Sage reiterates FY guidance as nine-month revenues jump

27th Jul 2023 08:30

(Sharecast News) - Software firm Sage Group reiterated its guidance for the year as it reported a jump in revenue for the first nine months of the year.

In an update for the nine months to the end of June, the company said recurring revenue rose 12% to £1.6bn, underpinned by a 29% increase in Sage Business Cloud revenue to £1.2bn. Software subscription revenue rose 17% to £1.3bn,

Recurring revenue in North America was up 16% to £702m, with a strong performance from Sage Intacct together with growth in cloud connected products. In the UKIA region, recurring revenue was 11% higher at £456m, reflecting strength in cloud native small business solutions and Sage Intacct, alongside growth in Sage 50 cloud.

In Europe, revenue ticked up 7% to £404m, with growth across Sage Business Cloud.

Chief financial officer Jonathan Howell said: "Sage has performed strongly throughout the first nine months, in line with our expectations, as we help small and mid-sized businesses become more productive and resilient.

"Sage continues to build strong momentum, driving the delivery of sustainable, efficient growth. Accordingly, we reiterate our guidance for the full year, as set out in our half year results announcement."