Full Year Results 

Sage continues SaaS shift

Sage continues SaaS shift

Growth initiatives aren't always compatible with increased profitability. Sage (SGE) saw organic recurring revenues rise by 10.8 per cent over the 12 months to September 2019 – up from 6.7 per cent a year earlier. Good news, perhaps, given the accounting software group’s ambition to “become a great SaaS [software-as-a-service] company”. But ongoing investment to accelerate its “strategic execution” led organic operating profits to fall 13 per cent to £432m, on a margin of 23.7 per cent, representing a 510 basis point contraction from FY2018.

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