SAP SE O.N. (NYSE:SAP) Q3 2019 Earnings Conference Call - Final Transcript

Oct 21, 2019 • 08:00 am ET

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SAP SE O.N. (NYSE:SAP) Q3 2019 Earnings Conference Call - Final Transcript

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Presentation
Executive
Luka Mucic

economic, social and environmental objectives. We want to help ensure that smart integration of Impact measurement and valuation will ultimately become standard practice. To this end, SAP is a founding member of the Value Balancing Alliance, a non-profit organization that helps businesses measure the overall societal [Phonetic] impact and dependencies.

We aim to lead by example, continuing to steer sustainability holistically in our own operations. Employee retention was down slightly to 93.3% in Q3 year-over-year. We have made great progress in women, in management, which is now at 26.3%, up from 25.9% year-over-year and obviously with Jen, SAP has named the first female Co-CEO of a Dutch [Phonetic] company. In Q3 our carbon emissions were 65 kilotons which is slightly higher than we anticipated. Despite this, we expect that our emissions in 2019 will stay stable at a minimum. We remain committed to our goal of becoming carbon-neutral by 2025.

So to summarize, we delivered an exceptional quarter across revenue, profit and cash flow. We achieved double-digit growth in cloud revenue, double-digit growth in cloud and software revenue, double-digit growth in total revenue, double-digit growth in operating profit, substantial operating margin expansion, double-digit growth in earnings per share and triple-digit growth in free cash flow. We reiterate our 2019 outlook with great confidence and we are on track to reach our mid-term ambitions.

With that, thank you very much and we will now be happy to take your questions.

Operator
Operator

Thank you, sir.

Executive
Luka Mucic

Thank you. Operator, we can now start the Q&A session.