Form 6-K

0001193125-14-019521.txt : 20140124 0001193125-14-019521.hdr.sgml : 20140124 20140124075836 ACCESSION NUMBER: 0001193125-14-019521 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 4 CONFORMED PERIOD OF REPORT: 20140124 FILED AS OF DATE: 20140124 DATE AS OF CHANGE: 20140124 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SAP AG CENTRAL INDEX KEY: 0001000184 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 000000000 STATE OF INCORPORATION: 2M FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-14251 FILM NUMBER: 14544507 BUSINESS ADDRESS: STREET 1: DIETMAR-HOPP-ALLEE 16 CITY: WALLDORF STATE: 2M ZIP: 69190 BUSINESS PHONE: 0114962277 MAIL ADDRESS: STREET 1: DIETMAR-HOPP-ALLEE 16 CITY: WALLDORF STATE: 2M ZIP: 69190 FORMER COMPANY: FORMER CONFORMED NAME: SAP AKTIENGESELLSCHAFT SYSTEMS APPLICATIONS PRODUCTS IN DATA DATE OF NAME CHANGE: 19960807 6-K 1 d660444d6k.htm FORM 6-K Form 6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

January 24, 2014

Commission file number:

1-14251

SAP AG

(Exact name of registrant as specified in its charter)

SAP CORPORATION

(Translation of registrant’s name into English)

Dietmar-Hopp-Allee 16

69190 Walldorf

Federal Republic of Germany

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.


		Form 20-F [X]				Form 40-F [ ]

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.


		Yes [ ]				No [X]

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- .

TABLE OF CONTENTS


EXHIBITS			3
SIGNATURES			4
EXHIBIT INDEX			5
Exhibit 99.1

SAP AG

FORM 6-K

On January 21, 2014, SAP AG, a stock corporation organized under the laws of the Federal Republic of Germany (“SAP”), issued a press release (the “Press Release”) announcing SAP’s financial results for the fourth quarter and full year ended December 31, 2013. The Press Release is attached as Exhibit 99.1 hereto and incorporated by reference herein.

This Press Release discloses certain non-IFRS measures. These measures are not prepared in accordance with IFRS and are therefore considered non-IFRS financial measures. The non-IFRS financial measures that we report should be considered in addition to, and not as substitutes for or superior to, revenue, operating income, cash flows, or other measures of financial performance prepared in accordance with IFRS.

Please refer to Explanations of Non-IFRS Measures online (www.sap.com/investor) for further information regarding the non-IFRS measures.

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “should” and “will” and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP’s future financial results are discussed more fully in SAP’s filings with the U.S. Securities and Exchange Commission (the “SEC”), including SAP’s most recent Annual Report on Form 20-F for 2012 filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

EXHIBITS


Exhibit No.		Exhibit

99.1		Press Release dated January 21, 2014

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


SAP AG
(Registrant)

By:	/s/ Christoph Huetten
	Name:	Dr. Christoph Huetten
	Title:	Chief Accounting Officer

By:	/s/ Sonja Simon
	Name:	Sonja Simon
	Title:	Head of Group Accounting and
		Reporting

Date: January 24, 2014

EXHIBIT INDEX


Exhibit No.		Exhibit

99.1		(i) Press Release dated January 21, 2014

EX-99.1 2 d660444dex991.htm EXHIBIT 99.1 Exhibit 99.1

Exhibit 99.1

LOGO

For Immediate Release

January 21, 2014

SAP Announces Fourth Quarter and Full Year Results 2013

Successful Transition to the Cloud Outgrowing the Market and Expanding Operating Margin in 2013

SAP Accelerating Customer-Driven Transition to the Cloud – Aiming for €3.0 – €3.5 Billion Cloud Revenue in 2017

•

Fast Growing Cloud Business and Solid Core Drive 4th Consecutive Year of Double-Digit Growth: Full Year 2013 Non-IFRS Software and Software-Related Service Revenue Increased 11% at Constant Currencies (6% at Actual Currencies to €14.03 Billion)

•

Cloud Subscription and Support Backlog Increased 50% to approximately €1.2 billion as of December 31, 2013, Non-IFRS Deferred Cloud Subscription and Support Revenue Increased 25% to €447 Million as of December 31, 2013

•

SAP HANA Success Continued in 2013: Full Year 2013 HANA Software Revenue Increased 69% at Constant Currencies to €664 Million (61% at Actual Currencies to €633 Million), SAP HANA Becomes the Real-Time Platform for the Industry

•

Full Year 2013 Non-IFRS Operating Profit Increased 13% at Constant Currencies to €5.90 Billion, Resulting in Non-IFRS Operating Margin Expansion of 150 Basis Points at Constant Currencies to 33.5%

•

Full Year 2013 Non-IFRS Earnings Per Share Increased 11% to €3.37

•

Introducing 2017 Targets Reflecting Customer-Driven Shift to Cloud: At least €22 Billion in Total Revenue, €3.0 – €3.5 Billion Total Revenue from the Cloud Business and 35% Non-IFRS Operating Margin by 2017

WALLDORF, Germany – January 21, 2014 – SAP AG (NYSE: SAP) today announced its preliminary financial results for the fourth quarter and full year ended December 31, 2013.

BUSINESS HIGHLIGHTS IN THE FOURTH QUARTER AND FULL YEAR 2013

SAP delivered strong revenue growth in 2013. Full year non-IFRS software and cloud subscription revenue increased 11% at constant currencies (6% at actual currencies to €5.28 billion). Non-IFRS software and software-related service revenue grew 11% at constant currencies (6% at actual currencies to €14.03 billion). Non-IFRS total revenue grew 8% at constant currencies (4% at actual currencies to €16.90 billion).

“We are proud of having delivered another year of double digit growth, outperforming the market and expanding our margin, while at the same time investing in innovation and the cloud,” said Co-CEOs Bill McDermott and Jim Hagemann Snabe. “Based on our strong global momentum from 2013 we will accelerate the transition to the cloud by offering customers choice. With all solutions moving to the Cloud powered by our real time platform HANA, we will simplify for our customers, extend our lead and drive growth that is more predictable and profitable for the long term.”


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 2

“We finished 2013 with a strong fourth quarter. We significantly expanded our Non-IFRS operating margin in the fourth quarter, leading to a full-year Non-IFRS operating margin expansion of 150 basis points at constant currencies and 11% growth in Non-IFRS EPS for the full year 2013,” said Werner Brandt, CFO of SAP. “This was driven by operational excellence despite the margin impact from acquisitions and our momentum in the cloud.”

SAP’s fast-growing cloud business demonstrates the Company’s leadership in the cloud. Non-IFRS cloud subscription and support revenue was €787 million at constant currencies, which exceeded the Company’s full year 2013 guidance of €750 million (2012: €343 million).

Non-IFRS deferred cloud subscription and support revenue¹ was €447 million as of December 31, 2013, a year-over-year increase of 25%. The Company’s cloud subscription and support backlog² as of December 31, 2013 was approximately €1.2 billion, a year-over-year increase of 50%. SAP’s annual cloud revenue run rate now exceeds €1.06 billion³. SAP’s total cloud portfolio applications subscribers now exceed 35 million. The trailing twelve month Ariba network spend volume⁴ now exceeds $0.5 trillion. Today Ariba is the world’s largest Web-based business trading community with 1.4 million connected companies.

SAP HANA, the platform for real-time business applications, was a major growth engine in 2013. The Company has now over 3,000 HANA customers. Full year 2013 HANA software revenue increased 69% at constant currencies to €664 million (61% at actual currencies to €633 million). SAP Business Suite powered by SAP HANA is the best-in-class platform for high-performance applications. With 800 customers at the end of 2013, demand for SAP Business Suite powered by HANA has exceeded SAP’s own expectations in the short period since its launch in May 2013.

Fourth Quarter 2013 Regional Revenue

The EMEA region saw high single-digit growth with non-IFRS software and cloud subscription revenue increasing 9% at constant currencies. This was the result of high double-digit growth in cloud subscription and support revenue in this region and strong double-digit software revenue growth at constant currencies in Germany, France, Russia, Middle East and Africa. The Americas region grew single-digit in the fourth quarter in non-IFRS software and cloud subscription revenue at constant currencies. This was the result of the transition to the cloud and a tough year-over-year comparison in software revenue. Non-IFRS software and cloud subscription revenue in the Asia Pacific Japan (APJ) region continued on its path of double-digit growth at constant currencies, driven by a strong performance in China.

Full Year 2013 Regional Revenue

The EMEA region saw high-single digit growth with non-IFRS software and cloud subscription revenue at constant currencies which is an impressive result in light of continued market uncertainty seen throughout the year. The Americas region delivered a very strong full year performance in non-IFRS software and cloud subscription revenue with 15% growth at constant currencies while rapidly shifting to the Cloud. Non-IFRS software and cloud subscriptions revenue in the APJ region increased by 3% at constant currencies in the full year 2013 after ending the year with a strong fourth quarter.

¹ Beginning in Q1 2013, SAP discloses non-IFRS deferred cloud subscription and support revenue, which is a subset of the total, non-IFRS deferred revenue number reported on the balance sheet. The opening balance for Ariba deferred cloud subscription and support revenue at October 1^st, 2012 was €118 million (Non-IFRS) and €53 million (IFRS).

² Cloud subscription and support backlog represents expected future cloud subscription and support revenue that is contracted but not yet invoiced and thus not recorded in deferred revenue.

³ The annual revenue run rate is the fourth quarter 2013 cloud division revenue of €266 million multiplied by 4.

⁴ Network spend volume is the total value of purchase orders transacted on the Ariba Network in the trailing 12 months.


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 3

FINANCIAL RESULTS IN DETAIL

FINANCIAL HIGHLIGHTS – Fourth Quarter 2013


	Fourth Quarter 2013¹⁾
	IFRS			Non- IFRS²⁾
€ million, unless otherwise stated	Q4 2013	Q4 2012	% change	Q4 2013	Q4 2012	% change	% change const. curr.

Software	1,902	1,937	–2	1,903	1,937	–2	4
Cloud subscriptions and support	209	126	66	210	159	32	39
Software and cloud subscriptions	2,111	2,063	2	2,113	2,096	1	6
Support	2,269	2,166	5	2,274	2,171	5	10
Software and software-related service revenue	4,380	4,228	4	4,387	4,266	3	8
Total revenue	5,109	5,023	2	5,116	5,062	1	7
Total operating expenses	–3,304	–3,431	–4	–3,018	–3,092	–2	1
Operating profit	1,805	1,592	13	2,097	1,969	7	15
Operating margin (%)	35.3	31.7	3.6pp	41.0	38.9	2.1pp	2.9pp
Profit after tax	1,324	1,101	20	1,524	1,359	12
Basic earnings per share (€)	1.11	0.92	21	1.28	1.14	12
Number of employees (FTE)	66,572	64,422	3	N/A	N/A	N/A	N/A

1) All figures are unaudited.

2) For a detailed description of SAP’s non-IFRS measures see Explanation of Non-IFRS Measures online. For a breakdown of the individual adjustments see page F7 in the appendix to this press release.

IFRS and non-IFRS software revenue was €1.90 billion (2012: €1.94 billion), a decrease of 2% (an increase of 4% at constant currencies). IFRS software and cloud subscription revenue was €2.11 billion (2012: €2.06 billion), an increase of 2%. Non-IFRS software and cloud subscription revenue was €2.11 billion (2012: €2.10 billion), an increase of 1% (6% at constant currencies). IFRS software and software-related service revenue was €4.38 billion (2012: €4.23 billion), an increase of 4%. Non-IFRS software and software-related service revenue was €4.39 billion (2012: €4.27 billion), an increase of 3% (8% at constant currencies). IFRS total revenue was €5.11 billion (2012: €5.02 billion), an increase of 2%. Non-IFRS total revenue was €5.12 billion (2012: €5.06 billion), an increase of 1% (7% at constant currencies).

IFRS operating profit was €1.81 billion (2012: €1.59 billion), an increase of 13%. Non-IFRS operating profit was €2.10 billion (2012: €1.97 billion), an increase of 7% (15% at constant currencies). IFRS operating margin was 35.3% (2012: 31.7%), an increase of 3.6 percentage points. Non-IFRS operating margin was 41.0% (2012: 38.9%), or 41.8% at constant currencies, an increase of 2.1 percentage points (2.9 percentage points at constant currencies).

IFRS profit after tax was €1.32 billion (2012: €1.10 billion), an increase of 20%. Non-IFRS profit after tax was €1.52 billion (2012: €1.36 billion), an increase of 12%. IFRS basic earnings per share was €1.11 (2012: €0.92), an increase of 21%. Non-IFRS basic earnings per share was €1.28 (2012: €1.14), an increase of 12%. The IFRS and non-IFRS effective tax rates in the fourth quarter of 2013 were 25.6% (2012: 28.0%) and 26.4% (2012: 28.7%), respectively.


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 4

FINANCIAL HIGHLIGHTS – Full Year 2013


	Full Year 2013¹⁾
	IFRS			Non-IFRS²⁾

€ million, unless otherwise stated	FY 2013	FY 2012	% change	FY 2013	FY 2012	% change	% change const. curr.


Software	4,516	4,658	–3	4,518	4,658	–3	2
Cloud subscriptions and support	697	270	158	758	343	121	130
Software and cloud subscriptions	5,213	4,928	6	5,276	5,001	6	11
Support	8,739	8,237	6	8,758	8,246	6	11
Software and software-related service revenue	13,952	13,165	6	14,034	13,246	6	11
Total revenue	16,817	16,223	4	16,900	16,304	4	8
Total operating expenses	–12,336	–12,158	1	–11,386	–11,090	3	6
Operating profit	4,482	4,065	10	5,513	5,214	6	13
Operating margin (%)	26.7	25.1	1.6pp	32.6	32.0	0.6pp	1.5pp
Profit after tax	3,330	2,823	18	4,024	3,608	12
Basic earnings per share (€)	2.79	2.37	18	3.37	3.03	11
Number of employees (FTE)	66,572	64,422	3	N/A	N/A	N/A	N/A

1) All figures are unaudited.

IFRS and non-IFRS software revenue was €4.52 billion (2012: €4.66 billion), a decrease of 3% (an increase of 2% at constant currencies). IFRS software and cloud subscription revenue was €5.21 billion (2012: €4.93 billion), an increase of 6%. Non-IFRS software and cloud subscription revenue was €5.28 billion (2012: €5.00 billion), an increase of 6% (11% at constant currencies). IFRS software and software-related service revenue was €13.95 billion (2012: €13.17 billion), an increase of 6%. Non-IFRS software and software-related service revenue was €14.03 billion (2012: €13.25 billion), an increase of 6% (11% at constant currencies). This exceeded SAP’s non-IFRS software and software-related service revenue guidance which was at least 10% at constant currencies. IFRS total revenue was €16.82 billion (2012: €16.22 billion), an increase of 4%. Non-IFRS total revenue was €16.90 billion (2012: €16.30 billion), an increase of 4% (8% at constant currencies).

IFRS operating profit was €4.48 billion (2012: €4.07 billion), an increase of 10%. Non-IFRS operating profit was €5.51 billion (2012: €5.21 billion), an increase of 6% (€5.90 billion or 13% at constant currencies). This met SAP’s non-IFRS operating profit guidance (which was in a range of €5.85 - €5.95 billion at constant currencies). IFRS operating margin was 26.7% (2012: 25.1%), an increase of 1.6 percentage points. Non-IFRS operating margin was 32.6% (2012: 32.0%), or 33.5% at constant currencies, an increase of 0.6 percentage points (1.5 percentage points at constant currencies). Non-IFRS operating margin in 2013 was negatively impacted affected by approximately 50 basis points (2012: 100 basis points) due to acquisitions.

IFRS profit after tax was €3.33 billion (2012: €2.82 billion), an increase of 18%. Non-IFRS profit after tax was €4.02 billion (2012: €3.61 billion), an increase of 12%. IFRS basic earnings per share was €2.79 (2012: €2.37), an increase of 18%. Non-IFRS basic earnings per share was €3.37 (2012: €3.03), an increase of 11%. The IFRS and non-IFRS effective tax rates for the twelve months ending December 31, 2013 were 24.3% (2012: 26.2%) and 25.9% (2012: 27.5%), respectively.

Operating cash flow was €3.83 billion (2012: €3.82 billion), increasing slightly year-over-year. Free cash flow was €3.27 billion (2012: €3.28 billion), decreasing slightly year-over-year. Free cash flow was 19%


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 5

of total revenue (2012: 20%). At December 31, 2013, SAP had a total group liquidity of €2.84 billion (December 31, 2012: €2.49 billion), which includes cash and cash equivalents and short term investments. Net liquidity at December 31, 2013 was -€1.47 billion compared to -€2.50 billion at December 31, 2012.

BUSINESS OUTLOOK 2014

The Company is providing the following outlook for the full-year 2014:

•

The Company expects full year 2014 non-IFRS cloud subscription and support revenue to be in a range of €950 – €1,000 million at constant currencies (2013: €758 million). The upper end of this range represents a growth rate of 32% which is similar to the respective 2013 growth rate after adjusting for acquisitions.

•

The Company expects full year 2014 non-IFRS software and software-related service revenue to increase by 6% – 8% at constant currencies (2013: €14.03 billion).

•

The Company expects full-year 2014 non-IFRS operating profit to be in a range of €5.8 billion – €6.0 billion at constant currencies (2013: €5.51 billion).

MID-TERM OUTLOOK

With SAP HANA as the single platform for our entire product portfolio, delivered on-premise or in the Cloud, SAP will drive simplicity and business outcomes for its customers.

SAP expects the combination of a stable, highly-profitable core and fast-growing cloud business to deliver continued growth and margin expansion. The Company still aims to increase its total revenue to at least €20 billion and total revenue from its cloud business including cloud-related professional services to approximately €2 billion by 2015.

Looking beyond 2015, SAP is now introducing new 2017 targets. SAP aims to increase total revenue to at least €22 billion and total revenue from its cloud business to €3.0 – €3.5 billion by 2017. The Company retains its non-IFRS operating margin goal of 35%. In order to capture the growth opportunities in the cloud, SAP now expects this target to be reached by 2017 rather than in 2015 as previously stated. SAP anticipates the fast-growing cloud business along with growth in support revenue will drive a higher proportion of more predictable, recurring revenue in the future.


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 6

Additional Information

2013 revenue and profit figures include the revenue and profits from Ariba, SuccessFactors and hybris. The comparative numbers for 2012 do not include SuccessFactors until February 21, 2012 and Ariba until October 1, 2012. The hybris acquisition closed on August 1, 2013.

For a more detailed description of all of SAP’s non-IFRS measures and their limitations as well as our constant currency and free cash flow figures see Explanation of Non-IFRS Measures online.

# #

2013 Annual Report

SAP’s 2013 Annual Report to Shareholders and 2013 Annual Report on Form 20-F are scheduled to be published on March 21, 2014, and will be available for download at www.sap.com/investor.

Webcast

SAP senior management will host a press conference in Walldorf today at 10:00 AM (CET) / 9:00 AM (GMT) / 4:00 AM (Eastern) / 1:00 AM (Pacific), followed by an investor conference at 2:00 PM (CET) / 1:00 PM (GMT) / 8:00 AM (Eastern) / 5:00 AM (Pacific). Both conferences will be web cast live on the Company’s website at www.sap.com/investor and will be available for replay. Supplementary financial information pertaining to the full-year and quarterly results can be found at www.sap.com/investor.

Investor Symposium

In addition, the Company will host an Investor Symposium in New York on February 4^nd at 3 PM CET 2:00 PM (GMT) / 9:00 AM (Eastern) / 6:00 AM (Pacific). This conference will be web cast live on the Company’s website at www.sap.com/investor and will be available for replay.

About SAP

As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 253,500 customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.

# # #

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “should” and “will” and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP’s future financial results are discussed more fully in SAP’s filings with the U.S. Securities and Exchange Commission (“SEC”), including SAP’s most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice.

Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors. National product specifications may vary.


*SAP Reports Fourth Quarter and Full Year 2013 Results*		Page 7

These materials are provided by SAP AG and its affiliated companies (“SAP Group”) for informational purposes only, without representation or warranty of any kind, and SAP Group shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP Group products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty.

SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG (or an SAP affiliate company) in Germany and other countries. Please see http://www.sap.com/corporate-en/legal/copyright/index.epx#trademark for additional trademark information and notices.

Note to editors:

To preview and download broadcast-standard stock footage and press photos digitally, please visit www.sap.com/photos. On this platform, you can find high resolution material for your media channels. To view video stories on diverse topics, visit www.sap-tv.com. From this site, you can embed videos into your own Web pages, share video via e-mail links and subscribe to RSS feeds from SAP TV.

For customers interested in learning more about SAP products:


Global Customer Center:		+49 180 534-34-24
United States Only:		1 (800) 872-1SAP (1-800-872-1727)

For more information, financial community only:


Stefan Gruber		+49 (6227) 7-44872		investor@sap.com, CET

For more information, press only:


Christoph Liedtke	+49 (6227) 7-50383	christoph.liedtke@sap.com, CET
Daniel Reinhardt	+49 (6227) 7-40201	daniel.reinhardt@sap.com, CET
Jim Dever	+1 (610) 661-2161	james.dever@sap.com, ET
Claudia Cortes	+65 6664-4450	claudia.cortes@sap.com, SGT (GMT +8)

Follow SAP Investor Relations on Twitter at @sapinvestor.

Appendix – Financial Information to Follow

LOGO

FINANCIAL INFORMATION

FOR THE FOURTH QUARTER 2013

(Condensed and Unaudited)


		Page

Financial Statements (IFRS)
Income Statements – Quarter		F1
Income Statements – Full-Year		F2
Statements of Financial Position		F3
Statements of Cash Flows		F4

Supplementary Financial Information
Reconciliation from Non-IFRS Numbers to IFRS Numbers		F5-F6
Non-IFRS Adjustments		F7
Revenue by Region		F8-F11
Multi-Quarter Summary		F12-F13

Financial Statements (IFRS)

CONSOLIDATED INCOME STATEMENTS

For the three months ended December 31

€ millions, unless otherwise stated

2013

2012

Change

in %

Software

1,902

1,937

–2

Cloud subscriptions and support

209

126

Software and cloud subscriptions

2,111

2,063

Support

2,269

2,166

Software and software-related service revenue

4,380

4,228

Consulting

553

612

–10

Other services

176

183

–4

Professional services and other service revenue

729

795

–8

Total revenue

5,109

5,023

Cost of software and software-related services

–759

–808

–6

Cost of professional services and other services

–580

–626

–7

Total cost of revenue

–1,338

–1,434

–7

Gross profit

3,771

3,589

Research and development

–607

–615

–1

Sales and marketing

–1,103

–1,121

–2

General and administration

–233

–284

–18

Restructuring

–23

N/A

TomorrowNow litigation

–1

<-100

Other operating income/expense, net

–98

Total operating expenses

–3,304

–3,431

–4

Operating profit

1,805

1,592

Other non-operating income/expense, net

–3

–28

–90

Finance income

–3

Finance costs

–43

–56

–24

Financial income, net

–22

–35

–36

Profit before tax

1,779

1,529

Income tax expense

–455

–429

Profit after tax

1,324

1,101

Profit attributable to non-controlling interests

–1

N/A

Profit attributable to owners of parent

1,324

1,101

Earnings per share, basic (in €)*

1.11

0.92

Earnings per share, diluted (in €)*

1.11

0.92

* For the three months ended December 31, 2013 and 2012 the weighted average number of shares was 1,194 million (diluted: 1,196 million) and 1,192 million (diluted: 1,194 million), respectively (treasury stock excluded).

CONSOLIDATED INCOME STATEMENTS

For the twelve months ended December 31

€ millions, unless otherwise stated

2013

2012

Change

in %

Software

4,516

4,658

–3

Cloud subscriptions and support

697

270

158

Software and cloud subscriptions

5,213

4,928

Support

8,739

8,237

Software and software-related service revenue

13,952

13,165

Consulting

2,242

2,442

–8

Other services

624

616

Professional services and other service revenue

2,866

3,058

–6

Total revenue

16,817

16,223

Cost of software and software-related services

–2,597

–2,551

Cost of professional services and other services

–2,400

–2,514

–5

Total cost of revenue

–4,996

–5,065

–1

Gross profit

11,821

11,158

Research and development

–2,283

–2,253

Sales and marketing

–4,124

–3,907

General and administration

–868

–947

–8

Restructuring

–70

–8

>100

TomorrowNow litigation

–1

<-100

Other operating income/expense, net

–73

Total operating expenses

–12,336

–12,158

Operating profit

4,482

4,065

Other non-operating income/expense, net

–17

–173

–90

Finance income

115

107

Finance costs

–181

–175

Financial income, net

–66

–68

–3

Profit before tax

4,399

3,824

Income tax expense

–1,069

–1,000

Profit after tax

3,330

2,823

Profit attributable to non-controlling interests

–1

N/A

Profit attributable to owners of parent

3,331

2,823

Earnings per share, basic (in €)*

2.79

2.37

Earnings per share, diluted (in €)*

2.79

2.37

* For the twelve months ended December 31, 2013 and 2012 the weighted average number of shares was 1,193 million (diluted: 1,195 million) and 1,191 million (diluted: 1,192 million), respectively (treasury stock excluded).

Due to rounding, numbers may not add up precisely.

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

As at December 31, 2013 and December 31, 2012


€ millions	2013		2012
Cash and cash equivalents		2,748		2,477
Other financial assets		251		154
Trade and other receivables		3,884		3,917
Other non-financial assets		346		294
Tax assets		306		156
Total current assets		7,535		6,998
Goodwill		13,688		13,192
Intangible assets		2,956		3,234
Property, plant, and equipment		1,820		1,708
Other financial assets		606		509
Trade and other receivables		98		88
Other non-financial assets		107		68
Tax assets		173		170
Deferred tax assets		613		742
Total non-current assets		20,061		19,711
Total assets		27,595		26,710


€ millions	2013		2012
Trade and other payables		864		870
Tax liabilities		611		511
Financial liabilities		748		802
Other non-financial liabilities		2,164		2,136
Provision TomorrowNow litigation		223		234
Other provisions		419		609
Provisions		642		843
Deferred income		1,426		1,386
Total current liabilities		6,455		6,547
Trade and other payables		45		63
Tax liabilities		331		388
Financial liabilities		3,758		4,446
Other non-financial liabilities		112		98
Provisions		278		361
Deferred tax liabilities		444		574
Deferred income		74		62
Total non-current liabilities		5,042		5,991
Total liabilities		11,497		12,538
Issued capital		1,229		1,229
Share premium		552		492
Retained earnings		16,308		13,973
Other components of equity		–718		–194
Treasury shares		–1,280		–1,337
Equity attributable to owners of parent		16,090		14,163
Non-controlling interests		9		8
Total equity		16,099		14,171
Equity and liabilities		27,595		26,710

CONSOLIDATED STATEMENTS OF CASH FLOWS

For the twelve months ended December 31


€ millions	2013		2012
Profit after tax		3,330		2,823
Adjustments to reconcile profit after taxes to net cash provided by operating activities:
Depreciation and amortization		951		863
Income tax expense		1,069		1,000
Financial income, net		66		68
Decrease/increase in sales and bad debt allowances on trade receivables		41		–25
Other adjustments for non-cash items		61		31
Decrease/increase in trade and other receivables		–129		–298
Decrease/increase in other assets		–130		–34
Decrease/increase in trade payables, provisions, and other liabilities		–181		408
Decrease/increase in deferred income		142		154
Cash outflows due to TomorrowNow litigation		–1		7
Interest paid		–159		–165
Interest received		67		92
Income taxes paid, net of refunds		–1,295		–1,102
Net cash flows from operating activities		3,832		3,822

Business combinations, net of cash and cash equivalents acquired		–1,160		–6,094
Purchase of intangible assets and property, plant, and equipment		–566		–541
Proceeds from sales of intangible assets or property, plant, and equipment		54		39
Purchase of equity or debt instruments of other entities		–1,531		–1,022
Proceeds from sales of equity or debt instruments of other entities		1,422		1,654
Net cash flows from investing activities		–1,781		–5,964

Dividends paid		–1,013		–1,310
Purchase of treasury shares		0		–53
Proceeds from reissuance of treasury shares		46		90
Proceeds from issuing shares (share-based payments)		0		15
Proceeds from borrowings		1,000		5,778
Repayments of borrowings		–1,625		–4,714
Net cash flows from financing activities		–1,592		–194

Effect of foreign exchange rates on cash and cash equivalents		–188		–152
Net decrease/increase in cash and cash equivalents		271		–2,488
Cash and cash equivalents at the beginning of the period		2,477		4,965
Cash and cash equivalents at the end of the period		2,748		2,477

SUPPLEMENTARY FINANCIAL INFORMATION

(UNAUDITED)

RECONCILIATION FROM NON-IFRS NUMBERS TO IFRS NUMBERS

The following tables present a reconciliation from our non-IFRS numbers (including our non-IFRS at constant currency numbers) to the respective most comparable IFRS numbers. Note: Our non-IFRS numbers are not prepared under a comprehensive set of accounting rules or principles.

For the three months ended December 31

€ millions, unless otherwise stated

2013

2012

Change in %

IFRS

Adj.*

Non-IFRS*

Currency

Impact**

Non-IFRS

Constant

Currency**

IFRS

Adj.*

Non-IFRS*

IFRS

Non-IFRS*

Non-IFRS

Constant

Currency**

Revenue Numbers

Software

1,902

1,903

107

2,010

1,937

–2

Cloud subscriptions and support

209

210

222

126

159

Software and cloud subscriptions

2,111

2,113

119

2,232

2,063

2,096

Support

2,269

2,274

123

2,396

2,166

2,171

Software and software-related service revenue

4,380

4,387

241

4,628

4,228

4,266

Consulting

553

581

612

–10

–5

Other services

176

184

183

–4

Professional services and other service revenue

729

766

795

–8

–4

Total revenue

5,109

5,116

278

5,394

5,023

5,062

Operating Expense Numbers

Cost of software and software-related services

–759

–661

–808

161

–647

–6

Cost of professional services and other services

–580

–542

–626

–605

–7

–10

Total cost of revenue

–1,338

135

–1,203

–1,434

181

–1,253

–7

–4

Gross profit

3,771

142

3,912

3,589

219

3,809

Research and development

–607

–557

–615

–584

–1

–5

Sales and marketing

–1,103

–1,041

–1,121

–1,075

–2

–3

General and administration

–233

–217

–284

–204

–18

Restructuring

–23

N/A

TomorrowNow litigation

–1

–2

<-100

N/A

Other operating income/expense, net

–98

Total operating expenses

–3,304

286

–3,018

–119

–3,137

–3,431

338

–3,092

–4

–2

Profit Numbers

Operating profit

1,805

292

2,097

160

2,257

1,592

376

1,969

Other non-operating income/expense, net

–3

–28

–90

Finance income

–3

Finance costs

–43

–56

–24

Financial income, net

–22

–35

–36

Profit before tax

1,779

292

2,072

1,529

376

1,906

Income tax expense

–455

–92

–547

–429

–119

–547

Profit after tax

1,324

200

1,524

1,101

258

1,359

Profit attributable to non-controlling interests

–1

N/A

Profit attributable to owners of parent

1,324

200

1,525

1,101

258

1,359

Key Ratios

Operating margin (in %)

35.3

41.0

41.8

31.7

38.9

3.6pp

2.1pp

2.9pp

Effective tax rate (in %)

25.6

26.4

28.0

28.7

–2.4pp

–2.3pp

Earnings per share, basic (in €)*

1.11

1.28

0.92

1.14

Deferred cloud subscriptions and support revenue (December 31)

443

447

317

358


	For the twelve months ended December 31
€ millions, unless otherwise stated	2013										2012						Change in %
	IFRS		Adj.*		Non- IFRS*		Currency Impact**		Non-IFRS Constant Currency**		IFRS		Adj.*		Non- IFRS*		IFRS		Non- IFRS*		Non-IFRS Constant Currency**
Revenue Numbers
Software		4,516		2		4,518		224		4,743		4,658		0		4,658		–3		–3		2
Cloud subscriptions and support		697		61		758		29		787		270		73		343		158		121		130
Software and cloud subscriptions		5,213		63		5,276		253		5,529		4,928		73		5,001		6		6		11
Support		8,739		19		8,758		371		9,129		8,237		9		8,246		6		6		11
Software and software-related service revenue		13,952		82		14,034		625		14,659		13,165		81		13,246		6		6		11
Consulting		2,242		0		2,242		87		2,329		2,442		0		2,442		–8		–8		–5
Other services		624		0		624		24		648		616		0		616		1		1		5
Professional services and other service revenue		2,866		0		2,866		111		2,977		3,058		0		3,058		–6		–6		–3
Total revenue		16,817		82		16,900		736		17,636		16,223		81		16,304		4		4		8

Operating Expense Numbers
Cost of software and software-related services		–2,597		364		–2,233						–2,551		414		–2,137		2		4
Cost of professional services and other services		–2,400		122		–2,277						–2,514		128		–2,385		–5		–5
Total cost of revenue		–4,996		486		–4,511						–5,065		542		–4,523		–1		0
Gross profit		11,821		568		12,389						11,158		624		11,782		6		5
Research and development		–2,283		119		–2,164						–2,253		129		–2,124		1		2
Sales and marketing		–4,124		204		–3,920						–3,907		223		–3,684		6		6
General and administration		–868		70		–798						–947		164		–783		–8		2
Restructuring		–70		70		0						–8		8		0		>100		N/A
TomorrowNow litigation		–1		1		0						0		0		0		N/A		N/A
Other operating income/expense, net		6		0		6						23		0		23		–73		–73
Total operating expenses		–12,336		949		–11,386		–347		–11,734		–12,158		1,067		–11,090		1		3		6

Profit Numbers
Operating profit		4,482		1,032		5,513		389		5,902		4,065		1,148		5,214		10		6		13
Other non-operating income/expense, net		–17		0		–17						–173		0		–173		–90		–90
Finance income		115		0		115						107		0		107		7		7
Finance costs		–181		0		–181						–175		1		–174		3		4
Financial income, net		–66		0		–66						–68		1		–67		–3		–1
Profit before tax		4,399		1,032		5,431						3,824		1,150		4,974		15		9
Income tax expense		–1,069		–337		–1,406						–1,000		–366		–1,366		7		3
Profit after tax		3,330		694		4,024						2,823		784		3,608		18		12
Profit attributable to non-controlling interests		–1		0		–1						0		0		0		N/A		N/A
Profit attributable to owners of parent		3,331		694		4,025						2,823		784		3,608		18		12

Key Ratios
Operating margin (in %)		26.7				32.6				33.5		25.1				32.0		1.6pp		0.6pp		1.5pp
Effective tax rate (in %)		24.3				25.9						26.2				27.5		–1.9pp		–1.6pp
Earnings per share, basic (in €)*		2.79				3.37						2.37				3.03		18		11

Deferred cloud subscriptions and support revenue (December 31)		443		4		447						317		40		358		40		25

* Adjustments in the revenue line items are for support revenue, cloud subscription revenue, and other similarly recurring revenues that entities acquired by SAP would have recognized had they remained stand-alone entities but that SAP is not permitted to recognize as revenue under IFRS as a result of business combination accounting rules. Adjustments in the operating expense line items are for acquisition-related charges, share-based compensation expenses, restructuring expenses, and discontinued activities.

** Constant currency revenue and operating income figures are calculated by translating revenue and operating income of the current period using the average exchange rates from the previous year’s respective period instead of the current period. Constant currency period-over-period changes are calculated by comparing the current year’s non-IFRS constant currency numbers with the non-IFRS number of the previous year’s respective period.

Due to rounding, numbers may not add up precisely.

NON-IFRS ADJUSTMENTS


€ millions, unless otherwise stated	10/1 – 12/31/2013	1/1 – 12/31/2013	10/1 – 12/31/2012	1/1 – 12/31/2012

Software and software-related service revenue (IFRS)	4,380	13,952	4,228	13,165
Adjustment for deferred revenue write-down	6	82	38	81
Software and software-related service revenue (Non-IFRS)	4,387	14,034	4,266	13,246

Operating profit (IFRS)	1,805	4,482	1,592	4,065
Revenue Adjustments (per above)	6	82	38	81
Adjustment for discontinued activities	1	1	–2	0
Adjustment for acquisition-related charges	130	555	151	537
Adjustment for stock-based compensation expenses	131	323	188	522
Adjustment for restructuring	23	70	0	8
Operating expense adjustments	286	949	338	1,067
Operating profit adjustments	292	1,032	376	1,148
Operating profit (Non-IFRS)	2,097	5,513	1,969	5,214

Profit after tax (IFRS)	1,324	3,330	1,101	2,823
Revenue adjustments (per above)	6	82	38	81
Operating profit expense adjustments (per above)	286	949	338	1,067
Adjustments pre-tax	292	1,032	376	1,150
Taxes on adjustments	–92	–337	–119	–366
Profit after tax (Non-IFRS)	1,524	4,024	1,359	3,608

Due to rounding, numbers may not add up precisely.

REVENUE BY REGION

The following tables present our IFRS and non-IFRS revenue by region based on location of contract negotiation respectively by customer location. The table also presents a reconciliation from our non-IFRS revenue (including our non-IFRS revenue at constant currency) to the respective most comparable IFRS revenue.

Note: Our non-IFRS revenues are not prepared under a comprehensive set of accounting rules or principles.


Revenue by Region - Management View

	For the three months ended December 31
€ millions	2013										2012						Change in %
	IFRS		Adj.*		Non-IFRS*		Currency Impact**		Non-IFRS Constant Currency**		IFRS		Adj.*		Non- IFRS*		IFRS		Non- IFRS*		Non-IFRS Constant Currency**
Software revenue by region
EMEA		978		0		978		24		1,002		937		0		937		4		4		7
Americas		577		0		577		40		616		643		0		643		–10		–10		–4
APJ		348		0		348		44		391		357		0		357		–3		–3		10
Software revenue		1,902		0		1,903		107		2,010		1,937		0		1,937		–2		–2		4

Software revenue by location of negotiation and cloud subscription revenue by region
EMEA		1,015		0		1,015		25		1,040		959		0		959		6		6		9
Americas		739		1		740		49		789		739		33		772		0		–4		2
APJ		358		0		358		45		403		365		0		365		–2		–2		10
Software revenue by location of negotiation and cloud subscription revenue		2,111		2		2,113		119		2,232		2,063		33		2,096		2		1		6

Revenue by Region – Location of Customers

	For the three months ended December 31
€ millions	2013										2012						Change in %
	IFRS		Adj.*		Non-IFRS*		Currency Impact**		Non-IFRS Constant Currency**		IFRS		Adj.*		Non-IFRS*		IFRS		Non-IFRS*		Non-IFRS Constant Currency**
Software revenue by region
EMEA		979		0		979		24		1,003		936		0		936		5		5		7
Americas		578		0		578		40		618		643		0		643		–10		–10		–4
APJ		345		0		346		43		389		357		0		357		–3		–3		9
Software revenue		1,902		0		1,903		107		2,010		1,937		0		1,937		–2		–2		4

Cloud subscriptions and support revenue by region
EMEA		37		0		37		1		38		22		0		22		68		69		75
Americas		162		1		163		9		172		96		33		129		69		26		33
APJ		10		0		10		1		11		8		0		8		30		30		41
Cloud subscriptions and support revenue		209		1		210		11		222		126		33		159		66		32		39

Software and cloud subscription revenue by region
EMEA		1,015		0		1,016		25		1,041		958		0		958		6		6		9
Americas		740		1		742		49		791		739		33		773		0		–4		2
APJ		356		0		356		44		400		365		0		365		–3		–3		10
Software and cloud subscription revenue		2,111		2		2,113		119		2,232		2,063		33		2,096		2		1		6


Software and software-related service revenue by region
Germany	661	1	662	0	662	576	0	576	15	15	15
Rest of EMEA	1,514	3	1,517	39	1,555	1,441	0	1,441	5	5	8
Total EMEA	2,175	3	2,178	39	2,217	2,016	0	2,016	8	8	10
United States	1,096	2	1,098	53	1,152	1,081	38	1,119	1	–2	3
Rest of Americas	408	1	409	49	458	411	0	411	–1	0	12
Total Americas	1,504	3	1,507	103	1,610	1,492	38	1,530	1	–1	5
Japan	154	0	154	45	199	209	0	209	–27	–27	–5
Rest of APJ	548	0	548	55	602	511	0	511	7	7	18
Total APJ	701	0	702	100	801	720	0	720	–3	–3	11
Software and software-related service revenue	4,380	6	4,387	241	4,628	4,228	38	4,266	4	3	8

Total revenue by region
Germany	791	1	792	0	792	713	0	713	11	11	11
Rest of EMEA	1,739	3	1,742	45	1,787	1,673	0	1,673	4	4	7
Total EMEA	2,530	3	2,534	45	2,579	2,387	0	2,387	6	6	8
United States	1,309	2	1,311	64	1,375	1,310	38	1,349	0	–3	2
Rest of Americas	480	1	481	57	538	501	0	501	–4	–4	7
Total Americas	1,789	3	1,792	121	1,913	1,811	38	1,849	–1	–3	3
Japan	171	0	171	50	221	232	0	232	–26	–26	–5
Rest of APJ	618	0	619	62	681	594	0	594	4	4	15
Total APJ	789	0	789	112	901	825	0	825	–4	–4	9
Total revenue	5,109	6	5,116	278	5,394	5,023	38	5,062	2	1	7


Revenue by Region - Management View

	For the twelve months ended December 31
€ millions	2013										2012						Change in %
	IFRS		Adj.*		Non- IFRS*		Currency Impact**		Non-IFRS Constant Currency**		IFRS		Adj.*		Non- IFRS*		IFRS		Non- IFRS*		Non-IFRS Constant Currency**
Software revenue by region
EMEA		2,095		1		2,096		43		2,139		2,005		0		2,005		4		5		7
Americas		1,620		1		1,621		97		1,718		1,774		0		1,774		–9		–9		–3
APJ		802		0		802		84		886		879		0		879		–9		–9		1
Software revenue		4,516		2		4,518		224		4,743		4,658		0		4,658		–3		–3		2

Software revenue by location of negotiation and cloud subscription revenue by region
EMEA		2,212		2		2,214		46		2,260		2,071		0		2,071		7		7		9
Americas		2,164		62		2,225		122		2,347		1,961		73		2,034		10		9		15
APJ		837		0		837		86		923		896		0		896		–7		–7		3
Software revenue by location of negotiation and cloud subscription revenue		5,213		63		5,276		253		5,529		4,928		73		5,001		6		6		11


Revenue by Region – Location of Customers

	For the twelve months ended December 31
€ millions	2013										2012						Change in %
	IFRS		Adj.*		Non-IFRS*		Currency Impact**		Non-IFRS Constant Currency**		IFRS		Adj.*		Non-IFRS*		IFRS		Non-IFRS*		Non-IFRS Constant Currency**
Software revenue by region
EMEA		2,116		1		2,117		45		2,162		2,041		0		2,041		4		4		6
Americas		1,586		1		1,587		95		1,681		1,733		0		1,733		–8		–8		–3
APJ		814		0		814		85		899		884		0		884		–8		–8		2
Software revenue		4,516		2		4,518		224		4,743		4,658		0		4,658		–3		–3		2

Cloud subscriptions and support revenue by region
EMEA		118		0		118		3		121		66		0		66		79		79		84
Americas		544		61		605		24		629		187		73		260		>100		>100		>100
APJ		35		0		35		2		37		17		0		17		>100		>100		>100
Cloud subscriptions and support revenue		697		61		758		29		787		270		73		343		158		121		130

Software and cloud subscription revenue by region
EMEA		2,234		2		2,235		48		2,283		2,107		0		2,107		6		6		8
Americas		2,130		62		2,191		119		2,310		1,920		73		1,993		11		10		16
APJ		849		0		849		87		936		901		0		901		–6		–6		4
Software and cloud subscription revenue		5,213		63		5,276		253		5,529		4,928		73		5,001		6		6		11

F10


Software and software-related service revenue by region
Germany	1,984	2	1,986	0	1,986	1,821	1	1,821	9	9	9
Rest of EMEA	4,566	5	4,571	106	4,677	4,285	1	4,286	7	7	9
Total EMEA	6,550	6	6,557	106	6,663	6,106	2	6,108	7	7	9
United States	3,788	73	3,861	137	3,999	3,537	80	3,617	7	7	11
Rest of Americas	1,410	2	1,412	130	1,542	1,283	0	1,283	10	10	20
Total Americas	5,198	76	5,273	267	5,540	4,820	80	4,900	8	8	13
Japan	556	0	556	146	703	699	0	699	–20	–20	1
Rest of APJ	1,647	0	1,648	106	1,753	1,540	0	1,540	7	7	14
Total APJ	2,204	0	2,204	252	2,456	2,239	0	2,239	–2	–2	10
Software and software-related service revenue	13,952	82	14,034	625	14,659	13,165	81	13,246	6	6	11

Total revenue by region
Germany	2,505	2	2,507	0	2,507	2,380	1	2,381	5	5	5
Rest of EMEA	5,381	5	5,386	128	5,514	5,106	1	5,107	5	5	8
Total EMEA	7,886	6	7,893	128	8,020	7,486	2	7,488	5	5	7
United States	4,662	73	4,735	166	4,901	4,461	80	4,541	5	4	8
Rest of Americas	1,706	2	1,709	154	1,862	1,639	0	1,639	4	4	14
Total Americas	6,368	76	6,444	319	6,763	6,100	80	6,180	4	4	9
Japan	624	0	624	164	788	789	0	789	–21	–21	0
Rest of APJ	1,939	0	1,939	125	2,064	1,848	0	1,848	5	5	12
Total APJ	2,563	0	2,563	289	2,852	2,637	0	2,637	–3	–3	8
Total revenue	16,817	82	16,900	736	17,636	16,223	81	16,304	4	4	8

** Constant currency revenue figures are calculated by translating revenue of the current period using the average exchange rates from the previous year’s respective period instead of the current period. Constant currency period-over-period changes are calculated by comparing the current year’s non-IFRS constant currency numbers with the non-IFRS number of the previous year’s respective period.

For a more detailed description of these adjustments and their limitations as well as our constant currency figures, see our Web site www.sap.com/corporate-en/investors/newsandreports/reporting-framework.epx under “Non-IFRS Measures and Estimates.”

Due to rounding, numbers may not add up precisely.

F11

MULTI-QUARTER SUMMARY (IFRS AND NON-IFRS)

€ millions, unless otherwise stated

2012

2013

Software (IFRS)

637

1,059

1,026

1,937

4,658

657

982

975

1,902

4,516

Revenue adjustment*

Software (non-IFRS)

637

1,059

1,026

1,937

4,658

657

982

977

1,903

4,518

Cloud subscriptions and support (IFRS)

126

270

137

159

191

209

697

Revenue adjustment*

Cloud subscriptions and support (non-IFRS)

159

343

167

183

197

210

758

Support (IFRS)

1,953

2,013

2,105

2,166

8,237

2,109

2,177

2,184

2,269

8,739

Revenue adjustment*

Support (non-IFRS)

1,954

2,014

2,106

2,171

8,246

2,113

2,182

2,189

2,274

8,758

Software and software-related service revenue (IFRS)

2,619

3,124

3,194

4,228

13,165

2,903

3,318

3,351

4,380

13,952

Revenue adjustment*

Software and software-related service revenue (non-IFRS)

2,626

3,142

3,212

4,266

13,246

2,937

3,347

3,363

4,387

14,034

Total revenue (IFRS)

3,350

3,898

3,952

5,023

16,223

3,601

4,062

4,045

5,109

16,817

Revenue adjustment*

Total revenue (non-IFRS)

3,357

3,916

3,970

5,062

16,304

3,636

4,091

4,057

5,116

16,900

Operating profit (IFRS)

631

921

1,592

4,065

646

988

1,043

1,805

4,482

Revenue adjustment*

Expense adjustment*

196

234

300

338

1,067

221

201

242

286

949

Operating profit (non-IFRS)

834

1,173

1,239

1,969

5,214

901

1,219

1,296

2,097

5,513

Operating margin (IFRS) (in %)

18.8

23.6

23.3

31.7

25.1

17.9

24.3

25.8

35.3

26.7

Operating margin (non-IFRS) (in %)

24.8

30.0

31.2

38.9

32.0

24.8

29.8

32.0

41.0

32.6

Effective tax rate (IFRS) (in %)

26.9

23.6

24.8

28.0

26.2

16.3

24.8

26.4

25.6

24.3

Effective tax rate (non-IFRS) (in %)

28.1

25.6

26.7

28.7

27.5

21.4

26.8

27.6

26.4

25.9

Earnings per share, basic (IFRS) (in €)

0.37

0.55

0.52

0.92

2.37

0.44

0.61

0.64

1.11

2.79

Earnings per share, basic (non-IFRS) (in €)

0.49

0.70

1.14

3.03

0.58

0.73

0.78

1.28

3.37

Net cash flows from operating activities

2,071

329

657

765

3,822

2,162

320

558

792

3,832

Purchases of intangible assets, and property, plant and equipment

–113

–162

–95

–171

–541

–113

–152

–136

–165

–566

Free cash flow

1,958

167

562

594

3,281

2,049

168

422

627

3,266

Deferred cloud subscriptions and support revenue (quarter end) (IFRS)

120

155

169

317

344

354

376

443

Revenue adjustment*

Deferred cloud subscriptions and support revenue (quarter end) (non-IFRS)

193

215

213

358

377

361

382

447

Days sales outstanding (DSO) in days**

Headcount***

59,420

60,972

61,344

64,422

64,598

64,937

66,061

66,572

Employee retention (in %) (rolling 12 months)

Greenhouse gas emissions in kilotons

130

120

115

120

485

145

135

120

545

F12

* Adjustments in the revenue line items are for support revenue, cloud subscription revenue and other similarly recurring revenues that entities acquired by SAP would have recognized had they remained stand-alone entities but that SAP is not permitted to recognize as revenue under IFRS as a result of business combination accounting rules. Adjustments in the operating expense line items are for acquisition-related charges, share-based compensation expenses, restructuring expenses and discontinued activities.

** Days’ Sales Outstanding measures the length of time it takes to collect receivables. SAP calculates DSO by dividing the average invoiced accounts receivables balance of the last 12 months by the average monthly sales of the last 12 months.

*** In full-time equivalents at quarter end

F13

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Table of Contents

Table of Contents

Table of Contents

Table of Contents

Table of Contents

Table of Contents