Newgen Software reports 22% revenue growth in FY 2025

Newgen Software has reported a significant increase in its financial performance for the first nine months of the financial year 2025, with revenues from operations at INR ₹1,057 crore, marking a 22% year-on-year growth.

For the quarter ending December 31, 2024, the company's revenues stood at INR ₹381 crore, reflecting an 18% increase from the same period the previous year. The profit after tax for this quarter was INR ₹89 crore, representing a 30% year-on-year growth.

According to the company's Chairman and Managing Director, Diwakar Nigam, "We continue to solidify our business and cultivate our customer relationships during the quarter. License revenues have grown by 70% YoY during Q3 with good deal velocity and several significant deal closures. We witnessed strong growth in Banking & Financial Services and Government verticals during the quarter. We are also entrenching deeper in the Insurance & Healthcare verticals across markets. We have been recognized in the Gartner Magic Quadrant for Enterprise Low-Code Application Platforms fifth time in a row. We believe, this is a testament to our unwavering commitment to innovation and excellence."

The company also saw a 41% increase in profit after tax for the first nine months of FY'25, reaching INR ₹207 crore compared to INR ₹146 crore in the same period for the previous year. Various revenue streams contributed to this growth, with annuity revenue streams reaching INR ₹614 crore and product/license sales generating INR ₹217 crore.

Virender Jeet, Chief Executive Officer of Newgen Software, noted the company's workplace culture achievement stating, "We are happy to share with immense pride and satisfaction that Newgen has been certified as a Great Place to Work by the Great Place to work institute in December 2024. We are committed to create a high trust high performance culture at Newgen as we scale up."

The quarter also saw Newgen engaging in significant deals with notable organizations across various regions. Notable contracts include projects with the Reserve Bank of India for INR ₹32 crore, Aye Finance Ltd. for INR ₹24 crore, and a large power generation and transmission company in Saudi Arabia for USD $2.3 million.

In Singapore, Newgen secured a deal to provide a Knowledge and Records Management System valued at SGD $1.7 million. In the United States, the company signed a contract with a banking client for USD $1.8 million. Within India, Newgen signed a contract for its Remittance system worth INR ₹20.8 crore. Additionally, the company entered into an agreement in the EMEA region for USD $2 million and in Africa for USD $1.6 million.

The company's financial performance was bolstered by robust growth across all major markets, including 44% growth in APAC, 19% in EMEA, 10% in India, and 13% in the US. Newgen's recognition in the industry was reaffirmed by its continued presence in notable industry reports, such as the Gartner Magic QuadrantTM for Enterprise Low-Code Application Platforms and the IDC MarketScape Report.

Newgen also received recognition for its contribution to the market in Forrester's Low-Code Platforms For Professional Developers Landscape and maintained a solid credit rating from CRISIL, which reaffirmed a short-term rating of CRISIL A1 for its debt instruments.