The shares of Sage (LSE: SGE) added 13p to 426p during early morning trade this morning after the software company revealed growth across Europe and the US. Strong performance in the UK and Ireland was attributed in part to support from legislature.
The FTSE 100 member, which provides accounts and payroll software to businesses, is on track to meet a targeted 6% revenue increase
The Newcastle-based company stated its operating cash generation remains strong while its debt level rests at £380 million.
Sage also made a number of important appointments, with Drummond Hall joining the board as a non-executive director and Steve Hare joining as chief financial officer.
Chief executive, Guy Berruyer, added:
“Our performance in the first quarter is in-line with our expectations, with good growth maintained across all regions. Through continued focus on our strategic cornerstones, we remain on course to deliver on our 6% organic revenue growth target in 2015, and anticipate making further progress during the year ahead.”
Prior to today City experts were predicting Sage’s upcoming annual results would reveal earnings equivalent to 23p per share with a dividend equivalent to 7p per share.
Following this morning’s price movement the shares may trade on a P/E of 19 and offer a potential income of around 2.5%.
