When using the “Update License Key Automatically” or “Update now” feature in Backup and Replication the Protected VM count does not change.
This is by design currently. When the Update License Key Automatically or Update Now feature is run, it only updates the expiration date of the license. It does not update any additional information on the license. Please update the license manually to get the license to reflect the proper information. (Link to UG for installing license manually - https://helpcenter.veeam.com/docs/backup/vsphere/install_license.html?ver=95)
In addition, the Automatic License Usage Reporting (https://helpcenter.veeam.com/docs/backup/cloud/sp_license_usage_report_online.html?ver=95) does not work as intended as the updated Protected VM count does not update with the license. Please use the manual license usage reporting (https://helpcenter.veeam.com/docs/backup/cloud/sp_license_usage_report_offline.html?ver=95).
See https://www.veeam.com/kb2144 for information on Service Provider Licensing