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Sage ‘building momentum’ as international demand fuels revenues

A North East-founded international software firm says it is continuing to “build strong momentum” as more customers harness its technology.

Sage Group saw recurring revenue rise 12 per cent to £1.56 billion in the nine months to June 30, with total revenue up ten per cent to £1.6 billion.

The increases, revealed in a trading update today (Thursday, July 27), follow higher client demand across its product suite, with software subscription revenue up 17 per cent on a year ago to £1.28 billion.

The clamour was reflected across Sage’s principal trading regions, with the Cobalt Business Park-based operator seeing recurring revenue grow 16 per cent to £702 million in North America, on the back of a strong performance from its Sage Intacct accounting system.

In the UK, Africa and Asia Pacific area, recurring revenue was up 11 per cent to £456 million, with Intacct and the Sage 50 accounting platform – which is aimed primarily at smaller businesses – leading growth.

The figure was seven per cent better off at £404 million in Europe.

Jonathan Howell, chief financial officer, said: “Sage has performed strongly throughout the first nine months, as we help small and mid-sized businesses become more productive and resilient.

“We continue to build strong momentum, driving the delivery of sustainable, efficient growth.”

The results follow Sage’s deal for US construction sector venture Corecon earlier this year.

A provider of preconstruction and project management software to contractors, construction managers and homebuilders, officials said at the time it would “expand relationships with customers beyond financials.”

July 27, 2023

  • Technology

Created by North East Times