Sage Group plc, the Newcastle-based FTSE 100 global software business, said it will extend its previously announced £400 million share buyback by up to £200 million, as it revealed that first half revenue rose 8% to £1.242 billion.

Sage sells accounting, finance, HR and payroll technology for small and medium-sized businesses around the world.

For the six months to March 31, Sage said statutory profit before tax rose 16% to £236 million, with interim dividend up 7% to 7.45p.

Nonethless, Sage Group CEO Steve Hare warned of “a more volatile and uncertain macroeconomic environment.” Sage shares slipped about 4% to around £12.20, giving the Newcastle firm a current stock market value of around £12 billion. The shares have risen roughly 90% over the past five years.

Sage said: “The group also considers returning surplus capital to shareholders. On 20 November 2024, Sage commenced a share buyback programme of up to £400m, under which, as at 12 May 2025, a total of 30.7m shares had been purchased for an aggregate consideration of £383m and subsequently cancelled.

“Alongside these results, we have announced an extension to this share buyback programme of up to £200m, reflecting Sage’s strong cash generation, robust financial position, and the board’s confidence in the group’s future prospects.”

Sage CEO Hare said: “Sage delivered strong results in the first half of the year, extending our track record of broad-based growth and significant margin expansion. Our performance reflects the strength of our accounting, HR and payroll solutions, underpinned by ongoing investment in our network platform.

“We continue to focus on innovation, transforming customer workflows through AI-powered services. Just one year after launch, Sage Copilot is delivering enhanced productivity and insights to thousands of customers across our portfolio, whilst paving the way for the next generation of AI accounting, powered by agentic workflows.

“Amid a more volatile and uncertain macroeconomic environment, Sage remains resilient and diversified. Small and mid-sized businesses continue to adopt digital technologies to become more productive and efficient. I am confident that our proven strategy will deliver further long-term value to all our stakeholders.”