantly contributed to this growth, being part of two-thirds of the company’s cloud order entries in Q4.
CFO Dominik Asam highlighted the successful close of 2025, pointing out the company’s strong operating profit and free cash flow, which exceeded expectations. Asam attributed this performance to focused execution and the trust customers have in SAP as a key player in their digital transformation journey. He expressed confidence that the company’s strategy and operational discipline will continue to foster long-term value.
In addition, SAP announced a two-year share repurchase program, with plans to buy back shares worth up to €10 billion, indicating the company’s commitment to returning value to shareholders.
The overall results reflect SAP’s strategic focus on driving growth through cloud services and AI, suggesting a positive outlook for the company’s future as it positions itself for continued success in the competitive digital landscape.