Sage Group Plc (The) (SGE:LN)

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Business Description and Key Statistics

Sage Group is a provider in technology that provides businesses Current YTY % Chg with the visibility and flexibility to manage finances, operations and people. Working alongside its partners, Co. delivers cloud Revenue LFY (M) 1,903 -1.7 technology and support. Co.'s cloud connected and hybrid EPS Diluted LFY 0.28 15.9 solutions include Sage X3, Sage 200cloud and Sage 50cloud. Co.'s cloud native solutions include Sage Intacct, Sage People, Market Value (M) 8,184 Sage Accounting, Sage Payroll and CakeHR. Sage Payroll is a payroll and human resources software for small businesses and it Shares Outstanding LFY (000) 1,092,945 helps Co.'s customers to manage their payroll with an online Book Value Per Share 1.51 payroll system; compliant and connected to the cloud. Co.'s segments are: Northern Europe, Central and Southern Europe and EBITDA Margin % 28.50 North America. Net Margin % 16.2 Website: www.sage.com Long-Term Debt / Capital % 34.7 ICB Industry: Technology Dividends and Yield TTM 0.11 - 1.51% ICB Subsector: Software Payout Ratio TTM % 60.6 Address: North Park Newcastle upon Tyne 60-Day Average Volume (000) 2,608 GBR 52-Week High & Low 756.60 - 560.00 Employees: 12,506 Price / 52-Week High & Low 0.99 - 1.34

Price, Moving Averages & Volume

766.4 766.4 Sage Group Plc (The) is currently trading at 748.80 which is 3.1% above its 50 day 739.4 739.4 moving average price of 726.39 and 15.4% above its 712.4 712.4 200 day moving average price of 648.77.

685.3 685.3 SGE:LN is currently 1.0% below its 52-week high price of 756.60 and is 33.7% above its 658.3 658.3 52-week low price of 560.00. Over the past 52-weeks, 631.3 631.3 SGE:LN is up 4.8% while on a calendar year-to-date basis it is up 28.7%. 604.2 604.2 The Relative Strength Index (RSI) indicator for SGE:LN is 577.2 577.2 currently 57.84. An RSI value of 70 and above is considered 550.2 550.2 overbought and 30 and below 10/20 11/20 12/20 1/21 2/21 3/21 4/21 5/21 6/21 7/21 8/21 9/21 oversold. Volume (000) 12,971 12,971

9,734 9,734

6,497 6,497

3,260 Mean (3045.91) 3,260

24 24 10/20 11/20 12/20 1/21 2/21 3/21 4/21 5/21 6/21 7/21 8/21 9/21

Price Price (50-Day Simple Moving Average) Price (200-Day Simple Moving Average)

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Price Performance, Technical Indicators & Risk Metrics

Difference Price Performance % Change vs FTSE 350 Technical Indicators 1-Day % -0.77 -0.29 50-Day Average Price 726.39 1-Week % 0.83 0.57 Price / 50-Day Average 1.03 4-Week % 0.81 2.23 200-Day Average Price 648.77 52-Week % 4.82 -19.53 Price / 200-Day Average 1.15 RSI - Relative Strength Index 57.84 Quarter-to-Date % 9.44 8.31

Year-to-Date % 28.66 18.44 Risk Metrics Last Month % 5.79 3.87 Price Volatility 6.21 Last Quarter % 11.65 6.98 Sharpe Ratio 0.02 Last Calendar Year % -22.30 -9.31 Sortino Ratio 0.03

5-Year Price Performance vs. FTSE 350

Sage Group Plc (The) Current: 1.01 CAGR: 0.3% Over the past five years, Sage FTSE 350 Index Current: 1.18 CAGR: 3.4% Group Plc (The)'s stock price is up 1.5% which is 16.9% 1.3 1.3 below the FTSE 350 Index performance of 18.4% over the same period. Sage Group Plc 1.2 1.2 (The)'s cumulative annualized growth rate (CAGR) over the 1.2 ^NMX:LN 1.2 five year period has been 0.3% while that of the FTSE 350 Index has been 3.4%. 1.1 1.1 Over the past year, Sage Group Plc (The)'s stock price 1.1 1.1 performance of 4.8% has underperformed that of the 1.0 1.0 FTSE 350 Index by 19.5%. SGE:LN On a year-to-date basis, Sage Group Plc (The)'s stock price 1.0 1.0 performance of 28.7% has underperformed the FTSE 0.9 0.9 350 Index by 18.4%. Over the past week, Sage 0.9 0.9 Group Plc (The)'s stock price performance of 0.8% has outperformed that of the FTSE 0.8 0.8 350 Index by 0.6%.

0.8 0.8

0.7 0.7

0.7 0.7 2017 2018 2019 2020 2021 2022

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Growth and Profitability Metrics

5-Year 10-Year Historical Growth 3-Year 5-Year 10-Year Profitability Current Average Average Revenues % 3.5 5.8 2.9 Gross Margin % 93.4 93.2 93.6 Revenues Per Share % 3.1 5.7 4.2 EBITDA Margin % 28.5 25.1 26.3 EBITDA % 10.1 9.5 3.2 Pre-Tax Margin % 19.6 19.6 19.8 EPS Diluted % 0.5 9.4 4.5 Net Margin % 16.2 15.4 17.8 Free Cash Flow % 11.5 5.0 3.1 Return on Equity % 19.9 23.0 24.0 Cash from Operations % 10.4 5.2 1.7 Return on Capital % 13.8 14.3 16.6 Book Value % 11.9 13.6 1.4 Return on Assets % 9.0 9.1 10.4

Revenue (M) Sage Group Plc (The)'s cumulative annualized revenue Current: 1903.00 Median: 1846.00 High: 1936.00 Low: 1569.10 CAGR: 4.9% growth rate over the charted 2,009.4 2,009.4 1,936.0 period is 4.9%. This compares 1,903.0 1,846.0 to cumulatative annualized 1,856.5 1,856.5 growth of 3.5% over the past 3 1,715.0 years. 1,703.6 1,703.6 1,569.1 1,550.8 1,550.8 2016 2017 2018 2019 2020 2021 Sage Group Plc (The)'s EPS Diluted cumulative annualized EPS Current: 0.28 Median: 0.27 High: 0.28 Low: 0.19 CAGR: 10.2% growth rate over the charted 0.30 0.30 period is 10.2%. This 0.28 0.28 0.27 compares to cumulatative 0.26 0.26 annualized growth of 0.5% 0.24 over the past 3 years. 0.22 0.22 0.19 0.19 0.19 2016 2017 2018 2019 2020 2021

Net Profit Margin % Sage Group Plc (The)'s net profit margin of 16.2% is 0.8% Current: 16.22 Median: 15.45 High: 17.51 Low: 13.19 CAGR: 5.3% above the period's mean net 17.7 17.7 margin of 15.4%. During the charted period, the observed 16.1 16.1 Mean (15.41) net profit margin high and low were 17.5% and 13.2% 14.6 14.6 respectively.

13.0 13.0 2016 2017 2018 2019 2020 2021 Sage Group Plc (The)'s return Return on Equity % on equity of 19.9% is 3.1% Current: 19.90 Median: 22.90 High: 27.70 Low: 19.20 CAGR: -3.2% below the period's mean return 28.1 28.1 on equity of 23.0%. During the charted period, the observed 25.0 25.0 ROE high and low were 27.7% Mean (22.98) and 19.2% respectively. 21.9 21.9

18.8 18.8 2016 2017 2018 2019 2020 2021

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Valuation Metrics

5-Year 10-Year 5-Year 10-Year Current Median Median Current Median Median

Price / EPS TTM 26.6 26.4 26.5 Earnings Yield % 4.92 3.73 3.71

Price / Sales 4.3 4.1 4.0 Free Cash Flow Yield % 4.65 5.03 5.04

Price / Operating Cash Flow 18.4 20.2 20.8 Dividend Yield % 1.51 2.30 2.38

Price / Book Value 5.0 5.6 5.7 Enterprise Value / EBITDA 15.2 17.2 16.6

Price / EPS TTM Sage Group Plc (The) is trading at 26.60 times its EPS Current: 26.60 Median: 26.35 High: 39.11 Low: 19.45 CAGR: -7.4% generated during the latest 40.1 40.1 fiscal year. This multiple is above the historically observed 32.9 32.9 median of 26.35, while high and low observations have Median (26.35) been 39.11 and 19.45. 25.7 25.7

18.5 18.5 2016 2017 2018 2019 2020 2021 Price / Sales Sage Group Plc (The) is trading at a Price to Sales ratio Current: 4.31 Median: 4.08 High: 5.19 Low: 3.09 CAGR: -3.7% of 4.31 based on sales 5.30 5.30 generated during the latest fiscal year. This ratio is above 4.53 4.53 the historically observed median ratio of 4.08, while Median (4.08) high and low observations 3.76 3.76 have been 5.19 and 3.09.

2.99 2.99 2016 2017 2018 2019 2020 2021 Sage Group Plc (The) is Price / Book Value trading at a Price to Book ratio Current: 4.95 Median: 5.60 High: 9.23 Low: 3.74 CAGR: -11.7% of 4.95 based on book value at 9.5 9.5 the latest fiscal year end. This ratio is below the historically observed median of 5.60, 7.5 7.5 while high and low observations have been 9.23 Median (5.60) 5.5 5.5 and 3.74.

3.5 3.5 2016 2017 2018 2019 2020 2021 Sage Group Plc (The) has a Free Cash Flow Yield % Free Cash Flow Yield of 4.65% Current: 4.65 Median: 5.03 High: 7.07 Low: 3.12 CAGR: 6.5% based on free cash flow 7.3 7.3 generated during the latest fiscal year. This value is below the historically observed 5.8 5.8 median yield of 5.03%, while Median (5.03) high and low observations 4.4 4.4 have been 7.07 and 3.12.

2.9 2.9 2016 2017 2018 2019 2020 2021

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Dividends Data

Dividends Per Share TTM 0.11 Payout Ratio TTM % 60.57% Dividend Yield TTM % 1.51%

Rate Ex Date Record Date Payment Date Currency Note 0.113 14-01-2021 15-01-2021 11-02-2021 GBP FINAL GROSS 0.059 21-05-2020 22-05-2020 12-06-2020 GBP INTERIM GROSS 0.111 06-02-2020 07-02-2020 02-03-2020 GBP FINAL GROSS 0.058 30-05-2019 31-05-2019 14-06-2019 GBP INTERIM GROSS 0.109 07-02-2019 08-02-2019 01-03-2019 GBP FINAL GROSS 0.057 10-05-2018 11-05-2018 01-06-2018 GBP INTERIM GROSS 0.102 08-02-2018 09-02-2018 02-03-2018 GBP FINAL GROSS 0.052 11-05-2017 12-05-2017 02-06-2017 GBP INTERIM GROSS 0.094 09-02-2017 10-02-2017 03-03-2017 GBP FINAL GROSS 0.048 12-05-2016 13-05-2016 03-06-2016 GBP INTERIM GROSS 0.087 11-02-2016 12-02-2016 04-03-2016 GBP FINAL NET

Dividend Growth and Yield

Dividends Per Share TTM Sage Group Plc (The)'s trailing 12-month dividend per share Current: 0.11 Median: 0.16 High: 0.17 Low: 0.11 CAGR: -3.5% is 0.11 and its dividend has 0.173 0.173 grown at a cumulative annualized rate of -3.5% over 0.162 0.162 the charted period. This compares to dividend growth 0.151 0.151 of -33.60% over the past year and cumulative annualized growth of -10.60% over the 0.140 0.140 past 3 years.

0.129 0.129

0.118 0.118

0.107 0.107 2016 2017 2018 2019 2020 2021

Dividend Yield TTM % Sage Group Plc (The)'s current dividend yield is 1.51% Current: 1.51 Median: 2.30 High: 3.03 Low: 1.51 CAGR: -3.7% based on trailing 12 month 3.11 3.11 dividends. The current yield is below the historically observed 2.83 2.83 median of 2.30% and, over the charted time period, the 2.55 2.55 observed high yield has been 3.03% and the observed low yield has been 1.51%. 2.27 2.27

1.99 1.99

1.71 1.71

1.43 1.43 2016 2017 2018 2019 2020 2021

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 ICB Subsector Peer Comparisons

Price Change Year to Date % Price Change Last Calendar Year % -46.0 -17.3 11.3 40.0 68.6 -61.3 -28.4 4.4 37.3 70.1

Kainos Group PLC 63.4 Kainos Group PLC 64.2 Nemetschek SE (Germany) 44.1 Blue Prism Group PLC 51.8 Sage Group Plc (The) 28.7 Ideagen PLC 42.9 AVEVA Group Plc (United Kingdom) 22.7 Learning Technologies Group PLC 27.3 Software AG 22.2 Avast PLC 18.7 Learning Technologies Group PLC 21.4 Peer Group Average 11.9 Peer Group Average 18.8 Software AG 7.8 Ideagen PLC 16.1 Nemetschek SE (Germany) 4.1 Avast PLC 6.4 Sage Group Plc (The) -22.3 Mirada PLC -5.3 AVEVA Group Plc (United Kingdom) -31.2 Blue Prism Group PLC -31.3 Mirada PLC -44.4

-46.0 -17.3 11.3 40.0 68.6 -61.3 -28.4 4.4 37.3 70.1

Price / EPS TTM Price / Book Value 0.0 25.9 51.8 77.7 103.6 0.0 13.1 26.1 39.2 52.3

Kainos Group PLC 99.9 Mirada PLC 49.9 Nemetschek SE (Germany) 99.9 Kainos Group PLC 41.1 Mirada PLC 99.9 Nemetschek SE (Germany) 25.6 Ideagen PLC 99.9 Temenos AG 21.4 Blue Prism Group PLC 99.9 Peer Group Average 16.6 AVEVA Group Plc (United Kingdom) 99.9 Blue Prism Group PLC 9.8 Learning Technologies Group PLC 99.9 Ideagen PLC 9.6 Peer Group Average 78.4 Learning Technologies Group PLC 8.5 Temenos AG 55.1 Avast PLC 6.7 Avast PLC 48.8 Sage Group Plc (The) 5.0 Software AG 32.3 Software AG 2.3 Sage Group Plc (The) 26.6 AVEVA Group Plc (United Kingdom) 2.3 0.0 25.9 51.8 77.7 103.6 0.0 13.1 26.1 39.2 52.3

EPS 5-Year Growth Rate % Revenue 5-Year Growth Rate % -270.5 62.2 395.0 727.7 1,060.4 -14.6 12.2 39.0 65.8 92.6

Mirada PLC 999.9 Blue Prism Group PLC 87.7 Learning Technologies Group PLC 999.9 Learning Technologies Group PLC 54.2 Peer Group Average 164.3 AVEVA Group Plc (United Kingdom) 32.4 Nemetschek SE (Germany) 21.3 Ideagen PLC 31.5 Temenos AG 12.3 Avast PLC 31.0 Kainos Group PLC 12.2 Peer Group Average 28.2 Sage Group Plc (The) 9.4 Kainos Group PLC 24.1 Software AG -6.6 Nemetschek SE (Germany) 15.9 AVEVA Group Plc (United Kingdom) -18.8 Temenos AG 15.2 Avast PLC -24.5 Mirada PLC 13.5 Blue Prism Group PLC -98.1 Sage Group Plc (The) 5.8 Ideagen PLC -100.0 Software AG -0.9 -270.5 62.2 395.0 727.7 1,060.4 -14.6 12.2 39.0 65.8 92.6

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021 Abbreviations: CAGR - Cumulative annual growth rate. EBIT - Earnings before interest and taxes. EBITDA - Earnings before interest, taxes, depreciation & amortization. LFY - Last fiscal year M - Million LON - London Stock Exchange

Definitions: Market Value - Weekly Price times latest Shares Outstanding times any applicable ADR factor. Revenue - Sum of the last four quarters of Revenues. Revenue Per Share - Sum of the last four quarters of Total Revenue divided by Weighted Average Shares Outstanding. Operating EPS LFY - EPS excluding non-recurring, non-operating items, fiscal year aligned TTM value. 60-Day Average Volume (000) - The average of the last 60 daily volume values in thousands of shares. Price 52-Week High - The high closing price from the last 52 weeks of daily closing prices. Price 52-Week Low - The low closing price from the last 52 weeks of daily closing prices. Price / 52-Week High - Latest price divided by the high price from the past 52 weeks of daily closing prices. Price / 52-Week Low - Latest price divided by the low price from the past 52 weeks of daily closing prices. 50-Day Average Price - Mean of last 50 daily closing prices. 200-Day Average Price - Mean of last 200 daily closing prices. Price / 50-Day Average Price - Latest closing price divided by mean of last 50 daily closing prices, as a percentage. Price / 200-Day Average Price - Latest closing price divided by mean of last 200 daily closing prices, as a percentage. Relative Strength Index - Relative Strength Index or RSI measures the magnitude of gains over a given time period against the magnitude of losses over that period. The equation is RSI = 100 - 100 / (1 + RS) where RS = (total gains / n) / (total losses / n) and n = number of RSI periods. In this item, 14 days is used and one year of daily prices are considered. A value of 30 or below may imply oversold and 70 or above may imply overbought. Price Volatility - The standard deviation of the last 20 days of daily closing prices. Sharpe Ratio - The 5 year average of the excess monthly return over the risk - free rate(1 - month T - bill) over the 5 year standard deviation of the same series. Sortino Ratio - The same calculation as the Sharpe Ratio but with positive excess returns set to zero for the standard deviation denominator, so only negative volatility weighs in. Dividends Per Share TTM - Sum of the last four quarters of Dividends Per Share. Payout Ratio - Dividends Per Share TTM divided by Operating EPS TTM. Dividend Yield TTM % - Sum of the last four quarter of Dividends Per Share divided by Weekly Price. EBITDA - Sum of the last four quarters of EBITDA (Operating Income + Depreciation & Amortization). Free Cash Flow - Sum of the last four quarters Net Cash from Operations minus Capital Expenditures (Purchase of Property, Plant & Equipment), from the Cash Flow Statement. Book Value Per Share - Total Common Equity last quarter divided by Shares Outstanding last quarter. Gross Margin % - Sum of the last four quarters Gross Profit divided by the sum of the last four quarters Revenues. EBITDA Margin % - Sum of the last four quarters EBITDA divided by the sum of the last four quarters Revenues. Pre-Tax Margin % - Sum of the last four quarters of Earnings Before Taxes divided by sum of the last four quarters Revenues. Net Profit Margin % - Sum of the last four quarters of Operating EPS divided by sum of the last four quarters Revenues Per Share. Return on Equity % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Book Value. Return on Capital % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Total Capital Per Share. Return on Assets % - Sum of the last four quarters of Operating EPS divided by the average of the last four quarters Total Assets Per Share. Price / EPS TTM - Weekly Price divided by the sum of the last four quarters of Operating EPS (capped at 99.9). Price / Sales - Weekly Price divided by Revenues Per Share TTM. Price / Book Value - Weekly Price divided by Book Value Per Share last quarter. Book Value Per Share is Total Common Equity last quarter divided by Shares Outstanding last quarter (capped at 49.9). Free Cash Flow Yield % - Free Cash Flow Per Share TTM divided by Weekly Price. Enterprise Value - Market Value plus Total Debt last year plus Preferred Equity last year minus Cash & Cash Equivalents last year. Enterprise Value / Sales - Enterprise Value divided by the sum of the last four quarters of Revenue. Enterprise Value / EBITDA - Enterprise Value divided by EBITDA TTM. Enterprise Value / EBIT - Enterprise Value divided by trailing four quarters of Operating Income. Enterprise Value / Free Cash Flow- Enterprise Value divided by the sum of the last four quarters of Free Cash Flow. Russell 1000 Index - The largest 1,000 stocks by market cap, the index comprehensively covers the US large cap universe. EPS 5-Year Growth Rate % is capped at 999.9%. Revenue 5-Year Growth Rate % is capped at 999.9%.

Technology/Software Price: 748.80 GBX Report Date: September 24, 2021

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