Cohance Lifesciences (COHANCE) Q3 24/25 earnings summary

Executive summary

• Achieved 40% year-on-year revenue growth in Q3 FY25 and 5% growth for the nine months, driven by robust demand, strategic acquisitions in high-growth technology segments, and a focus on differentiated modalities like ADCs and oligonucleotides.

• Strengthened global presence and capabilities through acquisitions of Sapala Organics and NJ Bio, enhancing leadership in oligonucleotides and ADCs.

• Merger with Cohance Lifesciences received 99.99% shareholder approval; regulatory approval expected within Q1FY26.

• Recognized for sustainable growth and ESG initiatives, including SBTi commitment, SA8000 certification, and being named World's Best Company for Sustainable Growth 2025 by TIME and Statista.

• Targeting $1bn revenue through diversified growth pillars, niche technology investments, and continued strategic M&A.

Financial highlights

• Q3FY25 revenue: INR 6.8bn (+40% YoY); adjusted EBITDA: INR 2.62bn (38.7% margin); adjusted PAT: INR 1.68bn (24.8% margin); gross margin at 71.5%.

• 9MFY25 revenue: INR 17.7bn (+4.7% YoY); adjusted EBITDA: INR 6.15bn (34.8% margin); adjusted PAT: INR 3.98bn (22.5% margin); gross margin at 70.2%.

• Free cash flow for 9MFY25: INR 3.2bn; cash on books: INR 2.99bn; capex spend: INR 2.31bn.

• Adjusted EBITDA and PAT figures exclude one-time ESOP and M&A costs.

• Suven standalone Q3FY25: Revenue INR 3.07bn (+40% YoY), adjusted EBITDA margin 44.9%, PAT margin 31.1%.

Outlook and guidance

• FY25 guidance reaffirmed for year-on-year growth on a pro forma combined basis, with accelerated growth expected in FY26.

• Growth pillars include deepening global customer relationships, expanding ADC and oligonucleotide leadership, and leveraging differentiated technology platforms.

• API+ and Specialty Chemicals segments expected to sustain growth, supported by new product launches and market recovery.

• Continuous new product development and pipeline expansion to fuel long-term growth.

• Suven targets $1bn revenue, led by expanding CDMO share, niche tech investments, and continued strategic M&A.