Syngene International posts Rs 519 Cr PAT for the full year ending March 31, 2024
IMT News Desk
Fourth quarter revenue from operations declined 8 per cent year-on-year to Rs 917 cr, PAT increased 6 per cent to Rs 189 CrSyngene International announced its full-year and fourth-quarter results. For the full year ending March 31, 2024, revenue from operations was up 9 per cent to Rs 3,489 crore resulting in profit after tax, before exceptional items, up 12 per cent to Rs 519 crore. Reported revenue from operations for the fourth quarter declined 8 per cent year-on-year to Rs 917 crores. Profit after tax for the quarter increased 6 per cent year-on-year to Rs 189 crores.Jonathan Hunt, MD and CEO, Syngene International, said, “While the fourth quarter performance came in lower than expected, the underlying driver - reduced demand for research and development services within US biotech stemming from a difficult funding environment - is well understood and already showing positive signs of recovery.Despite the business environment, we delivered growth during the year. This resilience is the result of our broad operating span and the investments made to establish our development and manufacturing divisions with biologics, in particular, delivering a strong performance throughout the year. I’m encouraged by the recent step up in new funding into US biotech and expect this to drive a recovery in demand for research and development services translating into revenue growth in the latter part of the year. Looking ahead, we expect revenue growth in fiscal year 2025 to be in the range of high single digits to low double digits with momentum building up during the year. We expect the EBITDA margin to be similar to the level delivered in fiscal year 2024 and PAT growth in single digits. The long-term indicators for the sector are positive and I am confident that we will continue to perform well in the long term.”Sibaji Biswas, Chief Financial Officer and Executive Director, Syngene International said, “We had a strong start to the year which moderated in the third and fourth quarters resulting in a slower second half of the fiscal year. We continued to manage costs proactively to deliver consistent operating leverage and maintain EBITDA margin around the expected level. Our net cash flow generated from operating activities for the year was strong at Rs 1,042 crore, which fully funded the capex and the acquisition of the biologics manufacturing plant. For fiscal year 2024, the Board of Directors has recommended a final dividend of Rs 1.25 per share, an increase of 150 per cent over last year’s core dividend of 50 paise per share, subject to shareholder approval. As demand picks up in the year ahead, we will continue to strategically invest in areas that strengthen our position as a leading integrated provider of research, development and manufacturing services.”
