Business of SAP grows dvuznachno quicker than Oracle

The SAP company announced financial results according to the results of the third quarter, having emphasized record profitability. It is the seventh quarter when revenue growth of vendor is expressed by two-digit number and a two-digit gain of a market share in comparison with Oracle, said in the statement of the company.

The codirector of SAP Bill McDermott noted that SAP grows on 10 percent points quicker, than her closest competitor, even taking into account business of the software which is two and a half times more.

Revenue of the company in the reporting quarter which came to the end on September 30 made €3.410 billion ($4.710 billion) that is 12% higher in comparison with the same period of 2010. Income from the software – a key indicator of growth of any software supplier, was €841 million ($1.16 billion), what is 28% higher. These financial achievements of steel for the company new record. For comparison, Oracle last month reported about 17% growth in sales of licenses for the new software according to the results of the quarter which ended on August 31.

SAP stated that sales of its flagman ERP packet grew by 26%, and business analysts for 35%, but the company connects strong general result with gala effect from a release of the solution HANA in-memory, corporate mobile products and applications of cloud computing.

The codirector of the company Jim Hagemann Snabe said that seven quarters ago the company management took advantage the innovation strategy and now is noticeable that it was repaid.

On questions of analysts and journalists HANA in-memory is relative, Makdermott said that this technology will easily reach the planned level in €100 million ($138 million) income, and the perspective of annual sales of the solution in sales channels makes €600 million ($829 million) now. In 2012 SAP is going to offer clients the next step to HANA, having transferred deployments of SAP Business Warehouse to in-memory technology as replacement of relational databases, such as Oracle.

Improvement of profitability of SAP company is in the third quarter noticeable. There was it thanks to the decision of the judge on reduction of the amount of payment of the losses awarded Oracle companies as a result of copyright violation by TomorrowNow company. Let's remind that the claim amount was reduced from $1.3 billion to $272 million. It led to reduction of legal costs for €723 million (about $1 billion). As a result, operating profit of the company increased by 146% and reached €1.76 billion ($2.43 billion).

Despite good results, SAP estimates the growth in the forthcoming fourth quarter in unambiguous digit and upholds the vision of perspectives of growth of business of the software and the related services at the rate from 10% up to 14% for a year. This conservatism is connected with uncertainty of global economic conditions.