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NORTH AMERICA LEADS SAGE 1Q GROWTH Featured

North America posted 11-percent recurring revenue growth for the Sage Group for the first quarter ended December 31. That led all regions reported by Sage in this week’s trading update.

The North American recurring revenue totaled about $219 million with total Sage organic revenue rising 5 percent year-over-year to approximately $576.5 million. Sage did not say what total organic revenue growth was for North America, but recurring revenue is the largest part of total revenue. Company-wide recurring revenue was about $540 million, an increase of 8 percent over last year’s corresponding period. Sage’s software subscription revenue reached approximately $423 million, up 13 percent over a year ago. During trading update webcast, CFO Jonathan Howell said subscription income now represents 73 percent of total revenue, compared to 61 percent a year ago. Sage Business Cloud revenue increased 21 percent to approximately $352.6 million. SBC is comprised by cloud-native and cloud-connected products. Sage did not provide earnings information, which is typical for the trading updates issue for the first and third quarters each year.

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