SAP reports profits slump in Q2

July 17, 2014 - 10:19:48 am

FRANKFURT: German software giant SAP said on Thursday its bottom line was hit by one-off effects in the second quarter, but it is sticking to its full-year forecast.

SAP said in a statement that its net profit fell by 23 percent to 556 million euros ($752 million) in the period from April to June.

Underlying or operating profit was down 29 percent at 698 million euros, despite a 2.0-percent increase in second-quarter revenues to 4.151 billion euros.

SAP said profits had been hit by a provision of 289 million euros related to a long-running patent dispute with the US company Versata.

"Recent developments in the courts have made it probable that SAP will be required to pay Versata," SAP explained.

Looking ahead to the whole year, SAP said it continued to project operating profit to be in a range of 5.8-6.0 billion euros, up from 5.48 billion euros in 2013. (AFP)

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