Slide 1: First Quarter 2023 Results
First Quarter 2023 Results Presentation | April 21, 2023 First Quarter 2023 Results Christian Klein, CEO Dominik Asam, CFO 2023 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Slide 2: Safe Harbor Statement
First Quarter 2023 Results Presentation | April 21, 2023 Safe Harbor Statement During this presentation we will make forward-looking statements which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumption
Slide 3: Christian Klein, CEO
First Quarter 2023 Results Presentation | April 21, 2023 Christian Klein CEO 2023 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Slide 4: Dominik Asam, CFO
First Quarter 2023 Results Presentation | April 21, 2023 Dominik Asam CFO 2023 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Slide 5: SAP Q1 2023 Financial Results
First Quarter 2023 Results Presentation | April 21, 2023 Financial Highlights Regional Performance Gross Profit Development Tax Rate, EPS & Cash Flow Outlook and Ambition SAP Q1 2023 Financial Results in € millions, unless otherwise stated Total revenue Cloud & Software Cloud revenue S/4HANA cloud r
Slide 6: Robust cloud revenue performance across all regions
First Quarter 2023 Results Presentation | April 21, 2023 Financial Highlights Regional Performance Gross Profit Development Tax Rate, EPS & Cash Flow Outlook Robust cloud revenue performance across all regions AMERICAS EMEA APJ Cloud revenue Cloud revenue Cloud revenue percent percent percent ▲ +23%
Slide 7: Gross Profit Development
First Quarter 2023 Results Presentation | April 21, 2023 Financial Highlights Regional Performance Gross Profit Development Tax Rate, EPS & Cash Flow Outlook Gross Profit Development . Revenue Gross Profit (Gross margin %) Non-IFRS in € millions, unless otherwise stated Q1/23 ∆ in % ∆ in % @cc Q1/23
Slide 8: Tax rate, EPS & Cash flow
First Quarter 2023 Results Presentation | April 21, 2023 Financial Highlights Regional Performance Gross Profit Development Tax Rate, EPS & Cash Flow Outlook Tax rate, EPS & Cash flow Effective tax rate Earnings per share Cash flow percent €S Non-IFRS € billions IFRS basic IFRS Non-IFRS 0.35 Operati
Slide 9: 2023 outlook updated to reflect the expected Qualtrics divestiture
First Quarter 2023 Results Presentation | April 21, 2023 Financial Highlights Regional Performance Gross Profit Development Tax Rate, EPS & Cash Flow Outlook 2023 outlook updated to reflect the expected Qualtrics divestiture SAP reaffirms outlook for continuing operations in € billions, unless other
Slide 10: Q&A
First Quarter 2023 Results Presentation | April 21, 2023 Q&A 2023 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Slide 11: Appendix
First Quarter 2023 Results Presentation | April 21, 2023 Appendix 2023 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Slide 12: Income statement: First quarter 2022
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Income statement: First quarter 2022 IFRS Non-IFRS € millions, unless otherwise stated Q1 23 Q1 22 ∆% Q1 23 Q1 22 ∆% ∆ % @cc Cloud 3,178 2,565 24 3,178 2,565 24 22 Software licenses 276 317 -13 276 317 -13 -13 Software support 2,905 2
Slide 13: Gross margin development
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Gross margin development Non-IFRS, in percent as reported FY 21 Q1 22 Q2 22 Q3 22 Q4 22 FY 22 Q1 23 Cloud 68.4 71.2 70.8 70.3 68.9 70.3 71.4 SaaS 71.3 72.8 71.7 73.5 74.1 71.8 71.9 PaaS 81.7 80.8 84.3 80.7 81.3 79.7 81.7 IaaS 32.6 35.
Slide 14: Cost ratios: First quarter 2023
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Cost ratios: First quarter 2023 €7.4bn Total revenue R&D S&M G&A as % of total revenue as % of total revenue as % of total revenue €0.3bn €1.4bn €1.9bn 18.9% 24.9% 3.9% -1.1pp +0.7pp +0.0pp -1.0pp* +0.6pp* +0.0pp* All numbers are Non-
Slide 15: Balance sheet condensed: March 31, 2023 – IFRS
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Balance sheet condensed: March 31, 2023 – IFRS Assets Equity and liabilities € millions 03/31/23 12/31/22 € millions 03/31/23 12/31/22 Cash, cash equivalents and other financial assets 9,890 9,861 Trade and other payables 1,607 2,147
Slide 16: Cash flow development
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Cash flow development € millions, unless otherwise stated Q1/23 Q1/22 ∆ in % Operating cash flow 2,311 2,465 –6 – Capital expenditure –257 –212 21 – Payments of lease liabilities –99 –93 6 Free cash flow 1,955 2,159 –9 Free cash flow
Slide 17: Net debt
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Net debt € millions, unless otherwise stated 2023 2022 Net Debt | 12/31/2022 | PY: 12/31/2021 –2,070 –1,563 Operating cash flow 2,311 2,465 Capital expenditure –257 –212 Payments of lease liabilities –99 –93 Business combinations 0 –6
Slide 18: Additional outlook information and Non-IFRS adjustments
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Additional outlook information and Non-IFRS adjustments The Company now expects a full-year 2023 effective tax rate (IFRS) of around 28.0% – 32.0% (2022: 32.0%) and an effective tax rate (non-IFRS) of around 26.0% – 28.0% (2022: 29.6%
Slide 19: Expected currency impact 2023
First Quarter 2023 Results Presentation | April 21, 2023 Appendix Expected currency impact 2023 Expected Currency Impact Based on March 2023 Level Applied for 2023 in percentage points Q2 23 FY 23 Cloud revenue growth –3pp to –1pp –3pp to –1pp Cloud and software revenue growth –2pp to 0pp –3pp to –1