BREAKING NEWS

BREAKING NEWS

SAP says to restructure business, sets longer-term guidance

SAP says to restructure business, sets longer-term guidance
@ Copyright :
Ralph Orlowski(Reuters)
Text size Aa Aa

WALLDORF, Germany (Reuters) - Business software company SAP said on Tuesday it would undertake a company-wide restructuring as it presses ahead with its business transformation, stressing its ambition to more than triple its cloud business by 2023.

Europe's most valuable technology company said it would take restructuring charges of 800-950 million euros, mainly in the first quarter and saw cost benefits of 750-850 million from 2020.

The company will reassign some employees and offer early retirement to others, but expects its overall head count to be higher at the end of this year, CFO Luka Mucic told reporters on a call.

"This is not a cost-cutting programme - it's a fitness programme and a simplification," said Mucic.

(Reporting by Douglas Busvine; editing by Thomas Seythal)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on euronews.com for a limited time.