Newgen Software - Strong Q4 To Drive FY23 Revenue; Looking To Accelerate Growth Thereafter: ICICI Direct

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .ICICI Direct Report.Newgen Software Technologies Ltd. reported revenue of Rs 254.9 crore, up 25.9% YoY. Annuity revenue (ATS/annual maintenance contract, software-as-a-service and support) (which is 61% of the mix for Q3) was at Rs 154.4 crore, up 38.4% YoY while license revenue was 23% of the mix for Q3, up 16% YoY to Rs 57.7 crore. The subscription revenue (ATS/AMC and SaaS that is 33% of mix), grew 36.9% YoY to Rs 84.4 crore.Ebitda margins increased sequentially by ~650 basis pointss to 23.1% while YoY it reported a decline of ~550 bps. The company indicated that margins in the last year were higher due to the lower travel and marketing cost due to the Covid restrictions.Geography wise India (33.8% of revenue mix) led the growth with 39.9% YoY growth while Europe, the Middle East, and Africa (27.7% of mix), U.S. (24.4% of mix) and Asia Pacific (14.1% of mix) grew 26.9%, 27.1% and 13.4% YoY, respectively.On the India market, Newgen indicated that it has been traditionally strong in the market and growth in this quarter was a positive surprise..Click on the attachment to read the full report:.Newgen Software Tech Q3 Results Review - Well Poised To Grow In Current Macro: IDBI Capital.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Newgen Software - Strong Q4 To Drive FY23 Revenue; Looking To Accelerate Growth Thereafter: ICICI Direct

The company indicated that margins in the last year were higher due to the lower travel, marketing cost due to Covid restrictions.

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