Sage Q1 revenue rises on subscription growth
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Software group Sage said first quarter recurring revenue increased 10.7% year on year to £410m, underpinned by software subscription growth as it continued to focus on migrating existing customers and attracting new customers to subscription and the cloud.
Recurring revenue growth was driven principally by North America and Northern Europe (UK & Ireland), with strong momentum from 2019 carried forward into the first quarter, Sage said on Wednesday.
Software subscription grew 24.8% to £286m as the company maintained full year guidance.
In North America, recurring revenue grew by 11.8% to £154m.
Northern Europe continued to grow strongly with recurring revenue growth of 15.1% to £93m, benefiting from strong growth in the second half of fiscal 2019 as well as new Sage 50 cloud connected contracts added in the quarter.