News & Analysis » Europe

Sage Group Expects FY10 Results To Match Market View - Update

(RTTNews) - Business management software provider Sage Group plc (SGE.L) said Wednesday, in its interim management statement, that it expects full year results to be in line with market expectations amid uncertain macro-economic environment.

The UK based company said that the performance reported at the half year continued and the results for the group as well as regions were consistent with management expectations. The ongoing organic growth trends are seen in third quarter too.

Sage Group's cash generation "remained strong" and net debt fell to GBP 280 million at June 30, from GBP 305 million at March 31.

Paul Walker, CEO Sage Group said, "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."

For 2009, the company reported an increase in profit driven by higher revenues that benefited from favorable exchange rates. On an organic basis, however, the group's revenue dropped 5%.

SGE.L is currently trading at 224.20 pence, down 1.73% or 4.3 pence, on the LSE.