- Sage Annoucnes FYE 2016 Earnings
- Sage North America President Departs
- Sage Foundation Donating Software Licenses
- Sage CEO Circle Winners
Sage Announces FY 2016 Earnings Results
Financial Performance Overview
- Achieved organic revenue growth of 6.1% (FY15: 6.0%) and the fastest rate of recurring revenue growth for a decade of 10.4% (FY15: 9.0%)
- Software subscription growth of 32.3% (FY15: 28.9%), in line with the planned transition and planned decline in SSRS revenue of 8.5% (FY15: decline of 0.7%);
- Customers embracing closer subscription relationships with 46% increase in software subscription contracts to just over one million (FY15: 690,000) and an increase in retention rates to 86% (FY15: 84%);
- Accelerating revenue growth in Europe, Africa and Brazil; slower performance in Asia (one off regulatory change in the prior year); growth in North America consistent with last year;
- Underlying cash conversion at 100%, supporting free cash flow of £254m and the 8% increase in full year dividend to 14.15p
Stephen Kelly, Chief Executive Officer said:
"FY16 saw Sage continue to deliver on the commitment made at our June 2015 Capital Markets Day to perform and transform. The organic revenue growth of 6% is driven by higher quality recurring revenue, which grew at the fastest rate in a decade. The strategy is working – with customers embracing closer relationships with Sage, evidenced by a 46% increase in the number of subscription contracts and a contract retention rate of 86%."
Sage North America President Departs
Are the two events related? Who knows.
But a message that was sent out to Sage partners reads (in part):
"Marc Scheipe has decided to leave his role as President of Sage North America to pursue other opportunities. I’m sure you will join me in thanking Marc for the contribution he has made to the business and wishing him all the best for his new ventures."
The message was sent from the desk of Nancy Harris who will be serving as Interim President, North America.
Marc had served in the role as President for less than a year. We announced his original appointment here on top-sage-resellers.com in this Sage channel upate back in February 2016.
Sage Foundation Donating Software Licenses
2% of Time - Sage employees and colleagues are encouraged to spend 5 days of volunteering per year in their local communities (50 weeks x 5 days per week X 2% = 5 Days)
2% of Free Cash Flow - Provides grants that create social, economic and entrepreneurial opportunities for the young and disadvantaged.
2 Donated Licenses - The Sage Foundation provides donated licenses to eligible charities, social enterprises and non-profit organisations through a newly created software donation program.
Do You Qualify for Free Software Licenses?
You can go online to find out if your registered charity, social enterprise, or non-profit organisation qualifies for two donated licenses.
Sage CEO Cirlce Winners Announced
The winning Sage business partners will join Stephen Kelly, Sage CEO, on an all-expenses paid trip to Costa Rica.
Congratulations to the following Sage partners that are part of our community here at Top Sage Resellers including:
Accordant Company, LLC
Acumen Information Systems
BAASS Business Solutions
Southeast Computer Solutions
The Answer Company