SAP to return 1.5 billion euros to shareholders in 2020

FRANKFURT (Reuters) - German business software group SAP said on Monday it would return an extra 1.5 billion euros to shareholders in 2020, with the enhanced payout made possible by its strong financial and operational performance. SAP, Europe's most valuable technology firm, said after U.S

Reuters November 05, 2019 04:07:03 IST
SAP to return 1.5 billion euros to shareholders in 2020

SAP to return 15 billion euros to shareholders in 2020

FRANKFURT (Reuters) - German business software group SAP said on Monday it would return an extra 1.5 billion euros to shareholders in 2020, with the enhanced payout made possible by its strong financial and operational performance.

SAP, Europe's most valuable technology firm, said after U.S. market hours that its supervisory board had approved a management proposal for extra payouts either through share repurchases or a special dividend.

The announcement comes ahead of SAP's capital markets day on Nov. 12 in New York at which some investors - including U.S. activist fund Elliott that declared a stake in SAP earlier this year - had hoped for a far larger buyback.

SAP said, however, that the extra capital return to shareholders - which comes on top of its policy of paying out 40% of after-tax profits in dividends - would be made with the company's long-term prospects in mind.

"The Supervisory Board and Executive Board are confident that SAP's strategy of investment in innovation and profitable growth, together with disciplined capital return, will maximize shareholder value for the long term," it said in a statement.

The capital markets day will be the first major outing for new co-CEOs Jennifer Morgan and Christian Klein. The duo have taken over from long-time boss Bill McDermott, who is leaving to head up ServiceNow .

(Reporting by Douglas Busvine, Editing by Rosalba O'Brien)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

Turkey's daily COVID-19 deaths hit a record high of 141 - ministry
World

Turkey's daily COVID-19 deaths hit a record high of 141 - ministry

ANKARA (Reuters) - Turkey's daily death toll from the coronavirus hit a record high of 141 on Friday, according to data from the Health Ministry, as the country braced for nationwide measures amid a surge in cases in recent weeks. The data showed 5,103 new COVID-19 patients were recorded in the country, while the overall death toll rose to 12,084. Since July, Ankara has only reported symptomatic COVID-19 patients, a move critics say hides the true scale of the outbreak.

Gunman releases all hostages in Georgian capital Tbilisi - police
World

Gunman releases all hostages in Georgian capital Tbilisi - police

TBILISI (Reuters) - A gunman has released unharmed all nine hostages he had taken at a microfinance organisation in the Georgian capital Tbilisi on Friday, police said. According to preliminary information, the gunman was not demanding a ransom but had some social demands, including lower prices for medicines

With applause and flowers, thousands attend funeral of Belarusian protester
World

With applause and flowers, thousands attend funeral of Belarusian protester

By Matthias Williams KYIV (Reuters) - Thousands of people silently raised their arms in the air, held flowers aloft and broke into chants outside a church in Minsk on Friday at the funeral of a Belarusian protester. The death of 31-year-old Roman Bondarenko has become a flashpoint in months-long mass protests against President Alexander Lukashenko. Witnesses said Bondarenko was detained after a scuffle with people in plain clothes who came to a playground to remove red-and-white ribbons representing the protest movement