Sage Group (SGE) has put in a robust performance over the last three months, with shares in the accounting software provider gaining 21% since late November to hit an all-time high last week.

Much of the increase came on the 20 November when the company reported full-year results, which included a 7% increase in revenue to £2.3 billion for the 12 months to 30 September buoyed by progress made with Sage Copilot its generative AI-based (artificial intelligence) digital assistant.

Sage Copilot is now accessible to over 8,000 customers using Sage Accounting, Sage for Accountants and Sage Active.

Free cash flow increased by 30% to £524 million during the period, and there was more good news for investors with the announcement of £400 million share buyback plus a 6% increase in the full-year dividend to 20.45p per share.

The company said it was starting the 2025 financial year ‘with good momentum driven by consistent strategic execution’ and it expected to post 9%-plus organic growth in total revenue.

Analysts are generally positive about the outlook for the business, with the team at Panmure Liberum commenting management have ‘done a great job over the last few years investing in the business’, and applauding the fact subscriptions are now 82% of revenues, although they caution the firm needs to keep a watchful eye on some of its faster-growing competitors. 

‹ Previous2025-01-30Next ›