Sage reiterates outlook on solid first quarter

(Sharecast News) - The Sage Group reiterated full-year guidance on Tuesday, on the back of strong first quarter trading. Organic revenues at the accountancy software specialist jumped 10% in the three months to December end, to £674m, of which £574m came from its cloud offering. The blue chip saw growth across all regions.

In North America, its biggest market, organic revenues jumped 12% to £304m, while in Europe they were up 7% at £176m.

In the UK, Ireland, Africa and Asia, revenues sparked 10% to £194m.

Sage called it a "strong start" to the year and said it remained on track to meet annual targets, including organic total revenue growth of 9% or above. It also expects operating margins to continue trending upwards during the year.

Jacqui Cartin, chief financial officer, said the firm focused on boosting its use of artificial intelligence.

She said: "We are investing in innovation across our AI-powered platform, helping small and mid-sized businesses solve their day-to-day challenges and work more productively.

"We reiterate our full-year guidance...and remain focused on driving sustainable growth and long-term value for all stakeholders."