SAP: share down as 2022 operating profit forecast cut

(CercleFinance.com) - On Thursday software company SAP cut its operating profit forecast for FY 2022 due to the impact of the war in Ukraine and weak licence revenues.


The German group said it now expects non-IFRS operating profit of 7.6 to 7.9 billion euros, instead of 7.8 to 8.25 billion euros previously.

SAP shares were falling significantly in Frankfurt on Thursday morning (down almost 4¨% juste before 11 am) after the profit warning, which was mainly attributed to the cessation of its activities in Russia as a result of the Ukrainian conflict.

SAP reported Q2 operating profit of 1.7 billion euros, down 13%, on sales that are up 13% to nearly 7.5 billion euros, pretty much in line with the consensus.

All these lacklustre announcements overshadowed the official launch of a new 500 million euro share buyback program to be executed by the end of the year.


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