SAP teamed up with Accenture
So far in this series, we discussed various factors—including the US dollar appreciation (UUP) against the euro (EWG)—that helped SAP (SAP) post fiscal 4Q15 and 2015 results that beat analysts’ expectations. The company also reported that its latest ERP (Enterprise Resource Planning) platform, S/4 HANA, saw traction. This was visible in its increased customer count.
To promote the adoption of S/4 HANA, SAP teamed with Accenture (ACN) to increase the deployment of S/4 HANA for specific areas, like financial firms, on January 11, 2016. Commenting on the partnership, Paul Daugherty, Accenture’s CTO (Chief Technology Officer) stated that “Accenture developers and industry experts are now working side by side with SAP, providing us with unique input, insight and development opportunities with SAP S/4HANA.”
Improved guidance in 2016
On an IFRS (International Financial Reporting Standards) basis, SAP’s operating profit fell by 3% on a YoY (year-over-year) basis. The company provided positive guidance for 2016. This caused the company’s share price to rise slightly, as the above share price chart shows. For 2016, SAP expects cloud and software revenue to grow 6%–8%. The operating profit is expected to be 6.4–6.7 billion euros compared to 6.35 billion euros in fiscal 2015.