SAP AG has announced its preliminary financial results for the third quarter and nine months ended September 30, 2005. Highlights of the results are:
• Software revenues increased 18 percent to 1.60 billion euros (2004: 1.36 billion euros) for the 2005 nine month period. At constant currencies, software revenues increased 18 percent for the first nine months.
• Software revenues in the EMEA region grew six percent to 263 million euros for the third quarter of 2005 (2004: 249 million euros). At constant currencies, software revenues in the EMEA region increased six percent compared to the third quarter of 2004.
• Total revenues for third quarter of 2005 were 2.01 billion euros (2004: 1.78 billion euros), which was an increase of 13 percent compared to the third quarter of 2004. At constant currencies, total revenues increased 12 percent year-over-year.
“The third quarter marked another strong performance for SAP,” said Henning Kagermann, CEO of SAP. “We had record third quarter software revenues. While we continue to move forward in delivering on our Enterprise Service Architecture road map, we also decided to accelerate investments. Therefore, in addition to rolling out the entire mySAP Business Suite and all of SAP’s industry solutions on SAP NetWeaver as planned in October, we also service enabled the mySAP Business Suite and industry solutions with more than 500 enterprise services. This was a significant milestone as we are the first company to deliver such a robust, service-enabled suite of software solutions.”
Taking advantage of SAP’s technology and strong push in the region, Saudi Electricity has announced that it has inked a deal with the SAP AG subsidiary in the Middle East, SAP ARABIA, to provide software and customer relationship management (CRM) solutions to run the electrical giant’s day-to-day operations in the Kingdom.
Plus, as part of its ambitious regional growth plans, SAP ARABIA has also unveiled key inroads including deals with ETA-Ascon, EMKE Group, Easa Saleh Al-Gurg Group, ADNOC, Dubai Festival City and other prominent establishments.
Essam Enany, president, SAP Arabia, said: “Our regional growth reflects our strong delivery, our unwavering customer focus and passion to make SAP stand out in the industry. Our solutions are built on a consistent technology and application stack. Research has shown that companies are turning away from niche point solutions that require painful integration and added cost to tie processes together. Our advantage is that we provide customers with fully integrated suites of solutions that link front-office and collaborative applications with key business processes, costing users less in the long run.”
According to IDC reports, SAP Arabia, the sole national distributor of SAP AG in the Middle East and North Africa, leads the Enterprise solutions market in the region with 37 percent market share. Headquartered in Jeddah and with branches in Dubai and Cairo, SAP Arabia has 70 plus prestigious customers in the region, 32 plus of which are in Saudi Arabia such as Saudi Aramco, SABIC, Almarai, Al-Faisaliah Group.
