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Newgen Software Q1 Results: Stock falls 6% after weak operating performance, margin narrowsNewgen Software's employee benefit expenses during the quarter increased to ₹181.5 crore from ₹174 crore last year.By Hormaz Fatakia   July 17, 2025, 1:19:10 PM IST (Updated)2 Min ReadShares of Newgen Software Ltd. fell as much as 6% on Thursday, July 17, in response to its June quarter results, that were reported during market hours.

The company's operating performance was weak on a year-on-year basis. Its Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) declined by 6% from last year to ₹45 crore, while its margins also narrowed to 14% from 15% last year.

Higher employee benefit expenses and finance costs weighed on the company's operating performance during the quarter.

Employee benefit expenses during the quarter increased to ₹181.5 crore from ₹174 crore last year.

Revenue for the quarter increased by 2% on a year-on-year basis to ₹321 crore, while net profit saw a 4% growth from the year-ago period to ₹50 crore from ₹48 crore.

Within Newgen's key geographies, the India business revenue increased marginally on a year-on-year basis but saw a substantial decline in comparison to the March quarter.

European business revenue also declined to ₹103.4 crore from ₹138.56 crore in the previous quarter.

APAC revenue declined to ₹49.9 crore from ₹69.2 crore last quarter and remained flat on a year-on-year basis.

US business revenue also remained flat from last year but declined when compared to the March quarter.

Shares of Newgen Software Technologies are trading 5.4% lower after the earnings announcement to ₹1,032. The stock has declined 40% so far in 2025.Continue ReadingFirst Published: Jul 17, 2025 1:12 PM ISTCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsNewgen SoftwareNewgen Software Technologiesshare market today