The ERP Minute Episode 223: February 3rd, 2026

Hi and welcome to episode 223 of The ERP Minute. I’m your host, Charlie DeCurtis

Financial results dominated ERP news this week as we conclude the first month of 2026. To begin, SAP announced its financial results for the fourth quarter and fiscal year ended December 31, 2025. Total revenue was up 8% and Cloud revenue was up 23% in fiscal year 2025. SAP stated that “SAP Business AI has become a main driver for growth” in recent quarters. We anticipate this level of growth to sustain into 2026 as AI adoption continues to drive growth in the software industry.

Next, Microsoft announced their financial results for the quarter ended December 31, 2025. Revenue was $81.3 billion and increased 17%. Microsoft Cloud revenue was $51.5 billion and increased 26%, with Dynamics 365 revenue increasing 19%. These results further support Microsoft’s continued stronghold on the market with tools like Copilot providing a seamless opportunity for Microsoft users to adopt AI technology within the solutions they use every day.

Then, Sage issued a trading update for the three months ended December 31, 2025. Q1 organic revenue growth accelerated to 10% from Q1 last year. Sage Business Cloud revenue increased by 15% to £574m, driven by both new and existing customers, including cloud native revenue growth of 24% to £253m. Sage also had a strong quarter, seeing significant growth from the start of 2025. Similar to SAP and Microsoft, the vendor also attributed this growth to their “AI-powered platform.” As vendors like Sage bolster their AI offerings in the small and mid-sized business market, the increase in available offerings will continue to allow more businesses in that space to take advantage of advancing technology.

In non-financial news, Procore announced its Procore for Government solution has achieved Federal Risk and Authorization Management Program (FedRAMP®) Moderate Authorization. With this designation, Procore is capable of helping U.S. federal entities and their contractors to manage and build federal construction projects through a secure, unified platform. With FedRAMP Moderate Authorization, this solution is engineered specifically for handling Controlled Unclassified Information (CUI) and supporting Department of Defense contractors who may have Cybersecurity Maturity Model Certification (CMMC) Level 2 obligations. Procore achieving the next level of FedRAMP authorization is a difficult milestone to reach and showcases the vendor’s dedication to enhancing their platform’s capabilities in the public sector.

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