Revenue distribution by industry:

• Software and services: approx. 70%
• Cloud-based solutions: approx. 20%
• Other services: approx. 10%

TOP 3 markets:

• United Kingdom: approx. 35%
• North America: approx. 30%
• Continental Europe: approx. 25%

The Sage Group plc generates the majority of its revenue from software and services, particularly through its accounting and business management solutions. The focus on cloud-based solutions has increased in recent years, reflected in a growing revenue share in this area.

Geographically, the United Kingdom, North America, and Continental Europe are the key markets for Sage. These regions significantly contribute to the revenue, with the company benefiting from a strong market presence and a broad customer base.

Production Sites: Globally distributed, with a focus on the United Kingdom and North America.

The Sage Group plc is a leading company in the field of enterprise software solutions. The company does not produce physical products, but develops software solutions that are distributed worldwide. The main development centers are located in the United Kingdom and North America, where a large part of the software development and maintenance takes place.

Sage also has several regional offices and development centers to adapt their software solutions to local markets and support customers worldwide.

Focus on Cloud Solutions: Increase the share of cloud revenue to over 70% (estimated for 2025)
Investments in Research and Development: Increase R&D spending by 10% annually (estimated for 2024-2025)
Market Expansion: Targeted expansion in North America and the Asia-Pacific region

The Sage Group plc is pursuing a clear growth strategy that is heavily focused on digitization and expanding its cloud-based services. The company has made significant investments in cloud technologies in recent years to accelerate the transition from traditional software solutions to modern, flexible cloud offerings.

In addition, Sage is continuously investing in research and development to develop innovative products and services that meet the changing needs of its customers. These investments are intended to strengthen competitiveness and secure new market shares.

Another strategic focus is on geographical expansion, particularly in high-growth markets such as North America and the Asia-Pacific region. These regions offer significant growth opportunities that Sage plans to capitalize on through targeted marketing and sales strategies.

Main materials: Software licenses, IT infrastructure
Countries of origin: USA, India, Great Britain

The Sage Group plc is a leading company in the field of enterprise software and services. Since Sage primarily offers software solutions, the company does not import physical raw materials in the traditional sense. Instead, Sage focuses on importing software licenses, IT infrastructure, and services.

The USA is a significant market for software technologies and licenses, which is why Sage often sources technologies and services from there. India is a significant location for IT services and software development, making it an important partner country for Sage. Great Britain, as the home country of Sage, also remains a central location for the development and import of IT infrastructure and services.

Market share in the accounting software industry: 10% (2024, estimate)
Customer satisfaction rate: 85% (2024)
Research & development investments: £150 million (2024)

The Sage Group plc has a significant competitive advantage in the accounting software industry, particularly due to its strong market presence and continuous investment in research and development. With an estimated market share of 10% in 2024, Sage positions itself as one of the leading providers in this sector.

Another advantage lies in the high customer satisfaction rate of 85%, indicating the quality and reliability of their software solutions. This satisfaction promotes customer loyalty and facilitates the acquisition of new customers.

Additionally, Sage continuously invests in its product development, with £150 million flowing into research and development in 2024. These investments enable the company to offer innovative solutions and adapt to the changing needs of the market.

Institutional Investor Share: approximately 85% (estimated for 2025)
Insider Buys/Sells: No significant transactions in the last year (2024)

The institutional investor share at The Sage Group plc remains high, indicating the confidence of large investment funds and institutional investors in the company's long-term stability and growth potential.

In 2024, there were no significant insider transactions, suggesting that the management and other insiders are satisfied with the current company strategy and saw no need to make significant changes to their holdings. This can be seen as a positive signal for market stability and confidence in the company's future development.

Market share of The Sage Group plc: Estimated 10% (2025)

Main competitors and their market share:

1. Intuit Inc.: 25%
2. SAP SE: 20%
3. Oracle Corporation: 15%
4. Microsoft Corporation: 12%
5. The Sage Group plc: 10%
6. Workday, Inc.: 8%
7. Xero Limited: 5%
8. ADP, Inc.: 3%
9. Infor: 2%

Moat of The Sage Group plc:

The Sage Group plc has a moderate moat, mainly characterized by its strong presence in the SME segment and its user-friendly software solutions. The brand is well established in Europe, giving it a certain advantage in these markets.

Compared to major competitors like Intuit and SAP, which have more comprehensive product portfolios and stronger global brands, Sage's moat is less pronounced. Intuit has a significant advantage due to its dominant position in tax and accounting software in the USA, while SAP and Oracle excel with their comprehensive ERP solutions and large enterprise customers.

Microsoft also has a strong moat through the integration of software solutions into the existing Office suite and cloud services. Therefore, Sage must continuously invest in innovation and customer service to remain competitive and maintain or expand its market share.

Revenue Growth: 8.5% (2024)
Profit Growth: 10.2% (2024)
Market Share in Cloud Business: 35% (2024)

The Sage Group plc recorded solid revenue growth of 8.5% in 2024, attributed to successful expansion in the cloud business and increased customer retention. The profit growth of 10.2% indicates that the company is able to efficiently manage its costs while improving its margins.

The 35% market share in the cloud business underscores Sage's strong position in a rapidly growing sector. This positioning enables the company to benefit from increasing digitization and the growing demand for cloud solutions.

Overall, Sage's financial performance and strategic direction suggest that the stock could be an attractive investment, especially for investors interested in long-term growth in the technology sector.

Dividend yield: 2.5% (2024) Dividend growth: 4% (2024)

The Sage Group plc has regularly distributed dividends in recent years. For the year 2024, the dividend yield was approximately 2.5%, which can be considered moderate compared to other companies in the software industry.

The company has a history of consistent dividend growth, with an increase of about 4% in 2024. This reliability in distribution reflects Sage's stable financial performance and solid cash flow. Analysts expect the company to maintain its dividend policy in the coming years, supported by continuous revenue growth and operational efficiency.