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Sage North America Reports First Half 2013 Results

IRVINE, CA — (Marketwired) — 05/08/13 — Sage North America, part of the Sage Group plc (LSE: SGE), announced today that total revenue in North America for the half year ended March 31, 2013 was $US $325.0 million, an organic increase of 4%* over the same prior year period. Overall North America EBITA** margin was 25% (H1 2012: 25%*) as the company continues to execute on its strategy of focusing on its core business, capturing the technology opportunity and moving to a subscription pricing model.

UK-based The Sage Group plc reported global revenues of $US 1.12 billion for the half year ended March 31, 2013, an organic increase of 3%* over the same prior year period (at constant exchange rates). EBITA** was $301.6 million, or 27% margin, compared with 27%* in H1 2012.

Last July, Sage outlined a new global strategy, with the intention of growing the Sage brand worldwide. With an agenda driven by innovation to respond to customer needs, the company focused on its core market set — accounting, ERP, payroll, business management, and adjacent products and services, such as payments.

“Under a unified Sage brand, we are taking cues from our customers, innovating based on their feedback, and working to deliver the products and services small and medium sized businesses need to most effectively manage their operations and realize their business ambitions,” said Sage North America President and CEO, Pascal Houillon. “Execution of our strategy is paying off, with solid revenue growth of 4% in North America in the first half of FY 2013.”

Furthering this strategy in North America, in H1, Sage centralized R&D under chief technology officer and head of product strategy Himanshu Palsule. New products and enhancements during the period included new connected services and mobility enhancements across the company-s business management solutions portfolio plus new payments services. In February, the company divested its non-profit, ACT! and SalesLogix businesses, also in alignment with this strategy.

Sage North America has continued to focus on delivering practical solutions to help small and medium sized businesses streamline their operating processes; especially important to customers as they emerge from a challenging economic environment.

*Results are in USD using an annual average exchange rate of $1.58 USD per GBP.

**EBITA is defined as earnings before interest, tax and amortization of acquired intangible assets.

The Sage Group plc is a leading global provider of business management software to small and medium sized companies, creating greater freedom for them to succeed. Sage understands how and why each business is unique. We provide products and services that suit varying needs, are a pleasure to use and are secure and efficient. Formed in 1981, Sage was floated on the London Stock Exchange in 1989 and entered the FTSE 100 in 1999. Sage has over 6 million customers and more than 13,380 employees in 24 countries covering the UK & Ireland, mainland Europe, North America, South Africa, Australia, Asia, and Brazil. For further information please visit .

For more information about Sage in North America, please visit the company website at . Follow Sage North America on Facebook, , and Twitter,

©2013 Sage Software, Inc. All rights reserved. Sage, the Sage logos, and the Sage product and service names mentioned herein are registered trademarks or trademarks of Sage Software, Inc. or its affiliated entities. All other trademarks are the property of their respective owners.

Aimee Ertley
Sage North America
678-280-5556

or

Tiffany Allegretti
LFPR for Sage North America
949-502-7750 ext. 218