SQL Server 2025 password-based authentication uses PBKDF2 as the default hashing algorithm. This enhancement improves password security by applying 100,000 iterations of SHA-512 hashing. PBKDF2 hashing algorithm can affect login performance. In Sage 100 the slow performance caused by this increase in computational cost is most noticeable in database operations that require multiple logins such as “Copy Company”, “Company Conversion”, etc.
This is expected behavior per Microsoft design and isn’t a defect.
More information can be found here