Syngene International Q3 Results: Profit Rises 18%, Misses Estimates
Syngene International's revenue rose 11% to Rs 943.7 crore in the third quarter.
Syngene International Ltd.'s consolidated net profit rose 18% in the third quarter of the current financial year, missing analysts' estimates.
The contract research and manufacturing services firm posted a profit of Rs 131 crore in the quarter ended Dec. 31 in comparison to Rs 112 crore in the year-ago period, according to an exchange filing on Thursday. Analysts tracked by Bloomberg had estimated a net profit of Rs 144 crore.
Syngene Q3 FY25 Earnings Highlights (Consolidated, YoY)
Revenue up 11% to Rs 943.7 crore versus Rs 853.5 crore (Bloomberg estimate: Rs 971 crore).
Ebitda up 23% to Rs 284 crore versus Rs 232 crore (Estimate: Rs 294 crore).
Margin at 30.1% versus 27.1% (Estimate: 30.2%).
Net profit up 18% to Rs 131 crore versus Rs 112 crore (Estimate: Rs 144 crore).
Operational Highlights
Third-quarter performance was marked by growth in the research services as well as the CDMO business with increased traction in biologics. Discovery services converted initial pilot projects into full-fledged contracts, which should contribute to growth into next year.
Development and manufacturing services delivered steady performance, driven by biologics with repeat orders from existing customers and new collaborations on integrated projects that cover the scope from drug development to clinical stage manufacturing.
"Syngene's third-quarter performance saw a return to growth across all business divisions that sets us up well for the next quarter," said Chief Executive Officer Jonathan Hunt.
The recovery in demand, which was expected in the second half of the year, experienced a delay of approximately eight to 12 weeks. The company has changed its guidance and expects to close the full year with single-digit revenue growth and a flat profit.
The Ebitda guidance remains unchanged. The company was expecting high-single digit to low double-digit growth on a constant-currency basis for the upcoming fiscal year.
Shares of Syngene closed 2.44% higher at Rs 847.25 apiece on the BSE, compared to a 0.15% rise in the benchmark Sensex.
