SAP (NYSE:SAP) reported a notable second quarter for 2026, showcasing a 26% year-over-year increase in current cloud backlog, reaching nearly EUR 23 billion. Cloud revenue rose 24% to EUR 6.3 billion, driven primarily by the transition from on-premise ERP systems to cloud-based solutions. Total revenue for the quarter also saw an 11% increase, reaching EUR 9.9 billion, while the non-IFRS operating profit climbed 9% to EUR 2.7 billion.
During SAP’s Sapphire customer conference, which drew record attendance, CEO Christian Klein emphasized the positive customer reception to the company’s AI roadmap, a core component of its “autonomous enterprise” strategy. Notably, AI and SAP Business Data Cloud played critical roles in over 90% of the company’s 50 largest deals in the quarter. SAP plans to release nearly 50 assistants and over 400 autonomous suite agents by year-end.
Chief Financial Officer Dominik Asam noted strong cloud ERP suite revenue growth of 27%, now comprising 88% of total cloud revenue. Although operating profit growth slowed, management remains focused on sustaining cloud momentum while addressing the impacts of ongoing global economic uncertainty.
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