SAP Q4 preliminary results show jump in software revenue
- — 14 January, 2011 04:45
SAP on Thursday reported preliminary results for the fourth quarter and year ending Dec. 31 that showed a strong uptick in software revenue, spurred in part by its acquisition of Sybase last year.
Fourth-quarter software and software-related services revenue was roughly €3.26 billion (US$4.2 billion), rising 27 percent. Total revenue was about €4.04 billion, a 27 percent increase, SAP said.
"We are pleased to announce the best software sales quarter in the history of SAP. We achieved outstanding growth in all regions and customer segments," co-CEO Bill McDermott said in a statement.
For the full year, software and software-related services revenue jumped 19 percent to €9.78 billion, while total revenue grew 17 percent to €12.45 billion.
SAP provided no breakout of Sybase's contribution to the revenue totals.
The company had originally set aside US$160 million for costs related to Oracle's corporate-theft trial against it. In November, a jury awarded Oracle $1.3 billion.
SAP "has not yet completed its preliminary review of the appropriate re-measurement of the provision recorded for the TomorrowNow litigation following the jury verdict," it said in a statement. It expects that re-measurement to have "significant negative impact" on its fourth-quarter and full-year operating profit and operating margin.
The company is planning to deliver more details on its results, as well as its outlook for 2011, on Jan. 26.