Syngene International Limited , a leading contract research and manufacturing services company, has reported a strong start to the fiscal year 2026, with significant growth in revenue and profitability for the first quarter ended June 30, 2025.

Financial Highlights

The company's consolidated revenue from operations grew by 11% year-on-year to Rs. 875.00 crores in Q1 FY26, up from Rs. 790.00 crores in the same quarter last year. This growth was primarily driven by continued conversion of pilot programs into longer-term contracts within the Research Services business.

Syngene's reported EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a substantial increase of 19% to Rs. 224.00 crores, with the EBITDA margin improving to 25% from 23% in the corresponding quarter of the previous year.

The company's Profit After Tax (PAT) witnessed a remarkable surge of 59%, reaching Rs. 87.00 crores compared to Rs. 54.00 crores in Q1 FY25. This significant increase in profitability can be attributed to both revenue growth and a focus on cost optimization.

Operational Highlights

Syngene made notable progress in expanding its capabilities and facilities during the quarter:

1. The company started operations at its Unit III facility in Bengaluru, enhancing its biologics manufacturing capabilities.
2. Preparations are underway to commence operations at the Bayview facility in the United States later this year, which will further strengthen Syngene's global presence.
3. A new state-of-the-art, dedicated peptide laboratory was inaugurated, expanding the company's scientific platform capabilities.

Regulatory Compliance and Recognition

Syngene demonstrated its commitment to quality and regulatory compliance:

1. Successfully completed a USFDA Good Clinical Practices (GCP) inspection of its Human Pharmacology Unit with no observations.
2. Received an Establishment Inspection Report (EIR) with a favorable Voluntary Action Indicated (VAI) outcome for its Biologics facility at Biocon Park.
3. Concluded over 20 client and regulatory audits in Q1 FY26.

The company's efforts in sustainability were also recognized, as Syngene was named one of the World's Most Sustainable Companies in 2025 by TIME magazine and Statista. Notably, Syngene ranked #1 in India among companies in the pharma and biotech sectors and was placed in the top 20 life science companies globally.

Management Commentary

Peter Bains, Managing Director and CEO of Syngene International Limited, expressed satisfaction with the quarter's performance, stating, "We are pleased with the growth performance in the first quarter, which is aligned with our expectations. Continued conversion of pilot programs into longer-term contracts within our Research Services business was the main driver underpinning this momentum."

Deepak Jain, Chief Financial Officer, highlighted the company's financial prudence, saying, "We continue to maintain a robust balance sheet enabling us to invest in technology and capabilities to strengthen our customer offerings. While keeping a close watch on market trends, we remain on course to deliver in line with our stated guidance for the year."

Key Management Personnel Update

The company also announced updates to its list of Key Managerial Personnel authorized to determine materiality of events:

1. Peter Bains as Managing Director and CEO
2. Deepak Jain as CFO
3. Chethan Yogesh as Company Secretary and Compliance Officer

As Syngene International continues to expand its capabilities and maintain strong financial performance, the company appears well-positioned for sustained growth in the contract research and manufacturing services sector.

Syngene International Limited , a leading contract research and manufacturing services company, has reported a strong start to the financial year, with revenue from operations growing by 11% year-on-year to Rs. 875 crore in the first quarter.

Financial Highlights

Performance Drivers

The company's growth was primarily driven by continued conversion of pilot programs into longer-term contracts within its Research Services business. Syngene also made progress in its Biologics manufacturing division, with the commencement of operations at the Unit III facility in Bengaluru and advancing preparations for the Bayview facility in the U.S.

Management Commentary

Peter Bains, Managing Director and CEO of Syngene International Limited, commented on the results, stating, "We are pleased with the growth performance in the first quarter, which is aligned with our expectations." He added, "While we remain mindful of ongoing macroeconomic factors, we maintain a confident outlook."

Deepak Jain, Chief Financial Officer, highlighted the company's focus on cost optimization, which contributed to the improved EBITDA margins. He noted, "We continue to maintain a robust balance sheet enabling us to invest in technology and capabilities to strengthen our customer offerings."

Key Business Highlights

1. Successful completion of a USFDA Good Clinical Practices (GCP) inspection of its Human Pharmacology Unit with no observations.
2. Received an Establishment Inspection Report (EIR) with a favorable Voluntary Action Indicated (VAI) outcome for the Biologics facility at Biocon Park.
3. Inaugurated a new, state-of-the-art, dedicated peptide laboratory, expanding its capabilities in the fast-growing peptide interventional modality.
4. Recognized by TIME magazine and Statista as one of the World's Most Sustainable Companies, ranking #1 in India among companies in the pharma and biotech sectors.

Annual Guidance Reaffirmed

Despite the uncertain economic environment, Syngene's Co MD stated that the company remains on track to deliver results in line with its annual guidance. The management emphasized the importance of maintaining awareness of current economic conditions while keeping a positive outlook.

Looking Ahead

As Syngene continues to strengthen its scientific platform capabilities and expand its global footprint, the company appears well-positioned to capitalize on opportunities in the contract research and manufacturing services sector. However, investors should remain cognizant of the ongoing macroeconomic challenges that could impact the industry.

The company will host an investor call where senior management will discuss the company's performance and answer questions from participants.

Note: All financial figures are in Indian Rupees (INR).