Conference Call with Newgen Software Technologies Management and Analysts on Q2FY24 Performance and Outlook. Listen to the full earnings transcript.
IT Consulting & Software company Newgen Software Technologies announced Q2FY24 results: 1. Financial Performance: - Revenues at Rs 293 crore in Q2FY24, up 30% YoY - Profit after tax at Rs 48 crore, up 59% YoY - Total Income at Rs 293 crore, with 30% YoY growth - Strong growth in annuity revenue streams, with support revenues showing strong growth - Net Cash from Operating Activities at Rs 146 crore for the six-month period 2. Business Highlights: - Significant order of Rs 68 crore from a leading public sector bank for digital business platform - Expansion of business in the EMEA region, especially in Saudi Arabia, with a large project for digital lending - New logo wins, including a significant new logo in the Americas region from the insurance industry - Opening of new offices in New York (USA) and Riyadh (Saudi Arabia) to expand market footprint - Elevating partnership with Coforge Ltd. to deliver transformative insurance lifecycle management solutions - Recognition of Newgen's Accounts Payable solution in the Gartner "Market Guide for Accounts Payable Invoice Automation 2023 Report" 3. Key Financial Metrics: - Revenue from operations at Rs 293 crore - Annuity revenue streams at Rs 179 crore, with strong growth in support revenues - Subscription revenues at Rs 90 crore - Revenue from implementation grew by 82% YoY to reach Rs 62 crore Speaking about the results, Diwakar Nigam, Chairman & Managing Director, Newgen Software Technologies said – “We continue to build upon the business momentum with four consecutive high growth quarters now. We witnessed a strong Q2 performance with 30% YoY revenue growth and margin expansion compared to the same quarter last year. We have been making deeper penetration through our Digital Lending Platform in the banking sector and have received high-value orders during the quarter as market activity picks up in this segment across different geographies. We are becoming a preferred and trusted platform in the banking ecosystem for accelerating their business. We are further working on expanding our market footprint through the opening of new offices." “Using Newgen’s Low Code Platform based on a modern architecture of microservices and AI/ML, we continue to innovate for customers making our solutions more efficient, productive, and collaborative,” said Virender Jeet, CEO, Newgen Software. Result PDF