After delivering strong returns in the first six months in 2020, Constellation Software (TSX:CSU, Financial) (-3.4%) experienced a modest decline in the third quarter. The company reported revenues that were lower than expected due to a decline in software license revenues from businesses that were impacted by COVID-19 such as health clubs, salons and spas and tour operators. On the positive side, recurring maintenance and support revenues held up well, and the company's cost reductions helped boost margins.
From Leith Wheeler Canadian Equity (Trades, Portfolio)'s third-quarter 2020 review.
