German business software developer SAP AG of Walldorf is doing well despite the recession. Its half year turnover reached the equivalent of $256.7m – 25.8% more than the first six months of 1991 – and with its order book swollen by 41% compared to this time last year, the second quarter looks good too. Net profit is up 17.3% to $45.4m. Although it dominates the German market, SAP now gets 39.3% of its business abroad with 2,364 customers in 34 countries. Product sales of $138m accounted for 54% of turnover, consultancy and services providing the rest. SAP relies on a network of distributors to sell its products, giving it an enviable 12.8% profit margin and 2,209 dealers worldwide. It intends to increase its staff by 18.7% this year as it continues its international expansion. Research and development accounts for 34% of its staff, 44.4% are in services. SAP, which has just signed a co-operative marketing and technology pact with Software AG – see page five, is looking to its R3 Unix-based business software to support its growth.
