5 bln for share buybacks - where is this money coming from ? Is the AI just a lame excuse to Axe 8k people ?
https://www.reuters.com/technology/sap-raises-2025-outlook-launches-5-bln-euro-share-buyback-2023-05-16/
9 replies (most recent on top)
This was never to do with "cost" but to do with fudging the profit margins by offshoring temporarily on the existing client base to make the "cost of cloud" seem artificially better
Do the numerator/denominator EPS mental math folks… you manipulate (buy back) the number of shares outstanding to make (earnings/# of shares outstanding) increase regardless of flat or even declining earnings…EPS increases & if your bonus is EPS indexed - VOILA!! it ain’t rocket science even if Asam is an aerospace CFO! This is why it used to be illegal until it became a best practice for underperforming execs to line their pockets.
This is serious guys, how can HP buy another yacht or Hockey team if they don’t make working at SAP miserable for everybody else ? Poor CK does not have one yet even being a ceo and adidas board member, and Julia White is shilling peeps to make ends meet
Who will benefit the most of share buyback?
Hasso Plattner of course!
For sure his puppet aka CK will be rewarded for that...
Leaders could care less. They will still have massive payouts and golden parachutes, or in the case of SAP, platinum parachutes.
@qys+1rYRN8AE Boeing's share price has ended up halved in the past 5 years.. This is what happens when a company becomes too focussed on efficiencies and the bottom-line for shareholders.
Well it's worked out ok for Boeing so far? The wheels haven't fallen off their business model so far, a door or two maybe.
Until the 1980s this was called market manipulation - until congress was “convinced” to change it. Funny that now we don’t have budget for pizza parties - or inflation adjustment? No no … for CK employees are dispensable and unnecessary cost on his balance sheet
Yes. And the buyback is a classic Boeing short-term tactic to raise the share price yet again.