Major German software company preannounces...no Asian problems here.
SAP (FSE:SAPG_.P) shares climb on bullish 1997 outlook
Reuters, Thursday, January 08, 1998 at 02:50
FRANKFURT, Jan 8 (Reuters) - Shares in SAP AG (FSE:SAPG)
climbed on Thursday after the German software group said 1997
sales rose by almost 60 percent and that earnings per share
would be up more than 50 percent.
SAP's statement, released late on Wednesday, was more
bullish on sales than the company's previous forecasts of 50
percent sales growth.
By 0740 GMT, SAP preference shares were 14 marks or 2.40
percent firmer at 597 marks in Xetra computer trade, making them
the biggest percentage gainer. Ordinary shares were up 11 marks
or 2.02 percent at 555 marks.
"In spite of the uncertainty about the level of the tax rate
and the larger number of shares in circulation, the rise in
earnings per share will probably be more than 50 percent," SAP
said in its statement, which was released ahead of provisional
results due on January 27.
SAP also warned, however, that costs had also risen sharply
in 1997 but at a lower pace than sales.
In October, SAP announced nine-month pre-tax profits up 64
percent at 833 million marks, with sales up 61 percent at 3.8
billion marks. |
