Syngene International Q3 results: PAT rises 17.6%, revenue up 10.6%

During the quarter, Discovery Services launched "China+1" pilots with large and mid-size pharma companies and converted them into long-term contracts. Growth signals stabilizing

Biocon arm Syngene International reported an increase of 17.6 per cent year on year (Y-o-Y) in profit after tax (PAT) for the third quarter of the fiscal year 2025. The company’s revenue from operations grew by 10.6 per cent Y-o-Y.  The consolidated profit after tax in Q3FY25 stood at Rs 131 crore, while the revenue from operations came in at Rs 944 crore. Sequentially, revenue grew by 5.9 per cent, while PAT also increased by 23.56 per cent. Syngene International's earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 16 per cent Y-o-Y.  During the quarter, Discovery Services launched “China+1” pilots with large and mid-sized pharma companies and converted them into long-term contracts. Growth signals stabilised U.S. biotech market dynamics, albeit delayed. CDMO performance strengthened, underscoring progress across core business areas.    Commenting on the quarter, Jonathan Hunt, Managing Director and Chief Executive Officer, Syngene International Limited, said, “Syngene’s third-quarter performance saw a return to growth across all business divisions that sets us up well for the next quarter. Now, our focus is on further business development and building the sales pipeline. The quarter also saw positive momentum in our CDMO division led by biologics.”  Deepak Jain, Chief Financial Officer, Syngene International Limited, added, “The third-quarter performance delivered year-on-year growth. Reported profit after tax (before exceptional items) for the quarter grew, supported by operating EBITDA margins that came in at 30.1 per cent, up from 27.1 per cent in the previous year. We continued to focus on investing in digital initiatives, new technologies, and commercial capabilities to drive growth.” Syngene reported steady performance in Development and Manufacturing Services, driven by biologics, supported by repeat orders from existing customers and new collaborations on integrated projects spanning drug development to clinical-stage manufacturing.    The anticipated recovery in demand for the second half of the year was delayed by approximately 8 to 12 weeks. However, Syngene has resumed growth this quarter and expects the momentum to carry forward into the fourth quarter of the financial year. Despite the challenges faced in the first half of the year, the company expects to close the full year with single-digit revenue growth and flat PAT. EBITDA guidance remains unchanged.