Syngene International (SYNGENE) Q4 25/26 earnings summary

Executive summary

• FY 2026 saw muted top-line growth of 3% year-on-year, with Q4 delivering a strong 13% sequential rebound despite Librela headwinds; Q4 revenue from operations grew 2% year-on-year to Rs 1,037 Cr.

• FY 2027 is expected to be a transition year with leadership changes, a strategic reset focusing on CDMO, biologics, and AI-enabled service lines, and new executive appointments.

• Investments in AI, digital technologies, and infrastructure are aimed at improving operational efficiency and creating differentiated offerings.

• Recognized for sustainability, ranking among the world's most sustainable companies by TIME, S&P Global, and Statista.

• Audited financials for FY 2026 were approved, with a final dividend of ₹1.25 per share recommended and new statutory auditors appointed.

Financial highlights

• Q4 FY26 revenue from operations was INR 1,037 crore (Rs 10,365 Mn), up 2% year-on-year and 13% sequentially; full-year revenue grew 3% to Rs 37,387 Mn.

• Q4 operating EBITDA was INR 303 crore with a margin of 29%; FY26 EBITDA margin was 25–26%, down from 29–30% last year.

• Profit after tax before exceptional items for FY 2026 was INR 380 crore (Rs 3,799 Mn), down 20% year-on-year; consolidated net profit was Rs 3,167 Mn.

• Free cash generated during the year was INR 521 crore; net cash balance at year-end was INR 1,800 crore (Rs 18,003 Mn).

• Basic EPS (consolidated) for FY 2025-26 was ₹7.87, compared to ₹12.35 in FY 2024-25.

Outlook and guidance

• FY 2027 is expected to have broadly flat performance due to continued impact from Librela, with EBITDA margins guided in the mid-20s.

• Q1 and Q2 FY 2027 will see almost no Librela revenue, with minor volumes in the last quarter; growth is expected to resume from FY 2028 as new capabilities and contracts mature.

• Continued focus on expanding integrated drug discovery and manufacturing capabilities, especially in ADCs and biologics.

• Ongoing investments in infrastructure and technology are expected to support future growth.