Europe's largest software company SAP has reported gains in cloud software sales and said it is "navigating through" the uncertainty caused by the Brexit referendum in the UK.
SAP said that cloud subscriptions and support revenue grew 30 percent year-over-year to €720m in its second financial quarter. New cloud bookings were up 28 percent to €255m.
"The rapidly expanding cloud business together with solid growth in support revenue continued to drive the share of more predictable revenue," the company said, with cloud subscriptions and support, as well as software support, accounting for 63 percent of the company's total revenue in the second quarter of 2016.
Total revenue stood at €5.2bn, of which cloud and software revenue was €4.36bn, an increase of seven percent, and operating profit was up 81 percent to €1.27bn.
"SAP delivered a unique trifecta of double digit growth in software, cloud and operating income. Our S/4HANA pipeline has never been stronger and we confidently reiterate our full year guidance," said SAP CEO Bill McDermott.
SAP said it added more than 500 SAP S/4HANA customers in the quarter, of which around 40 percent were new SAP customers, giving the firm 3,700 HANA customers. It said new HANA customers in the quarter included The Hershey Company and Cathay Pacific. The company said SAP SuccessFactors Employee Central -- the core of its HR offerings -- had 1,250 customers at the end of the second quarter.
By region, SAP reported EMEA cloud and software revenue increased seven percent; cloud subscriptions and support revenue grew 38 percent, and said it is "successfully navigating through the post UK referendum uncertainty". In the Americas region, cloud and software revenue grew by eight percent, while cloud subscriptions and support revenue by 26 percent. In the company's Asia Pacific Japan region, cloud and software revenue was up seven percent, with cloud subscriptions and support revenue growing by 44 percent.