Newgen wins five year contract with Indian bankNEWGEN - 1415 Change: -40.55 (-2.79 %)
Newgen has informed stock exchanges that it has won a five year contract with an Indian bank. The scope of work of Newgen is development, implementation, management & maintenance of end-to-end digital lending platform. The contract is for Rs 48.6 crore for five years.
The banking vertical contributes 66% of revenue mix for Newgen and grew at 20%+ CAGR over the last five years. This order will provide an incremental revenue opportunity of 1% each in FY23 and FY24. Segment wise, banking EBITDA and PAT margins are not disclosed separately but if we take as reference company level numbers, then it is expected to improve EPS by 1-1.2%. it may also further strengthen its position in the banking space and likely help for future wins.