Shares of Newgen Software have dropped more than 11% over the previous 2 sessions following the business disappointing Q1FY26 incomes.
On Friday, the stock fell almost 6% to Rs 968 on BSE.Newgen Software reported a consolidated net earnings of Rs 49.72 crore for the AprilJune quarter, marking a modest 4.5% year-on-year boost from Rs 47.57 crore.
However, on a sequential basis, profit fell dramatically by 54% from Rs 108 crore in Q4FY25.Revenue from operations grew simply 2% YoY to Rs 321 crore however dropped over 25% compared to Rs 430 crore in the previous quarter.Also Read: Emami, Tube Investment amongst 10 mid-cap stocks experts anticipate to gain as much as 40%The businesss operating performance likewise damaged.
EBITDA decreased 6% YoY to Rs 45 crore, while EBITDA margin narrowed to 14% from 15% a year ago.
The decrease was primarily credited to greater worker benefit expenses and increased finance costs.Live EventsAmong crucial markets, income from the India business showed a slight YoY increase however declined greatly from the March quarter.
Income from Europe fell to Rs 103.4 crore from Rs 138.56 crore QoQ.APAC revenue stayed flat YoY at Rs 49.9 crore however declined from Rs 69.2 crore in Q4FY25.
Likewise, revenue from the US market was flat YoY however lower sequentially.Also Read: 9 underestimated mid-cap stocks with upside potential of up to 23%Newgen Software share price target According to Trendlyne, the typical target price for Newgen Software is Rs 1,186, suggesting a potential advantage of nearly 22% from existing levels.
Of the four analysts tracking the stock, the agreement ranking is Buy.Also Read: SBI, Federal Bank among 11 banks that saw NPA enhancement in Q4(Disclaimer: Recommendations, recommendations, views, and opinions offered by the specialists are their own.
These do not represent the views of TheIndianSubcontinent)