Newgen Software's Net Profit at Rs164 crore in FY22, up 30%

4 May 2022 , 04:20 PM

The management of Newgen Software Technologies Ltd. announced results for the full year and quarter ended March 31, 2022 at its Board Meeting held on May 3, 2022.

Speaking about the results, Diwakar Nigam, Chairman & Managing Director, Newgen Software Technologies Ltd. said — “FY22 was a transition year for us in many aspects, as we complete 30 years of our global enterprise product journey. We were back on the growth track witnessing 16% YoY revenue growth during the year. We have been able to achieve a smooth transition from license to cloud and subscription revenues, which are more long term and multi-year in nature, along with accomplishing growth.  

Cloud and Subscription revenues have witnessed a robust growth of 23% YoY. We have large cloud and subscription order booking leading to more assured revenues in future years. We are seeing increasing adoption of subscription/cloud across geographies with large orders in India, EMEA, APAC as well as Australia.”   

“We start FY23, with new vigor and a new branding, driven by our rich and differentiated platform, lasting relationships with customers, strong team and a robust demand environment. We continue to invest on our products, employee trainings, and on strengthening our partner ecosystem for gaining momentum in newer, bigger markets.” said Virender Jeet, CEO, Newgen Software.

Key Consolidated Financial Highlights (FY22) 

Revenue from operations (consolidated) at Rs779 crore as compared to Rs673 crore in  FY21, up 16% YoY.

• Subscription revenues (ATS/AMC and cloud) stood at Rs246 crore, up 23% YoY; increasing share of the cloud business. Total annuity revenue streams (ATS/AMC, support, and cloud/SaaS) at Rs457 crore, contributing 59% to revenues
• Revenue from the sale of products/license were at Rs161 crore, up 23% YoY

Profit after tax up by 30% YoY to Rs164 crore from Rs127 crore in FY21.
Cash, Bank Balance, Investments, and Bank Deposits at Rs462 crore as of 31 March, 2022.

Key Consolidated Financial Highlights (Q4 FY22)
Revenue from operations (consolidated) witnessed strong sequential growth reaching Rs231 crore as compared to Rs200 crore in Q4 FY21 (up 16% YoY).

• Subscription revenues (ATS/AMC and cloud) were at Rs69.8 crore, witnessing strong growth of 34% YoY. Annuity revenue streams (ATS/AMC, support, and cloud/SaaS) were at Rs126 crore
• Revenue from the sale of products/license were at Rs42 crore

 
Profit after tax stable at Rs57 crore from Rs 53 crore in Q4 FY21

Key Business Highlights (Q4 FY22)

• Newgen has filed 44 patents till date, out of which 23 have been granted in India and the US.

 16 new customer logos addition in the quarter; some notable successes include:

• Large sized project win from a leading privately-owned commercial bank in Phillipines
• Project for a leading omnichannel fintech company delivering digital financing solutions in Saudi Arabia delivering micro-financing assistance through personal and consumer loans
• Project for a federal government entity in the UAE, managing the federal budget and regulating the financial laws and financial institutions

• Enhanced growth across regions with EMEA region being the largest revenue contributor during the year, growing at 42% YoY followed by APAC, India, and the US. Received first orders from the Australia market.   

• Accelerated performance in Banking & Financial Services, Insurance and Government/PSU  verticals. Entered into transformation deals for a leading housing finance company and for a leading private sector bank in India during the quarter.