SAP Announces First Quarter 2013 Results - Non-IFRS Software and Cloud Subscription Revenue Increased 25% at Constant

    SAP Announces First Quarter 2013 Results - Non-IFRS Software and Cloud
          Subscription Revenue Increased 25% at Constant Currencies

PR Newswire

WALLDORF, Germany, April 19, 2013

WALLDORF, Germany, April 19, 2013 /PRNewswire/ --

  oFirst Quarter 2013 Non-IFRS Software and Cloud Subscription Revenue
    Increased 23% to €824 Million (25% at Constant Currencies)
  oFirst Quarter 2013 Non-IFRS Software and Software-Related Service Revenue
    Increased 12% to €2.94 Billion (14% at Constant Currencies)
  o13^th Consecutive Quarter of Double-Digit Growth in Non-IFRS Software and
    Software-Related Service Revenue
  oExceptional Growth for SAP HANA: SAP's Flagship In-Memory Platform Tripled
    Software Revenue Year-Over-Year
  oStrong Cloud Momentum: Annual Cloud Revenue Run Rate Approaching €900
    Million
  oFirst Quarter 2013 Non-IFRS Operating Profit Increased 8% to €901 Million
    (11% at Constant Currencies)
  oFirst Quarter Non-IFRS EPS Increased 18% to €0.58
  oSAP Reiterates Full Year 2013 Outlook

SAP AG (NYSE: SAP) today announced its financial results for the first quarter
ended March 31, 2013.

(Logo: http://photos.prnewswire.com/prnh/20110126/AQ34470LOGO)

BUSINESS HIGHLIGHTS IN THE FIRST QUARTER 2013

SAP had a solid start to 2013 with 23% (25% at constant currencies) growth in
non-IFRS software and cloud subscription revenue. SAP achieved €824 million in
non-IFRS software and cloud subscription revenue in the first quarter.

The Americas region delivered a strong first quarter, with non-IFRS software
and cloud subscription revenue growing by 49% (51% at constant currencies),
driven by excellent software revenue performance in Latin America and strong
cloud subscription and support revenue growth in North America. The EMEA
region saw solid growth of 13% (15% at constant currencies) in non-IFRS
software and cloud subscription revenue, which is impressive in light of
continued market uncertainty. Strong year-on-year software revenue growth
rates in many markets including Russia, Switzerland, and the UK contributed to
this performance. Non-IFRS software and cloud subscription revenue in the Asia
Pacific Japan (APJ) region declined, as several markets in APJ started more
slowly in 2013 after a record fourth quarter in 2012 and new leadership in
some markets. The company expects the APJ region to be back on track in the
second quarter.

SAP HANA continues to be a major growth engine for SAP. SAP HANA software
revenue tripled year-on-year, contributing €86 million to software revenue
this quarter. The company also continues to expand its market leadership with
strong double-digit growth in its mobile business.

The Company sees continued strong growth in the cloud. With the most
comprehensive portfolio of cloud solutions, SAP's annual cloud revenue run
rate is approaching €900 million^^[1]. First quarter 2013 Non-IFRS cloud
subscription and support revenue was €167 million, up 380% year-over-year.
Non-IFRS deferred cloud subscription and support revenue^^[2] was €377 million
as of March 31, 2013, which is a year-over-year increase of 95%. The Company's
cloud subscription and support backlog^^[3] as of December 31, 2012 was €800
million. SAP's cloud applications total subscribers now exceed 24 million. For
the Ariba segment the trailing twelve month network spend volume^^[4] was
approximately $460 billion. More than 1 million companies are connected
through the Ariba network, the world's largest Web-based business trading
community.

"Our industry is at a fundamental transformation point, driven by the
convergence of mobile, cloud and big data. SAP's 25% growth shows that we are
not only leading this change but also gaining significant worldwide market
share," said SAP Co-CEOs Bill McDermott and Jim Hagemann Snabe. "Customers
continue to choose our innovations to help them run better, and SAP HANA is
the next-generation platform for all companies to innovate their business,
drive speed across the entire enterprise and reduce costs. SAP's pipeline is
strong, and we are confident that we will achieve our full-year outlook."

"Non-IFRS software and cloud subscription revenue exceeded €800 million for
the first time in a first quarter. We saw very strong revenue contribution
from SAP HANA and continued growth in the cloud. The solid top line
performance and continued cost discipline resulted in double-digit growth in
Non-IFRS operating profit at constant currencies," said Werner Brandt, CFO of
SAP. "We are on track to deliver on our 2015 goals and our overall financial
objective of profitable growth over the long term."

FINANCIAL RESULTS IN DETAIL
FINANCIAL HIGHLIGHTS – First Quarter 2013

                     First Quarter 2013^1)
                     IFRS                   Non-IFRS^2)
                                                                       %
€ million, unless    Q1 2013 Q1 2012 %      Q1 2013     Q1 2012 %      change
otherwise stated                     change                     change const.
                                                                       curr.
Software             657     637     3      657         637     3      5
Cloud subscriptions  137     29      373    167         35      380    385
and support
Software and cloud   794     666     19     824         672     23     25
subscriptions
Support              2,109   1,953   8      2,113       1,954   8      10
Software and
software-related     2,903   2,619   11     2,937       2,626   12     14
service revenue
Total revenue        3,601   3,350   7      3,636       3,357   8      10
Total operating      −2,955  −2,719  9      −2,734      −2,523  8      10
expenses
- thereof
TomorrowNow          0       7       −97    0           0       0      N/A
litigation
Operating profit     646     631     2      901         834     8      11
Operating margin (%) 17.9    18.8    −0.9pp 24.8        24.8    0.0pp  0.3pp
Profit after tax     520     444     17     689         583     18
Basic earnings per   0.44    0.37    19     0.58        0.49    18
share (€)
Deferred cloud
subscription and
support              344     120     >100   377         193     95     N/A
revenue (as of March
31)
Number of employees  64,598  59,420  9      N/A         N/A     N/A    N/A
(FTE)

1) All figures are unaudited.
2) For a detailed description of SAP's non-IFRS measures see Explanation of
Non-IFRS Measures online. For a breakdown of the individual adjustments see
page F6 in the appendix to this press release.

IFRS and non-IFRS software revenue was €657 million (2012: €637 million), an
increase of 3% (5% at constant currencies). IFRS software and cloud
subscription revenue was €794 million (2012: €666 million), an increase of
19%. Non-IFRS software and cloud subscription revenue was €824 million (2012:
€672million), an increase of 23% (25% at constant currencies). IFRS software
and software-related service revenue was €2.90 billion (2012: €2.62 billion),
an increase of 11%. Non-IFRS software and software-related service revenue was
€2.94 billion (2012: €2.63 billion), an increase of 12% (14% at constant
currencies). IFRS total revenue was €3.60 billion (2012: €3.35 billion), an
increase of 7%. Non-IFRS total revenue was €3.64 billion (2012: €3.36
billion), an increase of 8% (10% at constant currencies).

IFRS operating profit was €646 million (2012: €631 million), an increase of
2%. Non-IFRS operating profit was €901 million (2012: €834 million), an
increase of 8% (11% at constant currencies). IFRS operating margin was 17.9%
(2012: 18.8%), a decrease of 0.9 percentage points, mainly due to
acquisitions. Non-IFRS operating margin was 24.8% (2012: 24.8%). Non-IFRS
operating margin was 25.1% at constant currencies, an increase of 0.3
percentage points. Non-IFRS operating profit and operating margin for the
first quarter 2013 were affected by the acquisition of SuccessFactors and
Ariba, which impacted the operating margin by approximately 80 basis points.
The organic margin performance demonstrates that efficiency in SAP's core
business has improved further.

IFRS profit after tax was €520 million (2012: €444 billion), an increase of
17%. Non-IFRS profit after tax was €689 million (2012: €583 million), an
increase of 18%. IFRS basic earnings per share was €0.44 (2012: €0.37), an
increase of 19%. Non-IFRS basic earnings per share was €0.58 (2012: €0.49), an
increase of 18%. The IFRS and non-IFRS effective tax rates were 16.3% (2012:
26.9%) and 21.4% (2012: 28.1%), respectively. The year-over-year decrease in
the effective tax rate in the first quarter mainly results from the regional
allocation of income, from taxes for prior years and from tax effects on
changes in foreign currency exchange rates.

Operating cash flow was €2.16 billion (2012: €2.07 billion), an increase of
4%. Free cash flow was €2.05 billion (2012: €1.96 billion), an increase of 5%.
Free cash flow was 57% of total revenue (2012: 58%). At March 31, 2013, SAP
had a total group liquidity of €4.61 billion (December 31, 2012: €2.49
billion), which includes cash and cash equivalents and short term investments.
Net liquidity at March 31, 2013 was -€0.45 billion compared to -€2.50 billion
at December 31, 2012. The improvement of our net liquidity in the first
quarter was primarily due to the strong operating cash flow in the first three
months of 2013.

BUSINESS OUTLOOK

SAP reiterates the outlook for the full year 2013, which remains unchanged
from the outlook provided on January 23, 2013:

  oThe Company expects full year 2013 non-IFRS software and cloud
    subscription revenue to increase in a range of 14% – 20% at constant
    currencies (2012: €5.00 billion). The full year 2013 non-IFRS cloud
    subscription and support revenue contributing to this growth is expected
    to be around €750 million at constant currencies (2012: €343 million).
  oThe Company expects full-year 2013 non-IFRS software and software-related
    service revenue to increase in a range of 11% – 13% at constant currencies
    (2012: €13.25 billion).
  oThe Company expects full-year 2013 non-IFRS operating profit to be in a
    range of €5.85 billion – €5.95 billion at constant currencies (2012: €5.21
    billion).
  oThe Company projects a full-year 2013 IFRS effective tax rate of 25.5% –
    26.5% (2012: 26.2%) and a non-IFRS effective tax rate of 27.0% – 28.0%
    (2012: 27.5%).

Additional Information
2013 revenue and profit figures include the revenue and profit from
SuccessFactors and Ariba. The comparative first quarter numbers for 2012 only
include SuccessFactors starting on February 21, 2012 and do not include Ariba
as the acquisition did not occur until October 1, 2012.

For a more detailed description of all of SAP's non-IFRS measures and their
limitations as well as our constant currency and free cash flow figures see
Explanation of Non-IFRS Measures online.

First Quarter 2013 Interim Report
SAP's first quarter 2013 Interim Report was published today and is available
for download at www.sap.com/investor. The interim report includes an update on
SAP's sustainability performance.

Webcast
SAP senior management will host a conference call for financial analysts and
media on Friday, April 19th at 2:00 PM (CEST) / 1:00 PM (GMT) / 8:00 AM (EDT)
/ 5:00 AM (PDT). The conference call will be web cast live on the Company's
website at www.sap.com/investor and will be available for replay.

2012 Integrated Report, Annual Report, and Annual Report on Form 20-F
SAP's 2012 Integrated Report, Annual Report and Annual Report on Form 20-F
were published on March 22, 2013, and are available for download at
www.sap.com/investor.

About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps
companies of all sizes and industries run better. From back office to
boardroom, warehouse to storefront, desktop to mobile device – SAP empowers
people and organizations to work together more efficiently and use business
insight more effectively to stay ahead of the competition. SAP applications
and services enable more than 238,000 customers to operate profitably, adapt
continuously, and grow sustainably. For more information, visit www.sap.com.

Any statements contained in this document that are not historical facts are
forward-looking statements as defined in the U.S. Private Securities
Litigation Reform Act of 1995. Words such as "anticipate," "believe,"
"estimate," "expect," "forecast," "intend," "may," "plan," "project,"
"predict," "should" and "will" and similar expressions as they relate to SAP
are intended to identify such forward-looking statements. SAP undertakes no
obligation to publicly update or revise any forward-looking statements. All
forward-looking statements are subject to various risks and uncertainties that
could cause actual results to differ materially from expectations. The factors
that could affect SAP's future financial results are discussed more fully in
SAP's filings with the U.S. Securities and Exchange Commission ("SEC"),
including SAP's most recent Annual Report on Form 20-F filed with the SEC.
Readers are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of their dates.

© 2013 SAP AG. All rights reserved.

No part of this publication may be reproduced or transmitted in any form or
for any purpose without the express permission of SAP AG. The information
contained herein may be changed without prior notice.

Some software products marketed by SAP AG and its distributors contain
proprietary software components of other software vendors. National product
specifications may vary.

These materials are provided by SAP AG and its affiliated companies ("SAP
Group") for informational purposes only, without representation or warranty of
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respect to the materials. The only warranties for SAP Group products and
services are those that are set forth in the express warranty statements
accompanying such products and services, if any. Nothing herein should be
construed as constituting an additional warranty.

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[1] The annual revenue run rate is the first quarter 2013 cloud division
revenue multiplied by 4.
[2] Starting this quarter SAP is disclosing non-IFRS deferred cloud
subscription and support revenue, which is a subset of the total non-IFRS
deferred revenue number reported on the balance sheet.
[3] Cloud subscription and support backlog represents expected future cloud
subscription and support revenue that is contracted but not yet invoiced and
thus not recorded in deferred revenue.
[4] Network spend volume is the total value of purchase orders transacted on
the Ariba Network in the trailing 12 months.

Appendix – Financial Information to Follow

FINANCIAL INFORMATION
FOR THE FIRST QUARTER 2013
(Condensed and Unaudited)
                                                         Page
Financial Statements (IFRS)
 Income Statements -Quarter                           F1
 Statements of Financial Position                     F2-F3
 Statements of Cash Flows                             F4
Supplementary Financial Information
 Reconciliation from Non-IFRS Numbers to IFRS Numbers F5-F6
 Non-IFRS Adjustments                                F7
 Revenue by Region                                    F8



Financial Statements (IFRS)
Consolidated Income Statements
For the three months ended March 31

                                                                    Change
€ millions, unless otherwise stated              Note 2013   2012
                                                                    in %
Software                                              657    637    3
Cloud subscriptions and support                       137    29     373
Software and cloud subscription                       794    666    19
Support                                               2,109  1,953  8
Software and software-related service revenue         2,903  2,619  11
Consulting                                            557    597    −7
Other services                                        142    134    6
Professional services and other service revenue       698    731    −4
Total revenue                                         3,601  3,350  7
Cost of software and software-related services        −604   −538   12
Cost of professional services and other services      −605   −624   −3
Total cost of revenue                                 −1,210 −1,162 4
Gross profit                                          2,391  2,188  9
Research and development                              −557   −523   6
Sales and marketing                                   −975   −831   18
General and administration                            −197   −209   −6
Restructuring                                         −13    0      N/A
TomorrowNow litigation                                0      7      −97
Other operating income/expense, net                   −3     −1     >100
Total operating expenses                              −2,955 −2,719 9
Operating profit                                      646    631    2
Other non-operating income/expense, net               −10    −8     32
Finance income                                        30     24     23
Finance costs                                         −44    −40    11
Financial income, net                                 −15    −16    −8
Profit before tax                                     621    607    2
Income tax TomorrowNow litigation                     0      −2     −95
Other income tax expense                              −101   −161   −38
Income tax expense                               (6)  −101   −163   −38
Profit after tax                                      520    444    17
Profit attributable to non-controlling interests      0      0      N/A
Profit attributable to owners of parent               520    444    17
Basic earnings per share, in €*                  (7)  0.44   0.37   19
Diluted earnings per share, in €*                (7)  0.44   0.37   19

* For the three months ended March 31, 2013 and 2012, the weighted average
number of shares was 1,193
million (diluted 1,195 million) and 1,190 million (diluted: 1,191 million),
respectively (treasury stock excluded).
F1

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
As at March 31, 2013, and December 31, 2012

€ millions                     Notes 2013   2012
Cash and cash equivalents            4,473  2,477
Other financial assets         (8)   279    154
Trade and other receivables    (9)   3,872  3,917
Other non-financial assets           346    294
Tax assets                           299    156
Total current assets                 9,269  6,998
Goodwill                             13,512 13,274
Intangible assets                    3,168  3,234
Property, plant, and equipment       1,725  1,708
Other financial assets         (8)   531    509
Trade and other receivables    (9)   97     88
Other non-financial assets           93     68
Tax assets                           185    170
Deferred tax assets                  715    660
Total non-current assets             20,025 19,711
Total assets                         29,294 26,710
                                     F2



€ millions                              Notes 2013   2012
Trade and other payables                      809    870
Tax liabilities                               552    511
Financial liabilities                   (10)  873    802
Other non-financial liabilities               1,471  2,136
Provision TomorrowNow litigation              240    234
Other provisions                              406    609
Provisions                                    646    843
Deferred income                         (11)  3,959  1,386
Total current liabilities                     8,309  6,547
Trade and other payables                      45     63
Tax liabilities                               394    388
Financial liabilities                   (10)  4,500  4,446
Other non-financial liabilities               111    98
Provisions                                    382    361
Deferred tax liabilities                      535    574
Deferred income                         (11)  65     62
Total non-current liabilities                 6,032  5,991
Total liabilities                             14,341 12,538
Issued capital                                1,229  1,229
Share premium                                 508    492
Retained earnings                             14,500 13,973
Other components of equity                    41     −194
Treasury shares                               −1,334 −1,337
Equity attributable to owners of parent       14,944 14,163
Non-controlling interests                     9      8
Total equity                            (12)  14,953 14,171
Equity and liabilities                        29,294 26,710
                                                     F3

CONSOLIDATED STATEMENTS OF CASH FLOWS
For the three months ended March 31

€ millions                                                        2013  2012
Profit after tax                                                  520   444
Adjustments to reconcile profit after taxes to net cash provided
by operating activities:
Depreciation and amortization                                     233   192
Income tax expense                                                101   163
Financial income, net                                             15    16
Decrease/increase in sales and bad debt allowances on trade       24    28
receivables
Other adjustments for non-cash items                              17    −30
Decrease/increase in trade and other receivables                  97    36
Decrease/increase in other assets                                 −81   −89
Decrease/increase in trade payables, provisions and other         −881  −688
liabilities
Decrease/increase in deferred income                              2,446 2,277
Interest paid                                                     −7    −28
Interest received                                                 15    26
Income taxes paid, net of refunds                                 −337  −276
Net cash flows from operating activities                          2,162 2,071
Business combinations, net of cash and cash equivalents acquired  −12   −2,615
Purchase of intangible assets and property, plant, and equipment  −113  −113
Proceeds from sales of intangible assets or property, plant, and  12    13
equipment
Purchase of equity or debt instruments of other entities          −250  −478
Proceeds from sales of equity or debt instruments of other        143   430
entities
Net cash flows from investing activities                          −220  −2,763
Purchase of treasury shares                                       0     −53
Proceeds from reissuance of treasury shares                       4     48
Proceeds from issuing shares (share-based payments)               0     10
Proceeds from borrowings                                          0     1,000
Repayments of borrowings                                          0     −600
Net cash flows from financing activities                          4     405
Effect of foreign exchange rates on cash and cash equivalents     50    −130
Net decrease/increase in cash and cash equivalents                1,996 −417
Cash and cash equivalents at the beginning of the period          2,477 4,965
Cash and cash equivalents at the end of the period                4,473 4,548
                                                                        F4

SUPPLEMENTARY FINANCIAL INFORMATION
(UNAUDITED)
RECONCILIATION FROM NON-IFRS NUMBERS TO IFRS NUMBERS
The following tables present a reconciliation from our non-IFRS numbers
(including our non-IFRS at constant currency numbers) to the respective most
comparable IFRS numbers. Note: Our non-IFRS numbers are not prepared under a
comprehensive set of accounting rules or principles.



                  For the three months ended March 31
€ millions,
unless otherwise  2013                                       2012                   Change in %
stated
                                                  Non-IFRS                                            Non-IFRS
                                         Currency
                  IFRS   Adj.* Non-IFRS*          Constant   IFRS   Adj.* Non-IFRS* IFRS    Non-IFRS* Constant
                                         impact**
                                                  Currency**                                          Currency**
Revenue Numbers
Software          657    0     657       11       668        637    0     637       3       3         5
Cloud
subscriptions and 137    30    167       2        169        29     6     35        373     380       385
support
Software and
cloud             794    30    824       13       837        666    6     672       19      23        25
subscription
Support           2,109  4     2,113     44       2,157      1,953  1     1,954     8       8         10
Software and
software-related 2,903  35    2,937     56       2,994      2,619  7     2,626     11      12        14
service
revenue
Consulting        557    0     557       8        565        597    0     597       −7      −7        −5
Other services    142    0     142       2        144        134    0     134       6       6         8
Professional
services and
other             698    0     698       11       709        731    0     731       −4      −4        −3
service
revenue
Total revenue     3,601  35    3,636     67       3,703      3,350  7     3,357     7       8         10
Operating Expense
Numbers
Cost of software
and software-     −604   97    −507                          −538   71    −467      12      8
related
services
Cost of
professional
services and     −605   28    −578                          −624   30    −594      −3      −3
other
services
Total cost of     −1,210 125   −1,084                        −1,162 101   −1,061    4       2
revenue
Gross profit      2,391  160   2,551                         2,188  108   2,296     9       11
Research and      −557   22    −535                          −523   23    −500      6       7
development
Sales and         −975   52    −923                          −831   55    −776      18      19
marketing
General and       −197   9     −188                          −209   24    −185      −6      2
administration
Restructuring     −13    13    0                             0      0     0         N/A     0
TomorrowNow       0      0     0                             7      −7    0         −97     0
litigation
Other operating
income/expense,  −3     0     −3                            −1     0     −1        >100    >100
net
Total operating   −2,955 221   −2,734    −40      −2,774     −2,719 196   −2,523    9       8         10
expenses
Profit Numbers
Operating profit  646    255   901       27       928        631    203   834       2       8         11
Other
non-operating     −10    0     −10                           −8     0     −8        32      32
income/expense,
net
Finance income    30     0     30                            24     0     24        23      23
Finance costs     −44    0     −44                           −40    1     −39       11      14
Financial income, −15    0     −15                           −16    1     −15       −8      −1
net
Profit before tax 621    255   877                           607    204   811       2       8
Income tax
TomorrowNow       0      0     0                             −2     2     0         −95     N/A
litigation
Other income tax  −101   −86   −188                          −161   −67   −228      −38     −18
expense
Income tax        −101   −86   −188                          −163   −65   −228      −38     −18
expense
Profit after tax  520    169   689                           444    139   583       17      18
Profit
attributable to   0      0     0                             0      0     0         N/A     N/A
non-controlling
interests
Profit
attributable to   520    169   689                           444    139   583       17      18
owners of parent
Key Ratios
Operating margin  17.9         24.8               25.1       18.8         24.8      −0.9pp  0.0pp     0.3pp
in %
Effective tax     16.3         21.4                          26.9         28.1      −10.6pp −6.7pp
rate in %
Basic earnings    0.44         0.58                          0.37         0.49      19      18
per share, in €*
Deferred cloud
subscriptions and 344    33    377                           120    72    193       >100    95
support revenue
(March 31)



* Adjustments in the revenue line items are for support revenue, cloud
subscription revenue, and other similarly recurring revenues that entities
acquired by SAP would have recognized had they remained stand-alone entities
but that SAP is not permitted to recognize as revenue under IFRS as a result
of business combination accounting rules. Adjustments in the operating expense
line items are for acquisition-related charges, share-based compensation
expenses, restructuring expenses, and discontinued activities.
** Constant currency revenue and operating income figures are calculated by
translating revenue and operating income of the current period using the
average exchange rates from the previous year's respective period instead of
the current period. Constant currency period-over-period changes are
calculated by comparing the current year's non-IFRS constant currency numbers
with the non-IFRS number of the previous year's respective period.
F5



NON-IFRS ADJUSTMENTS

                                                          01/01/ -  01/01/ -

€ millions, unless otherwise stated                       3/31/2013 3/31/2012

                                                                   
Software and software-related service revenue (IFRS)      2,903     2,619
Adjustment for deferred revenue write-down                35        7
Software and software-related service revenue (Non-IFRS) 2,937     2,626
Operating profit (IFRS)                                   646       631
Revenue Adjustments (per above)                           35        7
Adjustment for discontinued activities                    0         −7
Adjustment for acquisition-related charges               137       120
Adjustment for stock-based compensation expenses          70        83
Adjustment for restructuring                              13        0
Operating expense adjustments                             221       196
Operating profit adjustments                              255       203
Operating profit (Non-IFRS)                               901       834
Profit after tax (IFRS)                                  520       444
Revenue adjustments (per above)                           35        7
Operating profit adjustments (per above)                  221       196
Financial income, net adjustments                         0         1
Adjustments pre-tax                                       255       204
Taxes on adjustments                                      −86       −65
Profit after tax (Non-IFRS)                               689       583



Due to rounding, numbers may not add up
precisely.
F6



REVENUE BY REGION
The following table presents our IFRS and non-IFRS revenue by region. Software
Revenue by Region shows the breakdown by location of contract negotiation and
by customer location, whereas Software and Cloud Subscription Revenue by
Region, Software and Software-Related Service Revenue by Region, and Total
Revenue by Region are based on customer location. The table also presents a
reconciliation from our non-IFRS revenue (including our non-IFRS revenue at
constant currency) to the respective most comparable IFRS revenue. Note: Our
non-IFRS revenues are not prepared under a comprehensive set of accounting
rules or principles.



Software Revenue by Location Where Contracts Were Negotiated
                 For the three months ended March 31
€ millions       2013                                      2012                  Change in %
                                                Non-IFRS                                        Non-IFRS
                                       Currency
                 IFRS  Adj.* Non-IFRS*          Constant   IFRS  Adj.* Non-IFRS* IFRS Non-IFRS* Constant
                                       impact**
                                                Currency**                                      Currency**
Software revenue
by region
EMEA             298   0     298       4        302        275   0     275       8    8         10
Americas         254   0     254       3        257        239   0     239       6    6         8
APJ              105   0     105       3        108        123   0     123       −15  −15       −12
Software         657   0     657       11       668        637   0     637       3    3         5
revenue
Revenues by Location of Customers
                 For the three months ended March 31
€ millions       2013                                      2012                  Change in %
                                                Non-IFRS                                        Non-IFRS
                                       Currency
                 IFRS  Adj.* Non-IFRS*          Constant   IFRS  Adj.* Non-IFRS* IFRS Non-IFRS* Constant
                                       impact**
                                                Currency**                                      Currency**
Software revenue
by region
EMEA             300   0     300       4        304        279   0     279       8    8         9
Americas         252   0     252       3        255        236   0     236       7    7         8
APJ              105   0     105       3        108        123   0     123       −15  −15       −12
Software         657   0     657       11       668        637   0     637       3    3         5
revenue
Software and
cloud
subscription
revenue by
region
EMEA             326   0     326       5        331        289   0     289       13   13        15
Americas         356   30    386       4        390        253   6     259       41   49        51
APJ              112   0     112       4        116        125   0     125       −10  −10       −7
Software and
cloud            794   30    824       13       837        666   6     672       19   23        25
subscription
revenue
Software and
software-related
service revenue
by region
Germany          399   0     399       0        399        371   0     371       8    8         8
Rest of EMEA     936   0     936       14       950        862   1     863       9    8         10
Total EMEA       1,335 0     1,335     14       1,348      1,233 1     1,234     8    8         9
United States    808   35    842       5        847        692   6     698       17   21        21
Rest of Americas 307   0     307       15       322        255   0     255       20   20        26
Total Americas   1,115 35    1,150     19       1,169      946   6     952       18   21        23
Japan            134   0     134       22       156        144   0     144       −7   −7        8
Rest of APJ      319   0     319       1        320        297   0     297       7    7         8
Total APJ        453   0     453       23       476        440   0     440       3    3         8
Software and
software-related 2,903 35    2,937     56       2,994      2,619 7     2,626     11   12        14
service revenue
Total revenue by
region
Germany          526   0     526       −1       525        517   0     517       2    2         2
Rest of EMEA     1,131 0     1,131     16       1,147      1,058 1     1,059     7    7         8
Total EMEA       1,657 0     1,657     15       1,672      1,575 1     1,576     5    5         6
United States    1,024 35    1,058     6        1,064      913   6     919       12   15        16
Rest of Americas 377   0     377       18       395        333   0     333       13   13        19
Total Americas   1,400 35    1,435     24       1,459      1,246 6     1,252     12   15        17
Japan            151   0     151       25       176        165   0     165       −8   −8        7
Rest of APJ      393   0     393       2        395        364   0     364       8    8         9
Total APJ        544   0     544       27       571        529   0     529       3    3         8
Total revenue   3,601 35    3,636     67       3,703      3,350 7     3,357     7    8         10
F7





* Adjustments in the revenue line items are for support revenue, cloud
subscription revenue, and other similarly recurring revenues that entities
acquired by SAP would have recognized had they remained stand-alone entities
but that SAP is not permitted to recognize as revenue under IFRS as a result
of business combination accounting rules.
** Constant currency revenue figures are calculated by translating revenue of
the current period using the average exchange rates from the previous year's
respective period instead of the current period. Constant currency
period-over-period changes are calculated by comparing the current year's
non-IFRS constant currency numbers with the non-IFRS number of the previous
year's respective period.
For a more detailed description of these adjustments and their limitations as
well as our constant currency figures, see our Web site
www.sap.com/corporate-en/investors/newsandreports/reporting-framework.epx
under "Non-IFRS Measures and Estimates."
Due to rounding, numbers may not add up precisely.
F8



SOURCE SAP AG

Website: http://www.sap.com
 
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