SAP: The World’s Largest Provider of Enterprise Application Software

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SAP Global Communications (July 23, 2026)SAP: Leading Provider of Enterprise ApplicationSoftware© 2026 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material. See Legal Notice for forward looking statements.Customers SAP customers generate 84% of total global commerce 99 of the 100 largest companies in the world are SAPcustomers 86 of the 100 largest companies in the world are SAPS/4HANA customers Approximately 80% of SAP’s customers are SMEsFinancials Cloud ERP Suite grows fast and represents 88% of our totalcloud revenue: SAP S/4HANA Cloud, SAP BusinessTechnology Platform, and core solutions for People & Cultureand payroll, spend mgmt, commerce, customer data solutions,business process transformation, and working capital mgmtStrategy SAP is committed to help the world run better and improvepeople’s lives, backed by our vision of bringing out the best inevery business by helping them become an AutonomousEnterprise. Our goal is to be the #1 Business AI company,powering the Autonomous Enterprise The Autonomous Enterprise: a business where AI assistantsand agents manage and execute many end-to-end processes,leaving humans with control over critical decisionso Joule: the new engagement layer, bringing together data,workflows, and agents across SAP systems and beyondo SAP Autonomous Suite: based on AI assistants and agentsexecuting work across all domainso SAP Industry AI with built-in vertical process knowledge,data models, and regulatory logic. Will cover 7 autonomousindustry domains, to be expanded across 26 industrieso SAP Business AI Platform, details see belowSAP Business AI Platform SAP Business AI Platform: Will combine deep process context,unified business data, and purpose-built models with built-inenterprise governance. Will be delivered in Q3/2026. Includes:o SAP Joule Studio helps design, build, and extend AI agents,applications, and workflows grounded in business contexto SAP Integration Suite connects AI agents, applications, data,and systems across the enterpriseo SAP Business Data Cloud: unifies SAP and third-party data,along with the context from business processes, policies,and logic to make data meaningfulo SAP Knowledge Graph: semantic layer that encodesbusiness meaning, connecting data, processes, andrelationships so AI can reason accuratelyo SAP Business Technology Platform (BTP) to build, integrate,manage, and run enterprise AI agents, apps, and workflowso Capabilities of acquisitions like Reltio, Dremio, Prior LabsInnovation R&D expense ratio: 18.7% (Non-IFRS; R&D expense as % oftotal revenue) for Q2/2026. R&D headcount (FTEs): 38,309 atJune 30, 2026, equaling 34.2% of total headcount Worldwide >100 development locations, 13 SAP Labs Sapphire Ventures: >200 company investments, operatesindependently from SAP. >$10b in assets under managementIndustry PositionEnterprise Application Software SAP is a leader in enterprise applications software, enterpriseresource management applications, supply chainmanagement applications, procurement applicationssoftware, travel and expense management software, and ERPsoftware acc. to leading analyst firms Broad portfolio of modular and suite solutionsTop Cloud and AI Vendor Cloud user base: >350m users Cloud infrastructure: Choice across hyperscale cloud vendors(Alibaba, Amazon, Google, Microsoft) and SAP 43 data centers in 24 locations in 15 countries >45,000 cloud customers use SAP Business AI >400 AI use cases avail., thereof 37 specialized Joule agents SAP Sovereign Cloud Portfolio to meet country-specificsovereignty requirements on data, operational, legal +technical levels. Deployment on SAP cloud infrastructure, on-site and on hyperscaler infrastructure Partners in >140 countries: >3,000 partners with clouddelivery, innovation and SAP solution expertise; >3,500 sellpartners servicing SAP midmarket customers; 420 partnersengage with AI Foundation on SAP BTP >3,000 partner solutions on SAP StoreSAP Autonomous SuiteEnterprise Resource Planning (ERP) SAP S/4HANA Cloud: Cloud ERP portfolio helping customersrun mission-critical operations, introduce new businessmodels and expand globally RISE with SAP: helps customers modernize their on premiseERP. Includes S/4HANA Cloud, SAP Signavio, SAP LeanIX,WalkMe and more cloud solutions as well as accelerationservices and tools SAP GROW: entry point to AI for new customers. Built on SAPCloud ERP. Helps organizations get started across finance,supply chain and HR, with embedded AI and industry bestpractices Business One: ERP for SMEs, AI-enabled, led by partnersFinance and Spend Management SAP Ariba: connecting procurement from source to pay SAP Fieldglass: managed contingent work worth $26b inQ2/2026 SAP Concur: >104m end users SAP Taulia offers leading cash flow acceleration solutions andprocesses >$980 billion p.a. for its customers and partnersSupply Chain Management SAP Supply Chain Management: AI-powered cloud softwareand the business network orchestrate supply chain processes,data, and trading partners enabling companies to becomemore agile, autonomous, productive, and sustainable SAP Business Network with >$7.7 trillion in annual commerce >910 million B2B transactions, B2B transacting relationshipsup 7.7% (trailing 12-month basis ending Q2/2026)Human Capital Management SAP SuccessFactors solutions: Comprehensive and global HRsoftware, helping organizations manage, optimize and skilltheir workforceCustomer Experience SAP CX: AI-powered platform unifying marketing, commerce,sales, and service in a single autonomous system, running onthe live operational data of SAP ERPTransformation Management SAP Signavio, SAP LeanIX and WalkMe solutions enableintegrated business transformation across processes, data,applications, and peopleAdditional Solutions, Services and Support >1,200 local versions across SAP solutions SAP Sustainability solutions: ERP centric, AI-driven solutionshelp companies manage their carbon footprint, reduce waste Services and Support: success plans ranging from mission-critical support and self-guided resources to a personalizedpartnership orchestrating innovation adoption andtransformation. Professional, development, and applicationmanagement services also availableGeneral Facts Headquarters: Walldorf, Germany Founded: April 1, 1972. Listing: Frankfurt, New York 112,019 employees worldwide (June 30, 2026)o 158 nationalities worldwideo >77% of SAP employees are SAP shareholdersRatings Credit ratings: Standard & Poor’s: A+; Moody’s: A1 CDP Score (Carbon Disclosure Project): A- in climateUseful Links:SAP Profile Executives Supervisory Board SAP News CenterFinancials Acquisitions Products SAP Business AI SAPBusiness AI Platform RISE with SAP SAP GROW Industries+Solutions Photos +Films EventsEMEA9,08247%APJ2,75314%Americas7,59739%Revenue by region H1/2026(€ m, non-IFRS at actual currenciesshare of total rev. in %)2,3932,5652,7962,9863,0783,1783,3163,4723,6993,9284,1534,3514,7084,9935,1305,2905,6105,9626,28102,0004,0006,0008,00010,00012,000SAP's Cloud Growthin € million @ actual currenciesCloud Revenue Total RevenueRevenue FY2025, (non-IFRS, growth rates @cc)Cloud revenue 21.02b (+26%)Cloud ERP Suite revenue 18.12b (+32%)Cloud and software revenue 32.54b (+12%)Total revenue € 36.80b (+11%)Share of more predictable revenue (total of cloudrevenue and software support rev.) 86% (+3pp)Revenue Q2/2026 (non-IFRS, growth rates @cc)Cloud revenue 6.28b (+24%)Cloud and software revenue 8.85b (+13%)Total revenue € 9.88b (+11%)Financial outlook 2026 (non-IFRS, growth rates @cc),updated July 23, 2026, based on the assumption of a near-term de-escalation of the conflict in the Middle EastCloud rev. 25.8b to €26.2b, up 23%25%Cloud+software rev. 36.3b to €36.8b, up 12%13%Op profit €11.8b to €12.2b, up 13%17%Free cash flow Approx. €10b (2025: €8.24b)Current CloudBacklogGrowth rate to decelerate slightly in2026 (2025: 25%)Non-financial outlook 2026Employee Engagement Index 74%78% (2025: 76%)Cloud Customer Satisfaction 75%-76% (2025: 75%)Carbon emissions Steadily decrease across relevantvalue chain (2025: 6.3 Mt)Business Health Culture Index 80%82% (2025: 81%)