Cost control steps, operational efficiency drive Sygene's Q3 net up by 11%

Consolidated revenue rises by 11.59 per cent to Rs 601.6 crore

Biocon's custom research organisation (CRO) Syngene International Limited reported an 11 per cent rise in its consolidated net profit for the quarter ended December 31, 2020 (Q3) on account of cost control measures and operational efficiency.

Apart from continued focus on cost control measures, a sustained performance from all divisions saw the company post a consolidated net profit of Rs 102.2 crore in Q3 of FY21, up from Rs 91.8 crore. 

Syngene's consolidated revenue in the quarter went up by 11.59 per cent to Rs 601.6 crore as against Rs 539.1 crore in the corresponding period last year. The third quarter growth was in line with the company's guidance, said Jonathan Hunt, managing director and chief executive officer of Syngene International Ltd. 

"Sustained focus on employee and campus safety helped us maintain near-normal operations across all our campuses despite the continuing pandemic," Hunt added.

The company has been expanding its portfolio of integrated drug discovery projects in order to leverage its wide range of skills and capabilities spanning the entire discovery, development and manufacturing value chain. As part of this, Syngene is collaborating with 3DC to advance integrated drug discovery projects, from early target validation through to preclinical evaluation. 

As a result, 3DC has awarded four antibody discovery projects during the third quarter to Syngene in oncology and autoimmune diseases to be executed in 2021.

Syngene has also completed testing of more than 100,000 samples at its Covid-19 testing facility, apart from setting up a new RT-PCR testing facility that has been approved by NABL and ICMR and complies with BSL-2 criteria. 

Syngene's expanded research facility in Genome Valley, Hyderabad, India with an additional 90 scientists' capacity was commissioned in February 2020 with an initial capacity of 150 scientists. 

Meanwhile, in the discovery services division, Syngene International has received National Accreditation Board for Testing and Calibration Laboratories (NABL) accreditation to provide safety assessment services for testing medical devices from its facility in Bangalore.