Synopsis: With a 3 year compounded return of 28 percent, this IT stock has now bagged a 1.5 million USD contract from the caribbean . In Q3FY26. the company in context saw a YoY net profit growth of 29 percent .
A small-cap IT stock engaged in enterprise digital transformation solutions has secured an international contract worth nearly $1.5 million. The three-year deal covers licensing, implementation, and maintenance of a digital platform for an overseas insurance client, strengthening its order book and expanding its global footprint.
With a market cap of about Rs 7,000 Cr, Newgen Software Technologies saw its stock hit an intraday high of Rs 500 which is 2 percent higher than the previous close of Rs 488. The company stock has given a compounded return of 28 percent in the last three years.
News
On 3rd March 2026, the company’s US subsidiary Newgen Software Inc., secured a Master Service Agreement with a Caribbean insurance company. The contract involves the supply, installation, and implementation of the NewgenONE Digital Transformation Platform.
This international project from Carribean and spans across a three-year execution period. The exact value of the total agreement is US$ 1,495,000, equivalent to approximately Rs. 14 Crore. The deal includes licensing, implementation, and maintenance services.
Key Order Wins
During Q3FY26, Newgen secured a Rs 38.6 crore loan origination system order from a Saudi public sector bank and a $5.3 million enterprise content platform deal with a leading US financial institution. The remaining four key wins included mandates across Europe, Malaysia, and India, strengthening its global banking and insurance presence overall.
Business & Financial Overview
Newgen Software Technologies Ltd is an India-based enterprise software company specializing in digital transformation solutions. It offers low-code application platforms, business process management (BPM), enterprise content management (ECM), and customer communication management (CCM) solutions. The company serves banking, insurance, government, and healthcare clients across global markets.
In the latest quarter, the company saw a YoY revenue growth of 5 percent, going from Rs 381 Cr in Q3FY25 to Rs 400 Cr in Q3FY26, while the QoQ revenue declined by 0.2 percent from Rs 401 Cr in Q2FY26. The YoY Net Profits fell by 29 percent, going from Rs 89 Cr in Q3FY25 to Rs 63 Cr in Q3FY26, while the QoQ Net Profits fell by 23 percent from Rs 82 Cr in Q2FY26.
The company has a 3-year sales CAGR of 24 percent, while the TTM is at 8 percent. The company’s 3-year profit CAGR is at 24 percent, while the TTM number is at 4 percent. The company also has a ROCE of 28 percent and a ROE of 22 percent.
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