Stories from Walldorf · Germany

SAP shares have declined from 280 euros in February of last year to approximately 150 euros. CEO Christian Klein addressed investors at the annual general meeting to discuss the company's future vision. The stock value has faced downward pressure since the beginning of 2025. The decline is currently challenging the company's business model and investor confidence. The specific reasons for the drop or the current share price were not disclosed. The decline follows a period of continuous growth for the company. SAP CEO Christian Klein is reportedly addressing the falling share price and market expectations regarding artificial intelligence. The company's leadership is evaluating how to respond to these market pressures. SAP CEO Christian Klein announced a record dividend of 2.50 Euro per share.

SAP CEO Christian Klein stated that current AI models lack the precision required for enterprise-level business processes. Klein noted that while consumer AI can tolerate errors in tasks like image generation, business AI agents require higher accuracy than the 90% threshold.

SAP SE announced the acquisition of Prior Labs to strengthen its position in tabular foundation models. The move is intended to bolster the company's early mover advantage in the sector.

SAP reported Q1 2026 cloud revenue of €5.96 billion, representing a 27% increase at constant currencies. The company's current cloud backlog has also risen by 25% to €21.9 billion. This growth indicates strong momentum in the enterprise software sector despite broader economic shifts. Software company SAP released its first quarter financial results on Friday. The company reported growth in its cloud business despite recent market pressure regarding competition from artificial intelligence. Investors had previously expressed concerns that AI could displace traditional software offerings. The report comes as the DAX index faces downward pressure due to geopolitical uncertainty. This growth follows a period where other tech entities reported quarterly results below market expectations. The increase is measured against the first quarter of the previous year.