Slide 1: Fourth Quarter and Full-Year 2024 Results
Fourth Quarter and Full-Year 2024 Results Christian Klein, CEO Dominik Asam, CFO January 28, 2025 Public
Slide 2: Safe Harbor Statement
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 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,
Slide 3: Christian Klein, CEO
Christian Klein CEO
Slide 4: Q4 provided a strong finish to 2024
Q4 provided a strong finish to 2024 Cloud revenue in € millions (yoy @cc) Current cloud Cloud gross profit in € millions (yoy @cc) 4,708 backlog € millions (+27%) 4,351 18,078 4,153 (+27%) ▲ +32% (+29% @cc) (+25%) 3,928 (+25%) Cloud 3,699 revenue (+25%) 3,458 € millions (+29%) 3,209 4,708 3,043 (+29
Slide 5: We achieved all our cloud goals for 2024
We achieved all our cloud goals for 2024 Total Cloud Cloud Revenue Thereof Cloud ERP Suite Backlog 17,141 14,166 €17.1bn ▲ +25% (+26% @cc) ▲ +33% (+34% @cc) 63,292 €12.6bn Total Revenue +26% +28% ▲ +43% (+40% @cc) 34,176 €13.7bn ▲ +10% (+10% @cc) €9.8bn Operating Profit Free Cash Flow 8,153 4,113 20
Slide 6: 2024 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
2024 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 6
Slide 7: Outlook 2025
Outlook 2025 The right pieces in place for accelerated Total Revenue growth and an expansion of Operating Profit through 2027 Total revenue growth Achieved outlook acceleration through 2027 1 | Product innovation 34.2 Operating margin Total revenue expansion beyond 2025 2 | Commercial innovation 21.
Slide 8: Product innovation
1 | Product innovation Accelerating future growth by bringing together apps, data, and AI 2024 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 8
Slide 9: Commercial innovation
2 | Commercial innovation Significantly simplifying how our customers unlock value through the SAP portfolio Commercial + Expansion + Tools & Flexibility Benefits Methodology Flexibility to land with & adopt Strategic incentives for Proven methodology guided by SAP’s latest innovation as part custom
Slide 10: Simplification
3 | Simplification Unlocking AI-driven efficiency across SAP Development Go-to-Market Corporate Functions 20% 75% >20x efficiency potential reduction of average productivity gain through automated code contract booking time through AI-assisted generation with Joule with AI-assisted quote-to-cash pro
Slide 11: Outlook 2025
Outlook 2025 The right pieces in place for accelerated Total Revenue growth and an expansion of Operating Profit through 2027 Total revenue growth Illustrative | Numbers in €bn | Continuing operations acceleration Achieved outlook through 2027 34.2 31.2 29.5 Operating margin 27.0 expansion Total rev
Slide 12: Dominik Asam, CFO
Dominik Asam CFO
Slide 13: All outlook key metrics met or exceeded for FY 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 All outlook key metrics met or exceeded for FY 2024 Cloud revenue Cloud & software Operating profit Free cash flow Effective tax rate € millions € millions € millions percent revenue € millions IFRS Non-IFRS @cc IFRS Non-IFRS
Slide 14: Regional revenue performance 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Regional revenue performance 2024 AMERICAS EMEA APJ Cloud revenue Cloud revenue Cloud revenue ▲ +19% ▲ +32% ▲ +33% (+19% @cc) (+31% @cc) (+37% @cc) Cloud & software Cloud & software Cloud & software revenue revenue revenue ▲ +
Slide 15: Revenue and gross profit development
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Revenue and gross profit development . Revenue Gross profit (Gross margin %) Non-IFRS in € millions, unless otherwise stated FY 2024 ∆ in % ∆ in % @cc FY 2024 ∆ in % ∆ in % @cc 12,559 Cloud 17,141 25 26 28 28 (73.3) SaaS/PaaS
Slide 16: Tax rate, Cash flow, and Earnings per share
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Tax rate, Cash flow, and Earnings per share Effective tax rate Free cash flow Earnings per share Full year | € Full year | percent Full year | € billions IFRS Non-IFRS basic Diluted basic IFRS Non-IFRS 33.9 32.3 4.11 2.68 2.65
Slide 17: 2025 Financial outlook and Non-financial outlook
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 2025 Financial outlook1 2025 Non-financial outlook Cloud revenue Cloud & software Employee Customer net revenue engagement index promoter score € billions @cc € billions @cc percent points 21.6 – 21.9 33.1 – 33.6 74 – 78 12 –
Slide 18: Q&A
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Q&A 2025 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 18
Slide 19: Appendix
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix 2025 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 19
Slide 20: SAP Q4 2024 Financial Results
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 SAP Q4 2024 Financial Results Current cloud Total revenue Cloud & software Cloud revenue Cloud ERP Suite backlog revenue revenue € millions € millions € millions € millions € millions 18,078 9,377 8,267 4,708 3,949 ▲ +32% (+29
Slide 21: Non-financial performance 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Non-financial performance 2024 Employee Customer net engagement index promoter score percent points 74 12 ▼ -6pp ▲ +3 Outlook: 70 – 74 Outlook: 9 – 13 Carbon emissions Share of women in executive roles megatons percent 6.9 22.
Slide 22: Income statement: Fourth quarter 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Income statement: Fourth quarter 2024 * from continuing and discontinued operations IFRS Non-IFRS € millions, unless otherwise stated Q4 24 Q4 23 ∆% Q4 24 Q4 23 ∆% ∆ % @cc Cloud 4,708 3,699 27 4,708 3,699 27 27 Softwa
Slide 23: Income statement: Full year 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Income statement: Full year 2024 * from continuing and discontinued operations IFRS Non-IFRS € millions, unless otherwise stated Q1-Q4 24 Q1-Q4 23 ∆% Q1-Q4 24 Q1-Q4 23 ∆% ∆ % @cc Cloud 17,141 13,664 25 17,141 13,664 2
Slide 24: Gross margin development
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Gross margin development Non-IFRS, in percent Q1 23 Q2 23 Q3 23 Q4 23 FY 23 Q1 24 Q2 24 Q3 24 Q4 24 FY 24 Cloud 70.8 71.4 73.0 72.2 71.9 72.5 73.3 73.7 73.5 73.3 Software licenses & support 88.9 90.2 90.1 89.8 89.8 89
Slide 25: Cost ratios: Fourth quarter 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Cost ratios: Fourth quarter 2024 | Total revenue: €9.4bn Non-IFRS as percent of total revenue Research & Sales & General development marketing administration 17.8% €1.7bn 26.0% €2.4bn 3.9% €0.4bn -1.9pp | -1.9pp @cc -
Slide 26: Cost ratios: Full year 2024
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Cost ratios: Full year 2024 | Total revenue: €34.2bn Non-IFRS as percent of total revenue Research & Sales & General development marketing administration 19.0% €6.5bn 25.9% €8.9bn 4.1% €1.4bn -1.2pp | -1.2pp @cc -1.1p
Slide 27: Balance sheet condensed: December 31, 2024 – IFRS
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Balance sheet condensed: December 31, 2024 – IFRS Due to rounding, numbers may not add up precisely Assets Equity and liabilities € millions 12/31/24 12/31/23 € millions 12/31/24 12/31/23 Cash, cash equivalents and ot
Slide 28: Cash flow development
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Cash flow development Due to rounding, numbers may not add up precisely € millions, unless otherwise stated 12M 2024 12M 2023 ∆ in % Operating cash flow 5,220 6,210 -16 – Capital expenditure -797 -785 2 – Payments of
Slide 29: Net debt
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Net debt Due to rounding, numbers may not add up precisely € millions, unless otherwise stated 2024 2023 Net liquidity (+)/Net Debt (-) | 12/31/2023 | PY: 12/31/2022 3,521 -2,070 Operating cash flow 5,220 6,210 Capita
Slide 30: Additional outlook information and Non-IFRS adjustments
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Additional outlook information and Non-IFRS adjustments Due to rounding, numbers may not add up precisely The Company expects a full-year 2025 effective tax rate (Non-IFRS) of around 32% (2024: 32.2%). Actual Amounts
Slide 31: Expected currency impact
Fourth Quarter and Full-Year 2024 Results Presentation | January 28, 2025 Appendix Expected currency impact Expected currency impact based on December 31, 2024 Level applied for 2025 While SAP’s 2025 financial outlook for the income statement parameters is at constant currencies (including an averag