Hey thread,wake up!!!
SAP delivered:
Thursday July 20, 8:25 am Eastern Time
Company Press Release
SAP Reports Solid Second Quarter Performance
Sales of mySAP.com Exceeds Expectations
NEW YORK/WALLDORF, Germany--(BUSINESS WIRE)--July 20, 2000--SAP AG (NYSE: SAP - news), the leading provider of inter-enterprise software
solutions, today announced its results for the quarter ended June 30, 2000. In the second quarter, revenues rose 19% over the same period last year to E1.50
billion (1999: E1.26 billion).
License revenues grew by 23% to E554 million (1999: E452 million) of which sales of mySAP.com, the leading e-business platform, accelerated to E261
million or 47% of total license revenues in the second quarter, compared to 22% in the first quarter 2000. Pre-tax profit in the quarter before charges for the
employee stock appreciation rights program (STAR) increased 11% to E288 million (1999: E260 million); pre-tax profit including STAR decreased 22% to
E193 million (1999: E248 million). Net income in the quarter decreased 18% to E116 million (1999: E142 million).
Sales for the first half of 2000 grew 15% to E2.68 billion from E2.34 billion in the same period last year. Pre-tax profit in the first half before charges for STAR
was up 50% to E622 million (1999: E416 million); pre-tax profit including STAR decreased 31% to E288 million (1999: E420 million). Net income in the first
half was down 28% to E172 million (1999: E240 million).
``Less than a year after its introduction, mySAP.com already accounts for almost 50% of total license revenues in the second quarter,'' said Hasso Plattner,
Co-Chairman and CEO of SAP AG. ``That clearly shows that our e-business platform mySAP.com is enabling an increasing number of businesses around the
world to be part of the Internet economy. Nestle is one example. The company signed a contract that will put mySAP.com at the fingertips of over 230,000
Nestle employees. Another indication that SAP continues to extend its leadership is that over half of our mySAP.com sales this quarter were to new
customers.''
Improved Performance in the Americas
In the second quarter, revenues in the Americas rose 15% to E598 million (1999: E521 million). Sales in the Asia Pacific (APA) region were up 67% to E192
million (1999: E115 million) while in the region comprising Europe, the Middle East and Africa (EMEA) revenues increased 13% to E708 million (1999: E624
million).
Breaking out license revenues for the quarter: the Americas grew 33% to E215 million, APA were up 197% to E89 million and EMEA decreased 4% to E250
million.
In the first half, sales in the APA region were up 55% to E331 million (1999: E214 million), in the EMEA region, revenues increased 14% to E1.32 billion (1999:
E1.15 billion) and in the Americas, revenues rose 7% to E1.03 billion (1999: E0.97 billion).
``The sales strength of mySAP.com picked up further pace in the second quarter,'' said Henning Kagermann, Co-Chairman and CEO of SAP AG. ``Our US
organization has quickly refocused its efforts to take advantage of increased market demand. In addition, demand in the Asia Pacific region was particularly
strong. In the second half, we will continue to reallocate resources in an effort to improve margins and reap the benefits of our healthy pipeline.''
For the first half, product revenues rose 25% to E1.69 billion (1999: E1.35 billion) and amounted to 63% of total sales. License revenues increased by 14% to
E923 million (1999: E807 million). mySAP.com contributed E341 million, or 37% of license sales. Consulting revenues in the first half slowed, decreasing 2%
to E725 million (1999: E741 million). Training revenues fell 10% to E195 million (1999: E216 million).
Second Quarter 2000 Highlights
- Strong customer acceptance of mySAP.com, the SAP e-business
platform, continued in the second quarter. New mySAP.com customers
in the quarter include: in the Americas, Canada Post, Commonwealth
of Pennsylvania, Compaq, Massachusetts Mutual Life Insurance Co.;
in Europe, Assicurazioni Generali, British Airways Engineering,
Nestle, ProSieben Media, Sainsbury's Homebase; in Asia/Pacific,
Mitsui Chemical, NTT Comware, Yamaha Corporation.
- SAP welcomed more than 21,000 conference attendees to its SAPPHIRE
customer conferences in Berlin and Las Vegas. At the events, SAP
showcased continued delivery and strong customer acceptance of
mySAP.com. At the European conference, SAP unveiled a new program
to provide a clear path for current customers to upgrade to
mySAP.com as well as a comprehensive integration strategy that
will open mySAP.com to third-party solutions, giving customers
greater choice and flexibility. At SAPPHIRE Las Vegas, SAP AG,
SAPMarkets, the SAP subsidiary dedicated to deliver mySAP.com
marketplaces, and Commerce One announced a preliminary agreement
to jointly deliver the next-generation e-business marketplace
solution for the Internet economy.
- SAPMarkets currently has nine mySAP.com Marketplaces in operation.
These electronic marketplaces enable enterprises of all sizes and
industries to efficiently conduct collaborative business:
Companies' systems and employees are dynamically linked through
mySAP.com Marketplaces, allowing them to seamlessly work together
over the Internet and across company boundaries. Among those
currently in operation are the mySAP.com Marketplace for the US
(http://marketplace.mySAP.com); the SAP Service Marketplace
(http://service.sap.com); a chemical and pharmaceutical
Marketplace with BASF, Degussa-Huls, Henkel, Wacker-Chemie GmbH,
Ralf |
