Feeds

SAP happy enough, despite lack of massive lawsuit win this year

McDermott boasts of huge bulge into the cloud

New hybrid storage solutions

German software maker SAP reported a massive plunge in Q3 profits but an operational slip was not to blame, just a one-off gain from its lawsuit with Oracle a year ago.

This still left the vendor with a bottom line of €618m, albeit 51 per cent lower than the €1.25bn ($1.62bn) it banked 12 months ago when earnings were boosted €566m ($723m) by a judge reducing damages in a lawsuit brought by Oracle.

The positive momentum in sales seen last quarter continued with turnover up 16 per cent year-on-year to €3.95bn, fuelled by operations in the Americas and Asia Pacific, up 37 and 18 per cent respectively, which offset flat European revenues.

Software licensing went up 17 per cent to €1.02bn, and support grew 16 per cent to €2.1bn, but the "innovation" hotspots for SAP that will become a bigger part of its future did well too.

The in-memory database tech HANA grew to €83m, up from €34m; mobile application extensions reached €48m; and cloudy support and subscriptions hit €80m up from €4m.

Co-CEO Bill McDermott claimed on a conference call with analysts that "we have tremendous growth in the cloud".

In fact SAP forecasted bullishly that it would be the first vendor in the cloud to turn a profit, with €2bn annually earmarked from 2015, compared to the losses the unit is generating today.

SAP raised 2012 revenue outlook, saying sales will reach the upper end of its 10.5 to 12.5 per cent forecast, due in part to the recent acquisition of Ariba.

The legal spat with Larry Ellison's army arose after Oracle sued former SAP sub TomorrowNow over copyright infringement, initially resulting in damages of $1.3bn.

A judge later overturned that decision and told Larry that his firm could have $306m in damages plus legal costs. It emerged last month that Oracle is pushing for higher damages. ®

Security for virtualized datacentres

More from The Register

next story
Not appy with your Chromebook? Well now it can run Android apps
Google offers beta of tricky OS-inside-OS tech
Greater dev access to iOS 8 will put us AT RISK from HACKERS
Knocking holes in Apple's walled garden could backfire, says securo-chap
NHS grows a NoSQL backbone and rips out its Oracle Spine
Open source? In the government? Ha ha! What, wait ...?
Google extends app refund window to two hours
You now have 120 minutes to finish that game instead of 15
Intel: Hey, enterprises, drop everything and DO HADOOP
Big Data analytics projected to run on more servers than any other app
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.