Business software maker SAP reported forecast-beating licence sales for the first quarter today, defying concerns about the health of the software sector.
The German software giant continued to win market share from competitors including arch rival Oracle, which is busy digesting its recent acquisition of PeopleSoft, and Siebel and cut its outlook this month.
SAP's licence sales - which bring future maintenance and service deals - increased in all regions, rising 17 per cent to €434 million, compared with an average forecast of €408 million given in a Reuters poll of 22 analysts.
In the United States, where SAP makes almost one-third of its sales, its market share grew to 41 per cent from 38 per cent a quarter earlier, relative to Oracle, Siebel and the business-software unit of Microsoft.
Pro-forma operating profits, excluding stock-based compensation and acquisition-related charges, grew 15 per cent to €381 million, broadly in line with analyst forecasts, while net profit was also in line, up 11 per cent to €254 million.
Total quarterly revenue rose 11 per cent to €1.729 billion, slightly better than expected.
SAP shares were indicated up 2 per cent in pre-market trade.