Synopsis: Newgen Software Technologies reported strong Q2 FY26 results with revenue up 25% QoQ and profit up 64%. EBITDA surged 126%, margins improved sharply, and the company gained multiple global recognitions and 15 new clients.
This is a global software company and is engaged in the business of software product development including designing and delivering end-to-end software solutions is now in the spotlight after its reporting Q2 results with net profit of 64% QoQ.
With market capitalization of Rs. 13,955 cr, the shares of Newgen Software Technologies Ltd are currently closed at Rs. 990 per share, increased 12% in today’s market session making a high of Rs. 1,015, from its previous close of Rs. 896.25 per share.
Quarter-on-Quarter (QoQ)
Revenue grew 25% to Rs. 401 crore from Rs. 321 crore, driven by robust operational performance. Newgen Software Technologies Ltd reported a strong sequential performance with net profit rising 64% to Rs. 82 crore in Q2FY26 compared to Rs. 50 crore in Q1FY26.
EBITDA nearly doubled to Rs. 102.2 crore from Rs. 45.2 crore showing an increase of 126%, while EBITDA margin improved sharply to 25.5% from 14.1%. Similarly, EBIT margin expanded to 23.2% from 11.3%, reflecting better cost efficiency and higher profitability.
Year-on-Year (YoY)
On an annual comparison, the company’s performance also showed healthy growth. Net profit increased 17% to Rs. 82 crore from Rs. 70 crore in the same quarter last year. Revenue rose 11% to Rs. 401 crore compared to Rs. 361 crore, supported by steady business momentum. EBITDA improved to Rs. 102.2 crore from Rs. 83 crore, indicating consistent margin enhancement and operational strength over the year.
Key Business Highlights (Q2 FY26)
During the quarter, Newgen Software Technologies Ltd added 15 new customer logos, reflecting continued business expansion. The company earned multiple global recognitions, including being named a “Strong Performer” in the Forrester Wave Digital Process Automation Software, Q3 2025, and featured for the second consecutive year in Forbes Asia’s “Best Under a Billion” list (August 2025).
Newgen was also recognized in Forrester’s Insurance Agency Management Systems Landscape, Q3 2025, and acknowledged by Gartner® as a Representative Vendor in the Market Guide for Commercial Banking Cash Management (August 12, 2025) and as a Sample Vendor in the Hype Cycle for Bank Lending, 2025 (July 28, 2025).
Revenue by geographical segment
Newgen Software’s Q2 FY26 performance reflects strong global diversification across key regions. The EMEA region led with revenue of Rs. 12,453.30 million and profit before tax (PBT) of Rs. 3,500.72 million, showcasing robust business traction.
The India segment contributed Rs. 11,782.94 million in revenue and Rs. 1,785.15 million in PBT, supported by steady domestic demand. The USA segment recorded revenue of Rs. 9,498.10 million with a healthy PBT of Rs. 2,969.92 million, indicating continued growth in the North American market.
Meanwhile, the APAC region delivered Rs. 6,345.01 million in revenue and Rs. 2,093.43 million in PBT, underlining consistent performance across Asia-Pacific markets. Overall, Newgen’s balanced geographical mix highlights its strong international presence and resilient profitability across regions.
Written by Manideep Appana
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