SAP reports fourth quarter revenue and announces ten billion euro buyback program
SAP reported fourth-quarter revenue in line with estimates and unveiled a major buyback program. The firm also provided financial targets through the year 2026.
Insights:
SAP SE reported fourth-quarter total revenue of €9.7 billion on January 29, 2026, which was in line with a company-compiled consensus. Cloud revenue for the period reached €5.6 billion, slightly exceeding the consensus figure of €5.5 billion. In addition to the earnings results, the company announced a two-year share buyback program with a value of up to €10 billion, marking a significant commitment to shareholder returns.
The company also provided guidance for 2026, projecting that cloud revenue will grow between 23% and 25% to reach a range of €25.8 billion to €26.2 billion. Total cloud and software revenue is expected to grow by 12% to 13%, reaching between €36.3 billion and €36.8 billion as indicated in the release. Furthermore, SAP SEanticipates that its operating profit will increase by 14% to 18%, resulting in a total between €11.9 billion and €12.3 billion for the year.
