Interim Management Statement

RNS Number : 0272Q

Sage Group PLC

28 July 2010

 



The Sage Group plc Interim Management Statement

28 July 2010

Trading in-line with expectations

Results for the Group and each of our regions were consistent with management expectations at the time of the 2010 interim results announcement on 5 May 2010.  The good performance we reported at the half year has continued and we have seen improving organic growth trends in our third quarter.

Whilst the macro-economic environment remains uncertain, we anticipate that our full year results will be in line with market expectations.

Financial position

The Group`s cash generation remains strong and net debt fell to £280m at 30 June 2010, from £305m at 31 March, 2010. The Group has a robust balance sheet, with £200m of its debt raised in the private placement market with maturities ranging from 2015 to 2017.

CEO update

As announced on 16th July 2010, Guy Berruyer, currently CEO of Sage's Mainland Europe & Asia operations, will succeed Paul Walker as Group Chief Executive with effect from 1 October 2010.

 
Outlook
 
Paul Walker, Chief Executive, commented:

  
"The good performance we reported at the half year has continued and we are pleased to see improving organic growth trends in the third quarter. Our innovative products and the high quality of our customer support are driving the business forward. However, the economic environment remains uncertain and we continue to manage our cost base prudently, whilst investing to enhance our competitive position. Our strong balance sheet, healthy cash flow and large, international customer base, positions us well for the future."

About The Sage Group plc

The Sage Group plc is a leading global supplier of business management software and related products and services, principally for small to medium-sized enterprises. Formed in 1981, Sage was floated on the London Stock Exchange in 1989. Sage has 6.2 million customers and 13,100 employees worldwide. We operate in over 24 countries covering the UK, Europe, North America, South Africa, Australia, India and China. For further information please visit www.sage.com.

Enquiries:

The Sage Group plc [phone]

Paul Walker, Chief Executive

Paul Harrison, Group Finance Director

Andrew Griffith, Investor Relations

Tulchan Communications [phone]

David Shriver

 

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