SAP Global Corporate Affairs (July 21, 2021)

SAP: The World’s Largest Provider of

Enterprise Application Software

Customers Strategy SAP’s End-to-End Solutions

• SAP customers generate 87% of total global commerce • SAP is committed to supporting every customer to Applications, Technology & Support
($46 trillion) become a best-run business. Together, we help the • Packaged solutions for 25 industries and 12 lines-of-
• 94% of the world’s 500 largest companies are SAP world run better and improve people’s lives business: on premise, cloud, hybrid
customers • Best-run businesses are intelligent enterprises –
• RISE with SAP: business transformation in the cloud
• 99 of the 100 largest companies in the world are SAP applying advanced technologies and best practices
• SAP S/4HANA: Market-leading Intelligent ERP, delivered
S/4HANA customers within agile, integrated business processes to become
with intelligent capabilities and best practices for every
• Approximately 80% of SAP’s customers are SME more resilient, profitable and sustainable
industry, available in the cloud or any-premise

Market Position SAP S/4HANA Market

Financials Performance1 17,000
18,000
Revenue – FY2020 (non-IFRS, growth rates @cc)
Enterprise Application Software 16,000
12,600 14,600
• SAP is a market share leader in enterprise resource 14,000
8,900 12,000
17,000
Cloud revenue €8.09b (+ 18%) 10,000 16,400
planning (ERP), analytics, supply chain management, 12,000
9,500 14,10015,100 16,000
7,500
10,000
Cloud and software revenue €23.23b (+ 3%) human capital management, master data management, 6,900 11,500 16,400
8,000
Total revenue €27.34b (+ 1%) data integration as well as in experience management 6,000
Licensed customers
• Recognized database leader 4,000
Revenue – Q2/2021 (non-IFRS, growth rates @cc) 2,000 6,400
• Broadest portfolio of modular and suite solutions 0
8,500 11,100 13,800
Cloud revenue €2.28b (+17%) available on premise, in the cloud and hybrid

Q1/17
Q2/17
Q3/17
Q4/17
Q1/18
Q2/18
Q3/18
Q4/18
Q1/19
Q2/19
Q3/19
Q4/19
Q1/20
Q2/20
Q3/20
Q4/20
Q1/21
Q2/21
Cloud and software revenue €5.75b (+ 5%)
Top Cloud Vendor • SAP Digital Supply Chain solutions help customers
Total revenue €6.67b (+3%)
• Cloud user base: ~231m users
achieve a resilient and sustainable supply chain, increa-
• Cloud infrastructure: Choice across hyperscale cloud
Revenue by region FY2020 sing productivity through Industry 4.0, improving connec-
(€ m, non-IFRS / share of total rev. in %) vendors (Alibaba, Amazon, Google, Microsoft) tivity with network collaboration, and running sustainable
• Largest cloud portfolio: >100 solutions for all lines-of- business practices. The portfolio covers the design-to-
business (LoB) as well as software suites operate cycle across the lifecycle of products
Americas EMEA
11,106 12,067 • 191m users run SAP SuccessFactors solutions • Human experience management. solutions: SAP
41% 44% • 65 data centers in 36 locations in 17 countries Success-Factors solutions support 43 languages. SAP
• SAP Digital Commerce for online SAP and partner Employee Central localized for 101 countries, >4,600
APJ offerings >218,000 orders from 173 countries customers, SAP HXM Suite >7,500 customers
4,165 • SAP Customer Experience solutions: Leader in digital
15%
Innovation commerce and digital experience platforms
o Commerce Cloud: 2021 gross merchandise value up 46%
Outlook 2021 (non-IFRS@cc, raised July 21st, 2021) • R&D expense ratio: 17,1% (Non-IFRS; R&D expense as
o Customer Data Cloud: 3.1b identities
Cloud revenue €9.3b to €9.5b % of total revenue) as of 6/30/2021
o Customer Engagement Solution (Emarsys): 20b
• R&D headcount (FTE): 30,672 at 6/30/2021, equaling
Cloud and software revenue €23.6b to €24.0b outbound personalized messages per month
29.5% of total headcount
o Sales Cloud & Service Cloud: >2b customer records
Operating profit €7.95b to €8.25b • >100 development locations worldwide
and interactions in 2020
Share of predictable revenue (total of cloud subs. approx. • 20 development centers worldwide (SAP Labs)
• SAP Intelligent Spend Management portfolio:
and support rev. and software support rev.) 75% • 17 Co-Innovation Labs locations worldwide
o SAP Ariba: >5.5 million connected companies
Operating cash flow / free cash flow ~€6.0b / >€4.5b • 9 SAP Innovation Center Network locations o SAP Fieldglass: >1 million new workers added in Q2
Ambition 2025 (non-IFRS) • >22,700 SAP partner companies in >140 countries o SAP Concur: >72 million end users
• Sapphire Ventures: Invested in >110 IT startups • SAP Business Network to collaborate with all types of
Cloud revenue >€22b
>59 IPOs and M&A exits since 2011 trading partners: Ariba Network ($3.8tn in annual com-
Total revenue >€36b o >$5.7b assets under management merce), Logistics Business Network and Asset Intelligence
Operating profit >€11.5b o Operates independently from SAP Network (5m IoT-enabled equipment assets managed)
o Provides SAP early access to trends and innovation • Industry Cloud Solutions foster business transformation
Share of more predictable revenue Approx. 85%
• Support for >300 external and internal startups by extending SAP S/4HANA, SAP’s LoB Cloud solutions
• ~900 patents granted and validated in 2020 and SAP Business Network with industry next practices:
Strong, Sustainable Growth • openSAP: >1.2m unique learners, >5.3m enrollments modular, cloud native, interoperable, built on BTP
(non-IFRS)
• Artificial intelligence (AI) and robotic process • Support from SAP safeguards mission-critical processes,
Cloud Revenue Total Revenue Operating Profit automation: >300 innovations in SAP’s applications optimizes operations and enables the Intelligent Enterprise
€8.1b €27.3b €8.3b
SAP Business Technology Platform (BTP) Services / Qualtrics
• SAP BTP is the platform for the intelligent enterprise and
• Services from SAP drive digital transformations, deliver
the foundation for all SAP applications
training, enablement and strategic premium engagement
€10.7b • Platform encompasses database and data management,
€2.9 b • Qualtrics’ experience management software drives
analytics, application development and integration, as
customer loyalty, employee engagement, brand and
€0.1b well as intelligent technologies, with:
product quality. >13,000 companies use Qualtrics
o SAP HANA: >35,900 direct customers; >56,240
2009 2020 2009 2020 2009 2020 direct+ indirect customers. Leading in-memory
database, available on premise and in cloud General Facts
• #1 software company in Dow Jones Sustainability Index
deployment, using SAP HANA Cloud • Headquarters: Walldorf, Germany
for 14 years
o Powerful data warehousing and analytics solutions • Founded: April 1, 1972
such as SAP Data Warehouse Cloud, SAP • Listing: Frankfurt, New York
1) Definition of SAP S/4HANA see p. 33 of SAP’s Q4/2019 statement
BW/4HANA, and SAP Analytics Cloud • 103,876 employees worldwide (June 30, 2021)
o SAP Integration Suite and SAP Extension Suite:
Useful Links >16,500 customers, >13,000 integration customers.
o 156 nationalities worldwide
o Employee retention at 94.8%
SAP Profile – Executives – Supervisory Board - Products – o SAP Data Intelligence: combines AI and machine o Employee Engagement Index at 84%
Industries + Solutions – Intelligent Enterprise Financials – learning for data and information management o 27.9% women in management
Events – Photos + Films
o >77% of SAP employees are SAP shareholders

© SAP Global Corporate Affairs - Dietmar-Hopp-Allee 16, 69190 Walldorf, Germany