Sage boosted by profits increase - graduate jobs

Jobseeking graduates hoping to work in computing could be boosted by news that Sage has reported its first services growth since 2007.

The accountancy software company has reported a 14% rise in annual profits after it enjoyed a return to sales growth during the second half of the year.

Sage, which is based in Newcastle, currently employs around 13,000 people and serves more than six million businesses across the globe.

The firm managed underlying profits of £355.7 million for the year up to September 30, while revenues remained at £1.4 billion.

Sage chief executive Guy Berruyer, who replaced Paul Walker in October, said the company had been boosted by improving markets for its small and medium-sized business (SME) customers in some regions.

He said: "I am particularly pleased that we have seen a return to organic revenue growth in the second half of the financial year."

Sage's first period of growth in software and software-related services since 2007 meant its overall revenues were 3% higher on an organic basis in the second half of the year, compared with a decline of 2% in the first half.

Sage said: "In the same way that SMEs entered the recession later than larger businesses, they have lagged behind larger businesses in seeing confidence return to their markets. We are seeing signs of more optimism from SMEs, although this has to be balanced with with a lack of visibility over the economic recovery.

"SMEs are prepared to invest in business management products and services where they see real business benefits," the company added.