Newgen Software Technologies Ltd. announced the results from its Q1 fiscal 2027. It’s celebrating substantial growth for this first quarter. With Revenue up 11.2% to Rs 357 crores compared to Rs 321 crores in Q1 FY’26. And a growth rate of 1.9%. Revenues in North America grew by 25%, the fastest-growing in the quarter. That region contributed 25% to Q1 2027, up 3% YoY. Profits also rose YoY from 15.5% to 17.6%, to Rs 62 crores.
Mr. Diwakar Nigam, Chairman & Managing Director, Newgen Software Technologies Ltd., said: “Our Q1 FY’27 performance reflects resilient execution, with Revenue up 11% YoY, robust profitability, strength of our annuity revenue model and global customer demand.
“As enterprises increasingly adopt unified platforms powered by AI, automation, content, and workflows, Newgen remains focused on helping them Orchestrate Intelligent Enterprises at scale with its AI-enabled solutions.
“During the quarter, we continued to strengthen our unified platform, with AI deeply embedded across content, processes, applications, and enterprise workflows, while expanding our enterprise agent orchestration capabilities and industry-specific innovations.
“Our strategy has always been to stay Ahead of What’s Ahead, investing early in the technologies and capabilities that will shape the future of enterprise transformation. With our strengthened leadership, differentiated platform, and clear strategic roadmap, we are well positioned to drive innovation, deepen customer relationships, expand globally, and deliver sustained value.”
Solid growth
The annuity revenues continue to help drive business growth. Total annuity revenue was Rs 254 crores and was made up of ATS/AMC, support, cloud/SaaS and subscription license.
That equates to around 71% of total Revenue. Subscription revenues total Rs 146 crores, with YoY growth of 21%. SaaS revenues continue to climb and were up 40% YoY in Q1 2027. SaaS revenues now make up 17% of total revenues, compared to 13% in Q1 2026.
Banking continues to be the strongest sector at 63%. This is down 4% YoY, with Health care and insurance up 6% to 22% YoY. The firm continues to deliver enterprise innovation with a mix of AI and automation, helping to orchestrate intelligent enterprises.
During the quarter, Newgen added 10 new enterprise customers and celebrated several wins across banking, insurance, and enterprise content management.
These included:
- A Core Insurance Platform (Policy Administration System) transformation project for a customer in Kuwait, valued at KWD 875,000 (approximately ₹26.7 crore).
- A Retail Loan Origination Solution deployment for an organization in the Philippines, valued at USD 1.71 million (approximately ₹16.2 crore).
- An order from Annapurna Finance Private Limited in India for the implementation and maintenance of an AI-enabled Loan Origination and Collections System, valued at ₹15.6 crore.
- An engagement with a leading UK enterprise to implement Newgen’s Enterprise Content Management platform. Including cloud software licences, implementation, and migration services, valued at GBP 1.13 million (approximately ₹14.5 crore).
Mr. Virender Jeet, outgoing Chief Executive Officer, Newgen Software Technologies Ltd, said: “We have delivered a healthy start to FY’27. With Revenue growing at 11% YoY and Profit After Tax growing at 26%. Our SaaS and License Subscription revenues grew at 40% YoY to ₹60 crore, reflecting the continued strength of our recurring revenue business.
“During the quarter, we added 10 new customer logos, secured strategic wins across banking, insurance, and enterprise content management. We remain focused on disciplined execution, customer success, and delivering innovations that help enterprises accelerate their transformation journeys.”
Looking forward
Newgen did not offer any formal guidance for the full year ahead. However, Tarun Nandwani, Chief Operating Officer (and CEO effective August 1st 2026), stated, “We are hopeful that we will maintain a double-digit growth in coming quarters.”
It is also expecting an increased EBITDA for the full year, with Q1 the lowest. Deepti Mehra Chugh, Head of Investor Relations, Newgen Software Technologies, noted that, “We usually have a 23%-25% EBITDA margin for the entire year.”
The firm also expects increased implementation revenues, as projects delayed from Q1 fall into the following quarters. Bookings are also strong and growing at double digits according to Arun Gupta, Chief Financial Officer, Newgen Software Technologies.
Enterprise Times: What does this mean?
This was a strong first quarter for Newgen, with a promise of better things. The appointment of Tarun Nandwani and the 40% surge in SaaS revenue validate the Company’s long-term strategy. By successfully monetizing AI within its verticals and achieving margin expansion through operational efficiency, Newgen is positioned to outperform peers still struggling to integrate AI.
The Company has effectively turned the “AI hype” into tangible revenue. Thus, setting the stage for a double-digit growth trajectory for the remainder of FY2027.
