Make your money go further for just 25p per day

Sage: Let’s not all over-react

25/07/2019 · Sage Group (SGE) 

FTSE 100 Trading Statement UK

Sage company headquarters

Sage is in our portfolio because its transition to subscription services from less reliable license revenues looks like an excellent strategy for the future. Subscription sales are highly reliable and should come with higher margins once the strategy is bedded in.


Sage’s (LON: SGE) management has never made any secret of the fact that short-term revenues might be dented as it shifts its customers to its new subscription model. In the first nine-months of the financial year to September 2019, that is exactly what has happened. Software and software related services (SSRS) revenue dropped 16% to £195m.

Investors who sent the share price up to a peak of 826p (or 27 times forward earnings) at the…

Sign up and read the full article

Register to continue reading our content.

Get FREE access now

Already a member? Login


Previous article Next article

DON'T MISS OUT!

Get top investment ideas to help safeguard and grow your wealth.

Invaluable insight from the exciting world of smaller companies.

REGISTER FREE

DON'T MISS OUT ON OUR PREMIUM CONTENT

Become a champion investor for just £90 a year. Benefit from our high performing portfolios:

START FREE TRIAL

More on Sage Group

Ultimate Stocks Portfolio: company updates

20/05/2024 · Portfolio

It’s great to comment on some outstanding results from UK-listed constituents of our high-quality Ultimate Stocks…


Ultimate Stocks Portfolio: company updates

30/01/2024 · Portfolio

Updates covered here from our high-quality companies include more restrained growth from the world of luxury…


More Portfolio

Knocking the lights out | China slowdown | Tech beats

Which companies will win the chip wars?

Sign-up to our free email updates

SIGN UP