Sage’s first half results encouraging
First half results reveal Sage’s organic total revenue has increased by 5.7 percent to £935m, reflecting growth in recurring revenue of 10.3 percent to £826m underpinned by software subscription revenue growth of 25.6 percent to £582m.
This increase in recurring revenue evidences Sage’s continued focus on attracting new customers and migrating existing customers to subscription services.
The growth in recurring revenue was offset by a 19.6 percent decrease in other revenue (SSRS and processing) to £109m, reflecting the managed decline in licence sales and de-prioritisation of professional services revenue.
Steve Hare, CEO, said: “Despite the near-term uncertainties, I believe our continuing investment into Sage Business Cloud, together with our focus on customers, colleagues and innovation, form a strong base for the future performance of Sage.”