SAP posts disappointing Q1 profit of 403 million euros

28th April 2011, Comments 0 comments

German software giant SAP said Thursday that it made a net profit of 403 million euros ($600 million) in the first quarter of 2011, a gain of four percent that nonetheless missed expectations.

Analysts polled by Dow Jones Newswires had forecast a net profit of 515 million euros.

The group confirmed its full-year sales forecast as revenue from software and related services climbed by 20 percent to 2.33 billion euros, in part owing to the consolidation of the US firm Sybase that SAP bought last year.

SAP, which makes professional software, has rebounded from a slump seen during the global economic downturn, and co-chief executive Bill McDermott was quoted in a statement as saying: "Our strong momentum continued in the first quarter."

The group expects sales of software and related services to gain 10-14 percent this year from the 2010 figure of 9.87 billion euros.

© 2011 AFP

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