SAP AG, the world’s biggest maker of business-management software, said second-quarter profit rose 15 percent as companies increased spending on software.

Net income climbed to 491 million euros ($638.2 million), or 41 cents a share, from 426 million euros, or 36 cents, a year earlier, the Walldorf, Germany-based company said in a statement today. Analysts had estimated profit at 525 million euros, the average of 15 estimates compiled by Bloomberg.

“Customers continue to invest for growth across large, midsized and small enterprises within many industries,” SAP Co- Chief Executive Officer Bill McDermott said in the statement.

SAP’s software is used for payroll and customer relations management, as well as in the order fulfilment and financial accounting of Apple Inc.’s iTunes download system. It’s expanding to applications accessed via the Internet or mobile devices and will release its Internet-based Business ByDesign software on July 31, after over two years delay. SAP also bought Sybase Inc., a maker of database and mobile-computing software, for $5.8 billion.

SAP’s biggest competitor, Oracle Corp., reported new software license sales rose 14 percent to $3.14 billion in the fourth quarter ended May 31. Both companies are benefiting from businesses resuming spending put on hold during the global economic slump.

SAP’s software and related services sales rose 16 percent from a year earlier to 2.26 billion euros, while software license sales, seen as a gauge of future maintenance and upgrade fees, advanced 17 percent to 637 million euros.

Analysts polled by Vara Research had estimated software and related services sales of 2.1 billion euros and software sales of 596 million euros.

SAP dropped 0.4 percent to 37.3 euros yesterday in Frankfurt trading. Before today, the stock gained 13 percent this year. 

(Bloomberg)