Newgen Software Technologies Limited , an Indian software company, has announced a significant international deal that could boost its revenue and market presence in the United Kingdom. The company's UK subsidiary has signed a three-year contract worth £1,468,804 (approximately ₹15.4 crore) with a UK-based customer for software licenses and cloud services.

Contract Details

The agreement, executed by Newgen Software Technologies (UK) Limited, a wholly-owned subsidiary of Newgen Software Technologies Limited, encompasses the following:

Significance of the Deal

This contract represents a notable achievement for Newgen Software Technologies, particularly in its international operations. The deal highlights the company's growing presence in the UK market and its ability to secure long-term commitments for its cloud service offerings.

Company's Disclosure

In compliance with regulatory requirements, Newgen Software Technologies Limited has disclosed this material event to the stock exchanges. The company confirmed that the transaction does not fall within the definition of a related party transaction as per the Companies Act, 2013.

Market Implications

This contract signifies a positive development for the company's international growth strategy. It demonstrates Newgen's capability to compete and win significant deals in developed markets, potentially opening doors for further expansion in the UK and other international markets.

Investors and market analysts may monitor how this contract contributes to Newgen's revenue stream and profitability over the next three years, as well as any potential follow-on business it might generate in the UK market.

Newgen Software Technologies Limited , a global provider of low code digital transformation platform, has reported a robust performance for the second quarter of fiscal year 2026, with significant growth across key financial metrics and geographical regions.

Financial Highlights

• Revenue reached INR 401.00 crores, marking an 11% year-over-year growth
• Subscription revenues grew by 20% year-over-year to INR 126.00 crores
• Profit after tax stood at INR 82.00 crores with net margins at 20.4%

Geographical Performance

Key Wins and Business Momentum

Newgen secured several significant deals during the quarter, including:

• A GBP 3.00 million project from a major life and pension consolidator in the UK
• A 5-year contract worth EUR 4.20 million with a major European retail group
• A 5-year contract valued at $5.60 million from a Ghana-based conglomerate

The company added 15 new customer logos during the quarter, indicating strong business momentum and market penetration.

Operational Highlights

• Invested 9% of revenues in R&D initiatives
• Allocated 21% of revenues to sales and marketing activities
• Net cash generated from operating activities was INR 90.00 crores during the 6-month period
• Net trade receivables stood at INR 521.00 crores as of September 30, 2025, resulting in net DSO of 124 days

Management Commentary

The management noted that while large deal momentum in India and EMEA markets still faces challenges compared to mature markets, overall business momentum remains strong. The company is focusing on expanding its presence in the banking vertical and working on building customer journeys in private enterprises.

Market Recognition

Newgen has been recognized as a strong performer in the Forrester Wave Digital Process Automation Software in Q3 2025 and as a representative vendor in Gartner Market Guide for Commercial Banking and Cash Management.

Outlook

With a healthy pipeline and improving project closures, especially in new and mature markets, Newgen is hopeful of continuing the momentum in the second half of the year. The company's focus on AI-driven product and solution development is expected to boost productivity and decision-making capabilities for its clients.

As Newgen continues to expand its global footprint and deepen client relationships across key verticals, investors can look forward to potential growth opportunities in the coming quarters. However, it's important to note that challenges in large deal closures in certain markets may impact short-term performance.

Note: All financial figures are in Indian Rupees (INR) unless otherwise stated.