Syngene Reports 13% Quarterly Revenue Growth, Boosts EBITDA Margin to 18% in Q2 FY27
Bengaluru: Syngene International Limited has reported a 13% sequential increase in revenue from operations to Rs 833 crore in the second quarter of FY27, compared with Rs 736 crore in the preceding quarter. The company also recorded an improvement in its operating EBITDA margin by six percentage points, rising from 12% in Q1 FY27 to 18% in Q2 FY27.
Despite the quarter-on-quarter improvement, revenue from operations declined by 9% compared with Rs 911 crore reported in Q2 FY26. Operating EBITDA stood at Rs 147 crore, against Rs 200 crore in the corresponding quarter of the previous financial year. Profit after tax (PAT) after exceptional items was Rs 32 crore, compared with a loss of Rs 9 crore in the preceding quarter.
Commenting on the performance, Executive Chairperson Kiran Mazumdar-Shaw stated that the company’s strategic priority remains strengthening its position as an integrated research, development and manufacturing partner to the global life sciences industry, with increased emphasis on differentiated, high-value services and contract development and manufacturing organisation (CDMO) capabilities.
Managing Director and CEO Siddharth Mittal highlighted that the quarterly growth was supported by positive traction in the CDMO business. He also noted that lower Zoetis revenues and foreign exchange hedge losses affected the year-on-year performance.
Among the major business developments, Syngene signed its first manufacturing agreement for its Bayview biologics facility in the United States with a large pharmaceutical customer. Process development activities are scheduled to begin in India during the current financial year, while drug substance manufacturing at the Bayview facility is expected to commence in the next financial year.
The company also secured additional biologics manufacturing contracts, including an agreement for clinical supplies from its Bengaluru Unit 3 facility. Additionally, it completed a complex small interfering RNA (siRNA) manufacturing programme for a leading global pharmaceutical company, highlighting its capabilities in oligonucleotide technology and process scale-up.
To strengthen its research and development capabilities, Syngene commissioned a new Clinical Translational Sciences (CTS) Laboratory in Bengaluru. The facility integrates clinical biomarker development and validation, biobanking, patient stratification, precision medicine and bioanalytical capabilities.
The company further expanded its digital research infrastructure through the implementation of ChemVoyager, an artificial intelligence-enabled synthesis planning platform, alongside automated analytical systems and end-to-end sample tracking solutions.
Syngene also announced organisational changes within its Integrated Drug Discovery division, bringing Chemistry, Biology and Biotherapeutics capabilities under unified leadership. Dr Jayashree Aiyar, Chief Scientific Officer, assumed additional responsibility for Discovery Services effective October 1, 2026.
The company stated that it has completed manpower-related cost optimisation initiatives, while non-manpower cost reduction measures will continue over the coming quarters. Its Central Compound Management team also received the Platinum Award at the 12th CII National Kaizen Circle Competition 2026 for digital innovation that improved automation, data integrity and operational efficiency.
For the first half of FY27, Syngene reported revenue from operations of Rs 1,569 crore, compared with Rs 1,785 crore in the corresponding period of the previous financial year. Operating EBITDA stood at Rs 238 crore, while PAT after exceptional items was Rs 23 crore.
