In the fourth quarter, SAP delivered non-IFRS earnings per share up 16% year-on-year and non-IFRS operating profit growth of 16% (21% at constant currencies), driven by robust cost discipline and favorable mix effects. Cloud revenue rose 19% (26% at constant currencies), with the Cloud ERP Suite growing 23% (30% at constant currencies). However, current cloud backlog growth slowed to 16% (25% at constant currencies), down from 25% in 2025, as large transformational deals with longer ramp-up profiles and contractual termination clauses weighed on new commitments. Investors reacted sharply, sending shares down more than 16% in a single session—the largest one-day decline since 2020—after the company warned that cloud backlog growth would “slightly decelerate” in 2026.

For full-year 2025, SAP reported total revenue of €36.8 billion, up 11% at constant currencies, and non-IFRS operating profit of €10.66 billion, ahead of guidance at the upper end of the outlook range. Cloud revenue climbed 23% (26% at constant currencies) to €21.0 billion, with cloud ERP suite revenue up 28% (32% at constant currencies). Free cash flow reached €8.24 billion, reflecting lean working-capital management and reduced restructuring outflows. To reinforce capital return, the company unveiled a two-year share repurchase program of up to €10 billion, underlining its confidence in long-term cash generation.

SAP continues to integrate artificial intelligence across its portfolio, with SAP Business AI solutions accounting for two-thirds of Q4 cloud order entry. The company has rolled out agentic AI applications within its ERP suite and launched retail-focused AI enhancements in the Business Data Cloud to automate planning, execution and customer engagement. CEO Christian Klein emphasized that embedding AI into business processes is essential to differentiate from infrastructure-only offerings, positioning the company to capture a growing share of enterprise digital transformation budgets as customers seek data-driven automation and insight.