Strong Third Quarter Earnings Growth in SAP Asia Pacific Japan Buoyed by Cloud and SAP HANA

SINGAPORESAP SE (NYSE: SAP) achieved robust 10% growth in non-IFRS software and software-related service revenue (10% at constant currencies) in Asia Pacific Japan (APJ) during the third quarter for 2014. Demand for the SAP Cloud portfolio and the SAP HANA platform continued to rise, most notably in Australia and New Zealand (ANZ), where customer demand for the simplicity and functionality of this technology was again evident.

The strong performance in the third quarter was driven by cloud subscription and support revenue. Non-IFRS cloud subscriptions and support revenue grew by 57% (56% at constant currencies) on a year-on-year basis across APJ. The SuccessFactors Human Capital Management (HCM) Suite registered solid growth, especially in the public sector, resources and telecommunications industries. The rise of e-commerce in the region is also boosting demand for omni-channel commerce solutions from hybris, an SAP company, and cloud-based procurement and trading network from Ariba, an SAP company. Increased demand for the SAP HANA platform was reflected in triple-digit growth for SAP Business Suite powered by SAP HANA. The analytics business registered double-digit growth this quarter, as businesses look to capitalize on big data to make smarter decisions.

“Our strong third quarter performance is a reflection of the growing customer buy-in to our Run Simple operating principle, which really underpins what we do: sophisticated technology to simplify business,” said Robert Enslin, President of Global Customer Operations and Member of the Executive Board of SAP SE. “As SAP marks its 25 years in Asia Pacific Japan, we are committed to finding new and innovative ways to help our customers Run Simple.”

“SAP brings to the market a strong portfolio of industry solutions to help enterprises digitize, operate in real-time and simplify consumption of the solutions in a Cloud model,” said Adaire Fox-Martin, President of SAP Asia Pacific Japan. “The tremendous uptake of SAP Cloud and SAP HANA is a validation of our corporate strategy, and SAP is proud to be part of our customers’ transformation journey in Asia-Pacific.”

Customer highlights in the third quarter:

  • Singapore Telecommunications Limited (SingTel), a telecommunications company with more than 500 million subscribers and associates in more than 25 countries selected SuccessFactors HCM Suite including SuccessFactors Employee Central and SuccessFactors Employee Central Payroll along with the SAP Jam social software platform and SAP Cloud for Travel solution to help enable its matrix structure, simplify its IT infrastructure and drive its people transformation agenda. SAP was selected for the best team, including industry and HR domain expertise as well as the start-anywhere-go-everywhere value proposition that will enable SingTel to implement the solutions in line with their business needs.

  • Australia’s La Trobe University has chosen the SAP Simple Finance solution powered by SAP HANA and the SAP Student Lifecycle Management application to support its “Future-Ready Strategic Plan,” which includes simplifying operations, attracting creative and independent thinkers, supporting a highly skilled and motivated workforce and developing a lively, connected campus. SAP Simple Finance in the cloud will provide instant insight across financial and operational processes to help the university drive value through planning, analysis, prediction and simulation. SAP Student Lifecycle Management will enable La Trobe to better support students and staff by providing an end-to-end view of the student experience.

  • Accolade Wines, a global wine company with some of the world’s best-known brands sold in more than 80 countries, including Australia, the UK, Mainland Europe, the US, Canada, Japan, New Zealand and China, selected the SuccessFactors HCM Suite over Workday. Leveraging SuccessFactors Employee Central, SuccessFactors Recruiting, SuccessFactors Learning and SuccessFactors Succession & Development, plus SuccessFactors Performance & Goals, SuccessFactors Compensation and SuccessFactors Onboarding will support the consolidation, simplification and transformation of Accolade’s global processes.

  • Mitsui Knowledge Industry (MKI), a leading IT services provider in Japan, selected the SAP HANA Enterprise Cloud service. In addition to its own professional data analysis service, MKI can now provide a market forecasting service for various commodities as a Software-as-a-Service (SaaS) through highly available and efficient SAP HANA Enterprise Cloud infrastructure, minimizing initial investment at the same time of simplifying operations for both MKI and its clients.

  • NTUC Fairprice, the largest supermarket chain in Singapore, will simplify its overall architecture, reduce TCO and accelerate the performance of its SAP system with the in-memory SAP HANA database. SAP Business Suite on SAP HANA delivers a platform for growth and innovation while lowering costs.

  • Hemas Holdings PLC., is a diversified conglomerate listed in the Colombo Stock Exchange operating in healthcare, consumer goods, leisure and transportation sectors. Hemas is on a growth trajectory and has recognized operational excellence, innovation and talent as essential ingredients to achieve its ambitious goals. SAP HANA, SAP Cloud together with the Business Transformation Services group of SAP Consulting will help Hemas get the best out of technology to achieve its vision to “Be the best at enriching lives.”

  • For Fire and Rescue NSW, Australia’s largest urban fire and rescue service, getting the right people and equipment to the right place as quickly as possible to provide emergency services is a complex exercise. The organization sees SAP Business Suite Powered by SAP HANA as the future driver, marshalling resources and guiding the deployment of those resources to keep the state safe.

About SAP

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