SAP Says Q3 Net Income Up 12 Pct, Cuts Outlook

GEORGE FREY

FRANKFURT (AP) — German business software maker SAP AG said third quarter net income rose 12 percent, as a drop in revenue was offset by a lower tax rate and better profit margins. But a negative outlook sent the shares down sharply.

SAP, based in Walldorf, said net income rose to euro435 million ($644 million) from euro389 million in the July-September period of 2008.

The company said total revenue fell, however, by 9 percent to euro2.5 billion from euro2.8 billion in the third quarter of 2008. Software revenue declined 31 percent, while service revenue fell 3 percent, SAP said. ...