Sage Group has posted a 10% jump in Q1 revenue against last year to £674m, as the software company said that all regions of its business had performed well.

The FTSE 100 company revealed that £574m of its total revenue was generated through Sage Business Cloud, a figure up 15% on the corresponding quarter last year.

Sage, which provides accounting, financial, HR and payroll technology, was announcing a Q1 trading update covering the three-month period to 31 December.

The Newcastle-headquartered group reported a 12% jump in software subscription revenue to £568m, up from £507m in Q1, which Sage said had resulted in subscription penetration of 84% – up marginally from 83% last year.

“Sage delivered a strong start to FY26, with Q1 organic revenue growth accelerating to 10%, supported by the continued execution of our growth strategy,” Sage’s chief financial officer, Jacqui Cartin, said.

“We are investing in innovation across our AI-powered platform, helping small and mid-sized businesses solve their day-to-day challenges and work more productively. We reiterate our full-year guidance, as set out in our FY25 results announcement, and remain focused on driving efficient, sustainable growth and long-term value for all stakeholders.”

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