Software firm System Application Products (SAP) reported 20 per cent growth in software revenues for the third quarter of 2005. In the Europe, Middle East and Africa (EMEA) region, the software company grew by 6 per cent to 263 million euros (Dh 1.3 billion) compared to 2004.
"The third quarter marked another strong performance for SAP," said Henning Kagermann, CEO of SAP. "We had record third quarter software revenues, we gained share against our peer group and we extended our lead in the US."
Overall, the company reached revenues of 590 million euros (Dh2.9 billion) and is expected to raise its full year revenue outlook to increase by 12 to 14 per cent.
Comparatively, the EMEA lagged behind the Americas which reported 40 per cent increases but managed to stay above the Asia Pacific region which saw an increase of 15 per cent. The company raised its earnings per share outlook and now expects 2005 to be in a range of 4.85 euros to 4.95 euros per share. Previously they expected a range of 4.70 euros to 4.80 euros per share.
Total revenues for third quarter 2005 were 2.01 billion euros, up from 1.78 billion euros in 2004, an increase of 13 per cent.
Since the beginning of the year, SAP has signed agreements with several companies including IBM and Siemens AG.
In a statement, SAP said retail corporations across the Middle East such as Emke Group, Spinneys and Batha group have turned to the company for business software solutions. "The software implementations among these retail groups illustrate the growing market momentum for SAP's retail solutions for business growth and innovation in the region," said Ghassan Darri, sales manager for SAP Arabia.
