SAP continues to stay relevant on domestic and international fronts

SAP HQ

Last week, SAP SE announced its preliminary financial results for the fourth quarter ended December 31, 2019, summarised as follows:

  • New Cloud Bookings Up 25%; Up 31% Excluding Infrastructure as-a-Service in FY 2019
  • IFRS Cloud Revenue Up 39%; Non-IFRS Cloud Revenue Up 40% in FY 2019
  • Cloud and Software as Well as Total Revenue Up 12% in FY 2019
  • Cloud Gross Margin Up 5pp in FY 2019
  • IFRS Operating Profit Down 21%; Non-IFRS Operating Profit Up 15% in FY 2019
  • IFRS Operating Margin Down 6.8pp; Non-IFRS Operating Margin Up 0.8pp in FY 2019
  • IFRS Earnings per Share Down 18%; Non-IFRS Earnings per Share Up 18% in FY 2019
  • 2020 Total Revenue and Operating Profit Outlook Increased from Previous 2020 Ambition
  • Greenhouse Gas Emissions Reduced for the Fifth Year in a Row; On Track for Being Carbon Neutral by 2025
  • Women Representation in Workforce 34%; Women in Management 26%, Remains Committed to Goal of 30% by 2022

SAP Cloud Growth, Margin Focus and SAP S/4HANA Adoption Power 2019 Results

SAP Revenue

Jennifer Morgan and Christian Klein, Co-CEOs said: “SAP’s strategy to be the experience company powered by the intelligent enterprise is resonating. More and more customers are turning to SAP and Qualtrics to close their experience gap. At the same time, we continue to see strong adoption of S/4HANA as the core of the intelligent enterprise across all deployment models.”


Meanwhile, CFO Luka Mucic said: “For the fifth year in a row, we delivered on our full year outlook. I am particularly proud of our strong increase in non-IFRS profits and margins while continuing our remarkable top line momentum. This success would not have been possible without the dedication, innovative spirit and discipline of our people.”

BizVantage Malaysia also recently reported on how Sabah Electricity Sdn Bhd (SESB) has turned to SAP to embark on a digital transformation programme to realise greater operational efficiencies and further uplift customer satisfaction levels with an aim of becoming a world-class utility.

SESB had upgraded to the SAP HANA platform to gain ‘live’ intelligence which helps the company to modernise for agility and scale cost-effectively.

Its adoption of the SAP Business Suite means that SESB is now able to run core business operations more efficiently with end-to-end process support for areas such as customer engagement, finance, human resources, project management, utility billing, preventive/predictive maintenance, corrective maintenance procurement, logistics and IT.

This development at SESB also follows in the heels of another East Malaysian utility, Sarawak Energy Berhad, which had installed various SAP applications enterprise-wide, including SAP Concur in an effort to gain more visibility into its travel and expense (T&E) spend, while also providing employees with user-friendly experiences through an integrated travel and expenses management solution.

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SAP Concur is world renowned for its completely connected spend management solution encompassing travel, expense, invoice, compliance and risk.

Sarawak Energy had also based its fleet management system on the SAP Leonardo Vehicle Insights digital innovation system. As a result, there are now fewer accidents involving Sarawak Energy vehicles and this has resulted in increased safety awareness of drivers due to the IoT (internet-of-things) technology which helped monitoring vehicles in real time.

Sarawak Energy is also currently studying SAP S/4 HANA for as part of its ongoing digital transformation. SAP S/4 HANA helps to reduce obstacles associated with legacy enterprise resource planning applications, and the intelligent suite of applications and platform from SAP is ‘future ready’ and helps enterprises quickly adopt advanced technologies.

Sarawak Energy generates, transmits, distributes and retails electricity on behalf of the state of Sarawak.