Newgen Software Technologies Ltd's Q3FY25 Quarter Results
- 22 Jan 2025
Result Summary
- Newgen Software Technologies Ltd reported a 2.6% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 16.3%.
- Its expenses for the quarter were down by 1.5% QoQ and up 11.0% YoY.
- The net profit increased 26.5% QoQ and increased 30.2% YoY.
- The earnings per share (EPS) of Newgen Software Technologies Ltd stood at 6.2 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 389.49 | 379.68 | 334.81 | 2.6% | 16.3% |
Total Expenses | 282.85 | 287.10 | 254.82 | -1.5% | 11.0% |
Profit Before Tax | 106.63 | 92.58 | 79.99 | 15.2% | 33.3% |
Tax | 17.63 | 22.24 | 11.64 | -20.7% | 51.5% |
Profit After Tax | 89.00 | 70.33 | 68.35 | 26.5% | 30.2% |
Earnings Per Share | 6.20 | 4.90 | 4.70 | 26.5% | 31.9% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Newgen Software Technologies Ltd is a well-known player in the information technology industry, primarily providing enterprise content management, business process management, and customer communication management solutions. The company serves a wide array of industries including banking, financial services, insurance, government, telecom, and shared services. Newgen's solutions are designed to enhance operational efficiency and customer experience through digital transformation. The company has a global footprint, catering to clients across various countries. As of the financial data provided, there is no specific mention of recent major developments or strategic changes within the company.
Revenue
In the third quarter of the fiscal year 2025 (Q3FY25), Newgen Software Technologies Ltd reported a total income of ₹389.49 crores. This marks a 2.6% increase from the previous quarter (Q2FY25), where total income was ₹379.68 crores. Year-over-year, there was a significant rise of 16.3% compared to the total income of ₹334.81 crores in Q3FY24. The upward trend in total income suggests growth in the company’s revenue-generating activities, potentially reflecting increased demand for its software solutions or successful expansion into new markets.
Profitability
For Q3FY25, the company recorded a profit before tax of ₹106.63 crores, reflecting a 15.2% increase from ₹92.58 crores in Q2FY25. There was also a notable year-over-year growth of 33.3% from ₹79.99 crores in Q3FY24. The tax provision for the quarter reduced by 20.7% from the previous quarter but increased by 51.5% year-over-year, amounting to ₹17.63 crores. Consequently, profit after tax for Q3FY25 was ₹89.00 crores, a growth of 26.5% from ₹70.33 crores in Q2FY25 and 30.2% higher than ₹68.35 crores in Q3FY24. Earnings per share also increased to ₹6.20 from ₹4.90 in the previous quarter and ₹4.70 in the same quarter last year, indicating robust profitability metrics over the periods analyzed.
Operating Metrics
The total expenses for Newgen Software Technologies Ltd in Q3FY25 were ₹282.85 crores, which is a slight decrease of 1.5% from Q2FY25 where expenses were ₹287.10 crores. Year-over-year, expenses increased by 11.0%, up from ₹254.82 crores in Q3FY24. This reduction in quarterly expenses along with the increase in total income contributed positively to the financial performance of the company. The management of expenses while growing revenue can reflect operational efficiency within the company's operations. Additionally, the increase in earnings per share aligns with the growth in profit after tax, supporting the overall improvement in the company's earnings capacity.
