SAP's quarterly revenue crossed €10 billion for the first time as cloud growth accelerated, while the company moved its 2026 cloud outlook toward the top of its existing range.
For the quarter ending Sept. 30, SAP recorded €10.270 billion in revenue, up 13% year over year and 12% when adjusted for currency movements. Cloud revenue reached €6.668 billion, increasing 26%, or 25% at constant currencies. The company’s preliminary, unaudited statement put current cloud backlog at €24.144 billion, 28% above the prior year, or 26% higher after currency adjustment.
Reuters has described the backlog as a measure investors use to gauge corporate technology spending. The outlet reported that a backlog miss in January sent SAP shares down 15% in one day, highlighting the attention investors give the indicator.
Operating profit under IFRS reached €2.930 billion, up 18%; SAP's non-IFRS measure was also 18% higher at €3.030 billion. Free cash flow gained 36% to €1.718 billion. SAP said some cloud growth reflected revenue accumulated across several quarters as customers recovered from financial distress. Acquisitions added €49 million to revenue. Software licensing revenue fell 9% to €147 million, and software support revenue declined 5% to €2.434 billion.
SAP expects 2026 cloud revenue near the upper end of its €25.8 billion to €26.2 billion forecast range. It also sees cloud and software revenue approaching the high end of its €36.3 billion to €36.8 billion range. Both ranges are measured at constant currencies. Its non-IFRS operating-profit forecast remained €11.8 billion to €12.2 billion, measured on the same constant-currency basis.
The company expects software support declines to accelerate in coming years as customers shift to cloud services. Its full-year cloud backlog outlook assumes stable macroeconomic conditions in the fourth quarter. Reuters quoted SAP Chief Financial Officer Dominik Asam as saying the final quarter would determine how the year ends.
SAP CEO Christian Klein said, “Our Autonomous Enterprise strategy is not just resonating, it is being adopted.” SAP’s quarterly statement lists no separate AI revenue figure.
