SAP Stock Slips On Mixed Q3 Results: EPS Beat, Revenues Miss

Core Insights - SAP reported Q3 earnings of $1.85 per share, exceeding analyst expectations of $1.69, while quarterly revenue was $10.54 billion, slightly below the estimate of $10.57 billion [2][4]. Financial Performance - Cloud revenue grew by 22%, and 27% when adjusted for constant currencies [5]. - Cloud ERP Suite revenue increased by 26%, and 31% at constant currencies [5]. - Total revenue rose by 7%, and 11% at constant currencies [5]. - IFRS operating profit increased by 12%, while non-IFRS operating profit rose by 14%, and 19% at constant currencies [5]. Market Position and Outlook - CEO Christian Klein highlighted strong cloud revenue growth of 27% and emphasized gaining market share as customers adopt solutions across the Business Suite [4]. - The current cloud backlog stands at $21.8 billion, reflecting a 23% increase, and a 27% increase at constant currencies [5]. - The company expressed confidence in its revenue growth ambitions for 2026, supported by a strong pipeline for Q4 [4].