Sage (LSE:SGE) reported total revenue of £2.062 billion for the nine months ended 30 June 2026, an increase of 11% compared with the same period last year, as demand from both new and existing small and medium-sized business customers remained strong. Growth was recorded across all major regions, with North America delivering a 14% increase in revenue, the UK and Ireland growing 10%, and Europe advancing 7%. The performance was supported by continued momentum for Sage Intacct alongside stable demand for Sage 50, Sage 200 and Sage X3.
Cloud solutions continued to drive the company’s expansion, with Sage Business Cloud revenue rising 15% to £1.762 billion and cloud-native revenue increasing 25% to £794 million. Recurring revenue reached £2.002 billion, while subscription-based products accounted for 84% of total revenue. Management said trading strengthened further during the third quarter, helped by the continued rollout of artificial intelligence capabilities across its software platform. The company reaffirmed its expectation of delivering organic total revenue growth of more than 9% for the full year, alongside further improvements in operating margins as the business continues to scale.
The latest results highlight Sage’s ongoing transition towards an AI-powered, cloud-first subscription model, strengthening its position in the market for finance, accounting, payroll and HR software for small and medium-sized businesses. Continued growth in recurring revenue and cloud-based products demonstrates increasing customer adoption and supports the company’s strategy of building a more predictable, higher-margin business with global scale.
Sage’s outlook remains supported by strong financial performance, continued revenue momentum, expanding margins and healthy cash generation. Management also maintained its positive full-year guidance, reflecting confidence in the group’s growth trajectory. While the company’s valuation remains balanced, supported by a reasonable price-to-earnings ratio and a consistent dividend yield, technical indicators remain mixed, with the share price still trading below its 100-day and 200-day moving averages.
About Sage Group plc
Sage Group plc is a leading provider of accounting, financial management, payroll and human resources software for small and medium-sized businesses. Listed on the FTSE under the ticker SGE, the company offers a portfolio of cloud-based and AI-enabled solutions, including Sage Intacct, Sage 50, Sage 200 and Sage X3, serving customers across North America, the UK and Ireland, and Europe.
The company’s strategy is centred on expanding its cloud-native subscription platform while helping businesses simplify financial management, workforce administration and regulatory compliance. Through ongoing investment in artificial intelligence and digital innovation, Sage aims to improve productivity, automate workflows and strengthen connections between businesses, employees, financial institutions and government agencies. The company also supports initiatives focused on digital inclusion, economic opportunity and environmental sustainability.
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