Syngene returns to quarterly profit; revenue remains below year-earlier level
Q2FY27 revenue rose 13% sequentially to INR 833 crore but was down 9% year on year. The company also announced its first manufacturing agreement for the Bayview biologics facility in the US.
Syngene International reported profit after exceptional items of INR 32 crore for the September quarter, recovering from a loss of INR 9 crore in the preceding quarter, while remaining below the INR 67 crore profit a year earlier.
Revenue from operations was INR 833 crore, compared with INR 736 crore in Q1FY27 and INR 911 crore in Q2FY26, according to the company's October 27 results release. That represents sequential growth of about 13% and a year-on-year decline of about 9%.
Operating EBITDA was INR 147 crore, with a margin of 18%, up from 12% in the preceding quarter but below 22% a year earlier. Profit before exceptional items was INR 38 crore. The release identifies INR 6 crore of net-of-tax employee termination-benefit expenses as the quarter's exceptional item.
“Our second quarter saw sequential revenue growth of 13%, supported by positive traction in our CDMO business,” managing director and CEO Siddharth Mittal said in the supplied statement. The company attributed the year-on-year revenue decline and margin pressure to lower Zoetis revenues and foreign-exchange hedge losses.
Syngene also said it signed its first manufacturing agreement for the Bayview biologics facility with a large pharmaceutical customer. Process development is scheduled to begin in India during FY27, with drug-substance manufacturing at Bayview expected in the following financial year. The customer and contract value were not disclosed.
Chief financial officer Deepak Jain plans to leave for an opportunity outside the company. Syngene said he would remain at least through the close of the third-quarter results to support the transition.
