SAP says business conditions are improving; reaffirms previous 2020 guidance
SAP shares jumped 5% in after-hours trading Wednesday after the software giant said business activity "gradually improved" in its second quarter, based on preliminary results for the period ended June 30. The Germany-based company reported software licenses revenue, while still below normal levels, recovered more than expected. The company reiterated its 2020 financial outlook, previously published April 21, of revenue between €27.8 billion and €28.5 billion. During Q2, SAP said revenue grew 2% year over year to €6.74 billion, led by a 21% improvement in cloud-related sales. SAP said second-quarter software licenses revenue was down 18% year over year, but a marked improvement from the first quarter.
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