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SAGE CORRECTS REVS PROBLEMS Featured

Steve Kelly, Sage Sage says it has addressed problems that caused it to lower its revenue expectations for the year ending September 30. The company excised 30 executives, names and locations not given.

However, CEO Steve Kelly reported in this week’s earnings webcast that there had been changes to management in Enterprise Management (X3) in the United States. “We have taken swift and decisive action to manage the areas of inconsistent sales execution,” Kelly said. First-half revenue came in about $1.2 billion, an increase of 7.1 percent over last year’s corresponding period. Operating profit of roughly $253 million was 3.1 higher than a year ago while before tax profit was off by 5 percent to approximately $232 million. Apparently, a significant amount of X3 slippage was closed in the current half. There was also a suggestion that the company needed better tracking as Kelly pointed out “We have implemented a global CRM System.” North American revenue was roughly $372 million, an increase of 13 percent over the first half fiscal 2017, up 10-percent organically. U.S revenue was up 7 percent, although the company did not break out actual revenue while Canada increased by 13 percent. Intacct revenue increase by 26 percent year-over-year.

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