World Economy

SAP Earnings Soar

SAP Earnings SoarSAP Earnings Soar

Europe’s largest software maker, SAP, has watched its operating profits surge in the third quarter, beating analysts’ expectations. The Walldorf, a Germany-based company, also confirmed its outlook for the full year, according to Deutsche Welle.

SAP said Tuesday that revenues from its cloud computing division had more than doubled to €600 million ($682.3 million), lifting the German business software company’s preliminary quarterly profits by 19% to €1.62 billion.

Analysts had expected the figure, which was seasonally adjusted, to come in between €1.45 billion and €1.59 billion, Deutsche Welle reported.

The company attributed the profits jump to a decision to focus more heavily on cloud computing solutions, an area already dominated by SAP. The company’s total revenues in Q3 were €4.98 billion, just over a forecast by analysts of 4.93 billion.

For the full year, SAP said it was still expecting operating profits to come in somewhere between €5.6 billion and €5.9 billion, adjusted for currency fluctuations.

The company said it would release the full details of its quarterly and year-to-date performances on Oct. 20.