This smallcap IT stock gave 191% returns in last one year, hits new all-time high; here's why

Newgen Software Technologies has entered into partnership with Old Second National Bank, one of the oldest banks in the US. To enhance its account management process, the bank opted for Newgen’s advanced digital account opening and maintenance solution, built on the NewgenONE low-code platform. Newgen’s Digital Account Opening Solution is designed to simplify the online account opening process while enabling banks to deliver a personalized, omnichannel experience. The chosen solution will help automate the complete lifecycle of the account opening process.

The solution’s built-in functionalities, including its user-friendly interface, strong integration capabilities with existing systems, and monitoring dashboard, will play an important role in optimizing the customer journey. It will also allow the bank’s end customers to commence their banking journey anywhere on any device. Furthermore, the solution minimizes authentication time, improves customer acquisition, and reduces abandonment rates. It will offer a personalized and omnichannel onboarding experience accessible through both online and in-branch channels, improving the customer experience for both retail and business customers.

In the latest quarterly results, the company reported a 25% YoY jump in total revenue at ₹314 crore as against ₹251 crore in the previous year similar quarter. Similarly, the EBITDA for the quarter jumped 48% YoY to ₹47 crore as compared to ₹32 crore in Q1FY24. Lastly, the net profit for the quarter jumped 57.5% YoY to ₹47 crore.

Newgen Software Technologies is a software products company offering a platform that enables organisations to develop applications addressing their strategic business needs.

The shares of Newgen Software Technologies delivered stellar returns of 58% on a YTD basis in 2024, outperforming the NIFTYIT index, which delivered 18% in a similar period.