SAP SE announced unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2016. For the quarter, on IFRS basis, the company reported total revenue of €6,724 million against €6,342 million a year ago. Operating profit was €1,936 million against €1,700 million a year ago. Profit before tax was €1,949 million against €1,647 million a year ago. Profit attributable to owners of parent was €1,513 million or €1.26 per basic and diluted share against €1,281 million or €1.07 per basic and diluted share a year ago. Net cash flows from operating activities were €1,000 million against €397 million a year ago. Purchase of intangible assets and property, plant, and equipment was €335 million against €212 million a year ago. Free cash flow was €665 million against €184 million a year ago.

For the full year, on IFRS basis, the company reported total revenue of €22,062 million against €20,793 million a year ago. Operating profit was €5,121 million against €4,252 million a year ago. Profit before tax was €4,849 million against €3,991 million a year ago. Profit attributable to owners of parent was €3,631 million or €3.03 per basic and diluted share against €3,064 million or €2.56 per basic and diluted share a year ago. Net cash flows from operating activities were €4,628 million against €3,638 million a year ago. Purchase of intangible assets and property, plant, and equipment was €1,001 million against €636 million a year ago. Free cash flow was €3,627 million against €3,001 million a year ago.

For the quarter, on non-IFRS basis, the company reported total revenue of €6,724 million against €6,343 million a year ago. Operating profit was €2,371 million against €2,282 million a year ago. Profit before tax was €2,384 million against €2,229 million a year ago. Profit attributable to owners of parent was €1,821 million or €1.52 per basic share against €1,673 million or €1.40 per basic share a year ago.

For the full year, on non-IFRS basis, the company reported total revenue of €22,067 million against €20,805 million a year ago. Operating profit was €6,629 million against €6,348 million a year ago. Profit before tax was €6,357 million against €6,087 million a year ago. Profit attributable to owners of parent was €4,663 million or €3.89 per basic share against €4,509 million or €3.77 per basic share a year ago.

The company is providing the following 2017 outlook. Based on the continued strong momentum in SAP's cloud business the company expects full year 2017 non-IFRS cloud subscriptions and support revenue to be in a range of €3.8 billion - €4.0 billion at constant currencies, in line with the previous 2017 ambition which was raised at the beginning of 2016. The upper end of this range represents a growth rate of 34% at constant currencies. The company expects full year 2017 non-IFRS cloud & software revenue to increase by 6% - 8% at constant currencies. The company expects full year 2017 non-IFRS total revenue in a range of €23.2 billion to €23.6 billion at constant currencies. This is above the previous 2017 ambition which was raised at the beginning of 2016. The company expects full-year 2017 non-IFRS operating profit to be in a range of €6.8 billion - €7.0 billion at constant currencies. This is above the previous 2017 ambition which was raised at the beginning of 2016. While the company's full-year 2017 business outlook is at constant currencies, actual currency reported figures are expected to be impacted by currency exchange rate fluctuations as the company progress through the year. The 2017 business outlook at constant currencies replaces the formerly communicated 2017 ambition which was at actual currencies.

Looking beyond 2017, SAP is also raising its 2020 ambition to reflect the company's consistent fast growth in the cloud, solid software momentum and operating profit expansion as well as the exchange rate development. Assuming an exchange rate environment comparable to 2016 SAP strives to reach the following in 2020: €8.0 billion - €8.5 billion non-IFRS cloud subscriptions and support revenue (previously €7.5 billion - €8.0 billion); €28 billion - €29 billion non-IFRS total revenue (previously €26 billion - €28 billion); and €8.5 billion - €9.0 billion non-IFRS operating profit (previously €8 billion - €9 billion).