SAP SE (SAP) Earnings
SAP SE is expected to report next earnings on July 23, 2026 (in NaN days), with a consensus EPS estimate of $2.06. SAP has beaten EPS estimates in 6 of its last 12 reported quarters (average surprise +6.5% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jun 5, 2026 | $1.92 | $2.01 | +4.7% | $11.2B | -0.1% |
| Jan 29, 2026 | $1.77 | $1.89 | +6.8% | $11.3B | +16.7% |
| Oct 22, 2025 | $1.69 | $1.86 | +10.1% | $10.6B | +8.8% |
| Jul 22, 2025 | $1.63 | $1.70 | +4.3% | $10.6B | +15.1% |
| Jan 28, 2025 | $1.51 | $1.49 | -1.3% | $9.7B | +6.9% |
| Oct 21, 2024 | $1.22 | $1.23 | +0.8% | $9.5B | +2.5% |
| Jul 22, 2024 | $1.01 | $1.18 | +16.8% | $8.9B | -0.7% |
| Jan 23, 2024 | $1.58 | $1.41 | -10.8% | $9.3B | +3.2% |
| Oct 18, 2023 | $1.36 | $1.45 | +6.6% | $8.2B | -1.4% |
| Jul 20, 2023 | $1.26 | $1.14 | -9.5% | $8.2B | -1.9% |
| Apr 21, 2023 | $1.20 | $1.16 | -3.3% | $8.1B | +0.8% |
| Jan 26, 2023 | $1.39 | $1.02 | -26.6% | $9.1B | +0.6% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · April 23, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
Delivered strong start to 2026 with ongoing momentum across portfolio. Q1 results demonstrate success of strategy against shifting macroeconomic environment. Cloud backlog, revenue, and operating profit all showed strong performance. Growing partner ecosystem with indirect channel order entry growing significantly. Discussed customer wins in Q1 across various industries. Talked about business AI and its value to customers, including examples like Daimler Trucks North America, Queensland's Department of Transport and Main Roads, etc. Mentioned internal AI transformation including upskilling programs, external hiring, and use of AI in engineering, support, services, and go-to-market. Aim to achieve run rate of around 2 billion euros in efficiencies by end of 2028
Guidance
Maintaining financial outlook for full year 2026. Based on near-term de-escalation of Middle East conflict. Continued closure of Strait of Hormuz could derail supply chains. Expect slight deceleration in current cloud backlog over course of year. Current cloud revenue growth expected to decelerate in second quarter. Need Relzio acquisition contribution to secure confidence to reach previously guided range for cloud revenue. Second half of year typically accounts for lion's share of bookings with limited visibility given evolving environment
Segment performance
Current cloud backlog increased 25% to €21.9 billion. Cloud revenue grew 27%, almost crossing the €6 billion mark. Cloud ERP suite revenue had a 30% acceleration. Public cloud order entry accounted for over 70% of quarterly volume. Operating margin was 30%, up 2.9 percentage points. Operating profit in Q1 increased by 24% to 2.9 billion euros. Indirect channel order entry grew significantly faster than direct channel, accounting for almost 30% of total order entry. Cloud revenue in Q1 was 27% growth, with cloud AP Suite revenue up 30% and software licenses revenue down 33%. Total revenue for the first quarter was 9.6 billion euros, up 12%. Regional performance: cloud revenue performance was particularly strong in APJ and EMEA and solid in the Americas. IFRS cloud gross margin in Q1 was 74.6% and non-IFRS was 75.2%, up 0.1 percentage points. IFRS operating profit increased by 17% to 2.7 billion euros. Non-IFRS operating profit was up by 24% to 2.9 billion. Free cash flow in Q1 was 3.2 billion euros. IFRS earnings per share increased by 9% to €1.66 and non-IFRS earnings per share increased by 20% to €1.72
Risks & headwinds
Geopolitical tensions, mainly Middle East conflict, have economic impact. Uncertainty around conflict and its impact on supply chains. Potential contagion across supply chains on global level jeopardizing business continuity and customer sentiment and investment behavior
Analyst Q&A
Q: Mohamed Malawala with Goldman Sachs asked about isolating macro from product cycle specific factors and visibility in second half.
A: Christian and Dominic responded talking about impact of crisis on resiliency and supply chain, product cycle of AI, geopolitical tensions impact on deal cycles, and role of AI in ERP transformation.
Q: Adam Wood with Morgan Stanley asked about R&D efforts in applying Gen AI.
A: Christian talked about challenges in delivering scale AI use cases for mission-critical processes, focus on ontology, all-in on AI program, and upcoming announcements at Sapphire.
Q: Charlie Brennan with Jefferies asked about parts of AI journey similar to cloud transition.
A: Christian responded saying not comparing to cloud transition from financial perspective, focus on data correlation, productivity levers, and tuck-in acquisitions in AI and data space.
Q: Ben Castillo with BNP Paribas asked about AI in biggest customers and revenue growth outlook.
A: Christian and Dominic talked about AI in deals, AI tooling for ERP migration, services revenue pivot, and backlog ramp.
Q: Mark Mordler with Bernstein asked about pull forward and impact on future quarters.
A: Christian said quarter was clean with no further incentives, focus on building pipeline for Q3 and Q4.
Q: Frederick Boulin with Bank of America asked about companies reassessing migration roadmap.
A: Christian said customers see value in SAP's agendic AI use cases, no sleepless nights about customers forming layer on top, and importance of assurance in monetary aspects.
Q: Michael Breast with UBS asked about control and value protection of data fields and messaging about short-term pain.
A: Christian talked about short-term pain related to software transformation, no plans to charge customers for accessing data, and protection of SAP's domain know-how.
Q: Jackson Adar with KeyBank Capital Markets asked about RELTO acquisition in revenue guidance and need for inorganic buffer.
A: Christian talked about Relzio's ARR and how little is included in revenue guidance, and importance of Relzio acquisition contribution