Manager Michael Flynn is hoping Newcastle can get the better of Morecambe on Wednesday night to set up a Carabao Cup clash with his Newport side at Rodney Parade next week.

The Exiles extended their cup run as they beat Watford 3-1 to capture their second Sky Bet Championship scalp this season to progress into the fourth round for the first time in their history.

"We have outplayed a Championship club that has just come down from the Premiership and it was a fantastic performance. I can't be prouder of my players," said Flynn.

"Would we want Newcastle in the next round? Well yes, because we are more likely to be on Sky TV. I want this football club to reap the benefits of a performance like that.

"We have budgeted to January without fans, but if we have to go beyond that, it won't be comfortable. TV coverage is important."

Flynn brought back old faithfuls Joss Labadie and Padraig Amond into his starting line-up and reaped the reward of their experience and industry as they both came up with goals after Tristan Abrahams had converted an early penalty.

"We made five changes, and I know they made a few but we kept everyone fresh and chomping at the bit. I don't want anyone getting carried away," added Flynn.

"We have got a lot more options this season and hopefully it will stay like that because it will mean the injuries are down."

This latest giantkilling ranks high in the pecking order of recent cup triumphs for Flynn.

He said: "The FA Cup is still the best cup competition in the world in my eyes, but it is still a huge achievement to have reached the fourth round of the Carabao Cup for the first time in the club's history having beaten two Championship sides.

"We drew with Spurs, who went on to reach the Champions League final and beat Leicester City, who had won the Premier League a few years before, in the FA Cup, so they were big, big games for us.

"It is always nice to beat a team a couple of divisions above you."

Venezuela international Adalberto Penaranda replied with a penalty 10 minutes after the break for Watford before Amond netted Newport's third.

A thoroughly-miserable night for Watford's new Serbian manager Vladimir Ivic was compounded when he saw Stipe Perica sent off for an elbow to the throat of Brandon Cooper in the 88th minute.

"It wasn't a good performance. We gave a chance to players who didn't get a chance in the Championship games and we expected a bit more than they showed," said Ivic.

"It's not a good result for us. We came to win and not to lose and not in this way – the first 45 minutes were very bad.

"But the main reason we lost is because they played much better than us. It was frustrating, especially the red card at the end.

"I believe he didn't want to do it. When you jump and your hands are up, you can hit the other guy without wanting to do it.

"I don't know how many games we will be without him."