The Sage Group (LSE:SGE), the business software provider for small and mid-sized businesses, said it will raise its interim dividend by 8% to 8.05p per share.
The increase is described as "in line with our progressive policy" and is supported by a 16% rise in underlying basic EPS to 23.7p, a 15% increase in underlying operating profit to £326m and strong cash conversion of 116%, the company said in its results for the six months to 31 March.
Separately, Sage said the £300m buyback programme announced in March is well underway and the total value of buybacks announced in the first half now stands at £600m, reflecting £1.1bn of cash and available liquidity and net debt at 2.0x underlying EBITDA.
Sage said it now expects organic total revenue growth for FY26 to be above 9% and that operating margins should trend upwards, a backdrop the board says supports ongoing shareholder returns.
